Bulgarian Government Bonds

Yields at the 2026 auctions

Source: Economic.bg: Conditions on Bulgaria’s domestic debt are deteriorating²

• The 10-year issue pays a 3.50% coupon twice a year and matures on 11 February 2036.
• 24 August: the ministry offered €150 million of the 10-year bond, received bids of €253 million, sold €95 million and rejected the rest as too expensive.
• 28 September: €150 million of the 5-year bond BG2030126119, with a 2.75% coupon and maturity on 28 January 2031, sold at an average yield of 4.02%, with bids 1.16 times the amount.
• Spread: in February the 10-year bond yielded about 102 basis points more than the German Bund.

Source: First Financial Brokerage House: Bulgaria to auction €150m of 10-year government securities on 9 February; Economic.bg: Conditions on Bulgaria’s domestic debt are deteriorating; BTA: Finance Ministry raises €95 million in government securities (25 August 2026); BTA: Ministry of Finance issues €150 million of new debt (29 September 2026, in Bulgarian); Novinite: Bulgaria’s bond spread over German Bunds (February 2026)^12,2,1,3,5

Of the €4.255 billion of new debt in 2026, €2.5 billion was raised on international markets and €1.755 billion on the domestic market.³

Euro issues on the domestic market

Source: Bulgarian National Bank: Government Securities Statistics, June 2026⁴

Domestic government securities outstanding totalled €6.596 billion at the end of June 2026, and bonds issued on foreign markets €22.817 billion. The table lists a selection; the Bulgarian National Bank publishes every issue and auction result each month. Two issues have been reopened since June: the 10-year bond in August and the 5-year bond in September.^4,1,3

Credit ratings

Source: BTA: Fitch raises Bulgaria’s rating outlook to positive, affirms BBB+; S&P Global Ratings: Bulgaria outlook revised to positive, BBB+/A-2 affirmed^6,7

Fitch and S&P raised Bulgaria to BBB+ in July 2025, when its entry to the euro area from 1 January 2026 was approved. Fitch moved its outlook to positive in September 2026; it names lower inflation, slower wage and credit growth and a smaller current account deficit among the factors that could lead to an upgrade. S&P moved to positive on 15 May 2026.^6,7

Tax on the interest

• Residents of Bulgaria, the EU and the EEA: interest and discount income on bonds issued by the Bulgarian state are not taxable for individuals.
• Other non-resident individuals: the National Revenue Agency lists interest on bonds issued by the state or municipalities and admitted to trading on a regulated market or growth market in the EU or EEA as an exception to the final tax on interest.

Source: National Revenue Agency: Interest and tax for individuals; National Revenue Agency: Final tax on income of non-residents^8,9

The treatment depends on the issue and on where you are resident. Confirm it with a tax adviser before you buy; tax treaties are on Double Tax Treaties.^8,9

How to buy

• At auction: bids at the Bulgarian National Bank auctions come from primary dealers of government securities; eight took part in one auction in 2026.
• After the auction: individuals and companies can buy bonds through a bank or an investment intermediary on the secondary market.
• Bonds for individuals: an amendment to the Government Debt Act, published in State Gazette No 62 of 7 July 2026, allows the Minister of Finance to issue bonds for individuals, but does not require it. The law gives six months for the rules and nine months for an online platform for direct sales; no such issue had been announced by 14 September 2026.

Source: BTA: Bulgaria’s new debt in 2026 exceeds €1 billion after latest auction; Finansov Savet: Deposit, government bonds or money market fund, real return (14 September 2026, in Bulgarian)^13,10

Under the new rules, individuals are to pay no fees when they buy at issue. The last bonds aimed at individuals were sold in 2018, for €16.6 million.^11,4