Bulgarian Lev Disappears from BNR Exchange Rate: What Changes After Bulgaria Adopts the Euro

The Bulgarian lev exits the official currency landscape The adoption of the euro by Bulgaria marks a symbolic and practically important moment for the region. Starting January 2026, the Bulgarian lev (BGN) will no longer appear in the official exchange rate published by the National Bank of Romania (NBR), as a direct effect of the neighboring country's transition to the European single currency. The decision does not reflect a change in NBR's monetary policy, but is a technical consequence of the fact that Bulgaria will no longer have its own national currency. Why NBR removes the Bulgarian lev from the exchange rate NBR publishes daily exchange rates for relevant currencies used in Romania's economic, commercial, and financial relations. With the adoption of the euro, BGN ceases to exist as a distinct currency, being permanently replaced by EUR. In this context: there is no longer a BGN/RON exchange rate to calculate; transactions with Bulgaria will be directly referenced to the euro; all conversions become EUR ↔ RON. The conversion rate: a fixed benchmark Bulgaria's transition to the euro is based on a conversion rate set at the European Union level: 1 euro = 1.95583 Bulgarian levs This rate is final and irreversible, and all amounts expressed in levs will be automatically converted to euros at this rate. Forced conversion brings out money from the gray economy An important side effect of the transition to the euro is the necessity of converting all cash in circulation. This process forces the population and businesses in Bulgaria to bring into the banking system sums that have so far been kept outside the official circuit. Estimates by Bulgarian authorities indicate that a significant portion of the cash in levs comes from the gray economy, money that has not been previously declared or fully taxed. Before adopting the euro, banks in Bulgaria reported: accelerated increases in cash deposits; declarations of origin difficult to verify; attempts at rapid "regularization" of old sums. Monetary conversion thus becomes a moment of forced formalization of capital, a phenomenon also observed in other states that previously transitioned to the euro. Pressures on prices and the real estate market The influx of cash into the economy, including from the informal area, tends to be directed towards consumption and rapid investments. The most visible effects usually appear in: the real estate market; purchases of high-value goods; services with reduced competition. This dynamic can temporarily amplify inflationary pressures, especially in the period immediately preceding the adoption of the euro. What impact does the change have on Romanian companies For Romanian companies that have commercial relations with Bulgaria, the transition to the euro mainly brings increased clarity: invoicing will be done exclusively in euros; the currency risk associated with the lev completely disappears; price comparability becomes simpler. In many cases, the euro was already the reference currency in contracts, with the lev being just an intermediary payment unit. A regional signal for the currency market The exit of the Bulgarian lev from the NBR exchange rate is an indicator that the euro is becoming increasingly dominant in Southeast Europe, including in countries that are not yet part of the eurozone. For Romania, this context underscores the role of the euro as a regional reference currency, both in trade and in savings and investments. Conclusion The removal of the Bulgarian lev from the NBR exchange rate is not just a technical change, but part of a broader process of economic transformation. The forced conversion of cash brings to the forefront money from the informal economy and creates temporary pressures on prices and markets. From 2026, the currency relationship with Bulgaria will be simple and direct: euro - leu.