May 12, 2026

Key Takeaways From the Formation of Bulgaria’s New Government

Former Bulgarian President Rumen Radev was appointed Prime Minister on 8th May during the first sitting of the new parliament, following the decisive victory for his Progressive Bulgaria movement at April’s snap parliamentary election. The incoming cabinet reflects strong continuity with the caretaker governments previously appointed by Radev, both in terms of personnel and governing style. The new government combines political loyalists from the former President’s circle with technocratic figures drawn from previous caretaker governments, the public administration and Bulgaria’s business and technology sectors.

 

The new cabinet will comprise 18 ministries and four deputy prime ministers, reflecting a relatively centralized executive model built around trusted figures from Radev’s inner circle. Key appointments include former caretaker PM Galab Donev as Deputy PM and Finance Minister, and Atanas Pekanov as Deputy PM for EU Funds, a portfolio he held in four caretaker governments between 2021 and 2023. Former caretaker Innovation and Growth Minister Alexander Poulev will lead the Economy, Investments and Industry Ministry, while Ivan Vassilev, the new Innovation and Digital Transformation Minister, represents one of the cabinet’s more reform-oriented and business-facing appointments.

 

The Radev Government’s initial agenda is expected to focus on adopting a new state budget, addressing inflationary pressures, advancing judicial reform and restoring momentum on delayed EU-funded reforms. For external stakeholders, the cabinet sends mixed signals. On the one hand, the presence of pro-EU technocrats suggests continuity in relations with Brussels and commitment to Eurozone accession. On the other, Radev’s more sceptical stance on Russia sanctions and deeper EU integration introduces a degree of uncertainty about his cabinet’s foreign policy.

The government’s official position remains that Bulgaria’s membership in the EU and the Eurozone is not open to question. However, they also place strong emphasis on the protection of national interests as a guiding policy principle. This suggests the government sees a distinction between broader European priorities and Bulgaria’s own strategic interests, potentially leading to a more assertive approach in defending national positions even where they diverge from the broader EU consensus, particularly in the energy sector.