Bulgaria’s annual inflation rate rose to 5.3% in July 2025, according to the National Statistical Institute (NSI). The monthly inflation figure stood at 1.7%, based on the Consumer Price Index (CPI). While annual inflation reflects changes compared to July 2024, the monthly figure measures prices against June 2025.
The July data reveals a complex inflationary landscape. Price growth was strongest in “Entertainment and culture” (+13.2%), “Restaurants and hotels” (+2.4%), “Communications” (+2.0%), and “Housing, water, electricity, gas and other fuels” (+1.9%). By contrast, “Clothing and footwear” saw prices fall by 3.4%.
Since the start of the year, inflation has accumulated to 4.1%, with average annual inflation over the twelve months from August 2024 to July 2025 recorded at 3.2%. Over a longer horizon, cumulative CPI inflation reached 17% in three years and 41.2% in five years.
Food Prices: Mixed Movements
Food products showed both gains and losses. Leafy vegetables (+6.8%), apples (+5.6%), peppers (+4.6%), ice cream (+3.6%), and beer (+2.9%) were among the steepest risers. Meat and dairy also edged higher, with minced meat (+1.9%), beef (+1.6%), and dairy oils (+1.8%) registering increases.
At the same time, households benefited from sharp declines in potatoes (-13.6%), green beans, zucchini, and eggplant (-11.0%), and cabbage (-7.1%). Lentils (-1.3%), rice (-0.8%), and yellow cheese (-0.8%) also recorded drops, slightly easing grocery expenses.
Non-Food Goods and Services
Tourism-related costs dominated price hikes. Package holidays surged 21.2%, international flights climbed 15.9%, and short-term accommodation rose 13.0%, signaling peak-season pressures. Utilities also contributed, with thermal water heating up 5.7% and electricity by 2.6%. Fuel prices followed the upward trend: diesel rose 2.5% and A95N gasoline 1.9%.
Other increases were seen in driver courses (+5.0%), courier services (+4.5%), televisions (+1.5%), and personal services such as barbershops and beauty salons (+1.4%). However, propane-butane fuel for vehicles (-4.7%), bicycles (-3.7%), shoes (-3.8%), and car insurance (-1.5%) showed notable declines.
Medical costs experienced moderate rises, including dental care (+0.9%), laboratory tests (+0.8%), and pharmaceuticals (+0.2%).
EU Comparison: HICP Trends
The Harmonized Index of Consumer Prices (HICP), used for EU-wide comparison, showed lower inflation than the CPI, with a 1.4% monthly rise and a 3.4% annual increase in July 2025. Since January, HICP inflation totals 3.2%, with a 2.8% average annual rate.
Cumulative HICP inflation stood at 14.6% over three years and 34.6% over five.
Impact on Low-Income Households
For the lowest-income 20% of Bulgarian households, the Small Basket Price Index (SCPI) rose 0.3% in July and 4.5% since the start of 2025. Rising service costs (+1.9%) drove the burden, while food and non-food goods saw slight declines.
The NSI figures highlight the uneven pressures Bulgarian households face, with tourism and energy driving inflation while some food staples and clothing provided limited relief.
This article was created using automation technology and was thoroughly edited and fact-checked by one of our editorial staff members