Bulgaria’s upcoming eurozone accession is expected to lower transaction costs with its main trade and investment partners, according to the U.S. Department of State’s annual investment climate report. Still, Bulgaria’s economy showed improvement, with growth rising from 1.9% in 2023 to 2.8% in 2024. The government projects another 2.8% increase in 2025, supported by strong domestic consumption and public investment programs. Joining the euro area, scheduled for January 1, 2026, is expected to further facilitate trade and investment by reducing transaction costs. Additionally, accession negotiations with the OECD, launched in January 2022, are anticipated to encourage further economic reforms and strengthen Bulgaria’s business environment.