Bulgaria officially adopted the euro, becoming the 21st member of the Eurozone, nearly 20 years after joining the European Union, a move with major economic, political, and geopolitical implications.Bulgaria gave up the lev, in circulation since the late 19th century, marking a full transition to the euro.Rationale: Euro adoption aims to boost trade, improve market transparency, and attract investment in Bulgaria (EU’s poorest member state).It will deepen Bulgaria’s integration with the European Union, reinforcing its Western alignment and reducing Russian economic influence.Eurozone: The Maastricht Treaty (1992) (also known as the Treaty on European Union) laid the foundation for the European Union by paving the way for a common Economic and Monetary Union, the adoption of the euro as a single legal tender, the creation of a unified central banking system through the European Central Bank (ECB), and the establishment of a common economic region (Eurozone).The Eurozone comprises European Union Member States that have adopted the euro as their common currency. The eurozone was established with the official launch of the euro on 1st January 1999, in 11 countries.  With Croatia joining in 2023 and Bulgaria’s adoption, the euro is now used by over 350 million people across Europe.

European Union, Eurozone, and Schengen Area

Aspect

European Union 

Eurozone

Schengen Area

About

A political and economic union of European countries.

A monetary union of EU countries using the euro.

A European visa free travel zone, with  no internal border checks.

Purpose

Economic integration, common policies, political cooperation.

Common currency and unified monetary policy.

Free movement of people across borders.

Establishment Treaty/Agreement

Maastricht Treaty (1992)

Maastricht Treaty(1992)

Schengen Agreement (1985)

Number of countries (as of January 2026)

27 countries.

21 countries. EU countries Sweden, Poland, the Czech Republic, Hungary, Romania, and Denmark have not yet adopted the euro.

29 countries: 25 EU Member States (except  Ireland, Cyprus) and 4 non-EU countries (Iceland, Norway, Switzerland and Liechtenstein).

Note: Countries like Andorra, Monaco, Vatican City, and San Marino use the euro through agreements with the EU, while Kosovo and Montenegro use it unilaterally, none of these are regarded as eurozone members.

Bulgaria

¨     Bulgaria is located in southeastern Europe on the Balkan Peninsula. It shares land borders with Romania (north), Serbia and North Macedonia (west), Greece and Türkiye (south), and has a coastline along the Black Sea (east).

¨     Bulgaria is a member of North Atlantic Treaty Organization (NATO) and the European Union, with the EU as its main trading partner, and Sofia serving as its political and economic capital.