Bulgaria has made major progress since joining the European Union (EU) ten years ago despite being hit by the global and Euro-area crises. However, per capita income is still only half of the EU average and more than one in five people is at risk of poverty. The economy is recovering strongly, with the fiscal and external current account balances in surplus. The main challenge is to translate this recovery into sustained and inclusive economic growth amid unfavorable demographic trends. This will require continued efforts to improve government as well as further strengthening financial stability.
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