Bulgaria has received a positive assessment of its readiness to enter the euro area from the ECB and the EC, something you have been intensely working for over a long time. And from now on, is there anything that could prevent the changeover from the lev to the euro from happening on 1 January 2026?

Behind this result stand considerable efforts on many fronts, most of which remain out of the public eye. I do not see any real obstacles to the successful completion of the process. However, nothing is final until the Council of the European Union takes its formal decision, which is supposed to happen at the ECOFIN meeting scheduled for 8 July.

President Rumen Radev tried to initiate a referendum on whether the entry should take place exactly from next year, using arguments that the institutions have not done their job properly and that ‘there is no consensus in the Bulgarian society on Bulgaria’s readiness to adopt the single European currency, nor on the date on which this should happen’. Considering all this, we can't help but ask, are we ready?

There is hardly another topic where the readiness is measured so objectively and concretely. The competent institutions in Bulgaria, including the BNB, have assessed that the country is fully prepared. The same assessment has already been made by the ECB and the European Commission. Equally important is the fact that the businesses, trade unions, the academia and the non-governmental sector have also clearly expressed their support and readiness.

Even so, we know that the technological and logistical complexities cannot be ignored, so is there anything that bothers you about the preparations?

From a technological and logistical point of view, this is indeed an extremely complex process that we have been working on for years. As far as the BNB is concerned, our technical and logistical infrastructure is now fully in place. This includes information, payment, accounting and statistical systems; an upgraded cash centre system; exchange infrastructure; a new fleet of armoured and security vehicles; all the required machinery, equipment, licences and certificates, including for the minting of Bulgarian euro coins. Once the Council has taken its decision, we are going to launch the final preparations at full capacity.

And do public attitudes and political calls for mass protests and battles to save the lev bother you?

This largely depends on the political parties and their leaders. Such historical moments are a test for statesmen. The political legacy of many of today's politicians will be judged precisely through the prism of their positions and actions at this key moment.

In your opinion, why it is the topic of the euro that has proved to be such a breeding ground for myths, disinformation, overexposed risks and instilling fears?

After 2020, under a political crisis, the fragmented pro-European majority ceded the euro initiative to an aggressive and noisy anti-European minority. The formation of a stable pro-European government with a constitutional majority in Parliament, which supports Bulgaria’s entry into the euro area, has changed the dynamics positively in recent months.

Frequently, analysts and politicians also rely on the so-called ‘unpublished BNB analysis of the euro’. Would you explain what this document is, which everyone seems to read as it suits them?

The document in question was sent to all parliamentary groups back in 2022. It is also publicly available on the BNB website, along with a number of other materials on the subject.

And yet, are there any valid risks posed by changing the monetary regime from a currency board to the euro and what are they?

Yes, there are risks – if the process is not well managed. This applies to any major reform.

One of the sensible criticisms is that the currency board has a disciplining function for public finances and without it they can be taken over by populism. What's your answer?

The currency board is one of the most successful reforms in the economic history of Bulgaria. But it should not be attributed supernatural qualities. I say this as a person involved in its introduction. The board, for example, has not prevented the loosening of fiscal discipline in recent years. We should not forget that it can be revoked by just a decision in the National Assembly. The euro area offers more reliable protection mechanisms against crises and populism.

Another topic that arouses a lot of passion is what will happen to foreign exchange reserves and how will their management change?

The BNB will continue to manage its foreign exchange reserves as it has done so far. Of course, their composition will change, as the euro will become the national currency. It is little known that after joining the euro area, the BNB will be able to manage – in a certain order and in certain volumes – part of the ECB’s own reserves.

One of the effects of joining the euro area is that minimum reserve requirements will have to fall from 12 percent to 1 percent. How will this happen – gradually or in one step, and what effect do you expect from the released liquidity for banks, and does this loosening also carry dangers?

We have developed different scenarios and will choose one of them in the coming weeks. We are analysing the effects carefully, but we do not expect any shocks. Banks will probably withdraw part of the reserve, but will maintain another significant part in the BNB. This will allow them to earn a safe and risk-free income through the ECB’s ‘deposit facility’.

Are you going to compensate with other tightening measures?

The BNB's macroprudential mandate remains unchanged. We will continue to have the whole toolbox – from capital requirements to measures on borrowers. We will use them actively and flexibly, as needed, to tighten or loosen conditions.

Another big change for the BNB is that after more than a quarter of a century it will again conduct monetary policy through money market operations. How will this happen? Hasn't the expertise been lost in all these years?

Monetary policy has two dimensions: definition and implementation. The definition falls within the competence of the Governing Council of the ECB and, by extent, within the legal powers of the Governor, and the implementation will be carried out by the Issue Department. We have been working on this topic for two years and significant progress has been made, both institutional and expert. This is also recognised by our partners.

Entering the euro area makes you a member of the Governing Council of the ECB, where governors are traditionally classified as ‘hawks’ and ‘pigeons’. How do you define yourself?

I lead one of the most conservative central banks in Europe. This position will not change significantly even after we enter the euro area. I leave it to the commentators to determine the type of "feathered".

You headed the BNB ten years ago, and you still have four years to serve. What goals do you set for yourself after joining the euro area? What do you expect the Bulgarian banking system and economy to look like at the end of your term?

The objective is clear – a strong and modern national bank within the most powerful monetary union in the world. I expect the banking sector and the economy to function in the conditions of the euro area in such a way that Bulgaria will steadily detach from the bottom of the EU rankings in terms of income and standard of living.