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Topic 157 · Economy, Budget & Banking

Bulgaria joins the eurozone

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Revise the 12 points first Book 1 RATNA
  1. Core Trigger: Bulgaria adopted the euro on 1 January 2026, becoming the 21st member of the euro area.
  2. Changeover: The lev was replaced at a fixed rate; both currencies circulated through January 2026.
  3. Current Head: ECB President Christine Lagarde welcomed Bulgaria; Bulgarian National Bank Governor Dimitar Radev joins the ECB Governing Council.
  4. Symbol: The euro's symbol is € and its ISO code is EUR; the lev had circulated for 146 years.
  5. Data: The conversion rate was 1.95583 lev per euro; Bulgaria adopted the euro 19 years after joining the EU in 2007.
  6. Approvals: EU finance ministers gave final approval in July 2025; the European Parliament backed it by 531 votes to 69.
  7. India Link: The India-EU trade deal of 27 January 2026 makes euro-area pricing relevant to Indian exporters.
  8. Headquarters: The European Central Bank, which issues the euro, is headquartered in Frankfurt, Germany.
  9. Founded: The ECB was established on 1 June 1998; the euro launched in 1999, with cash in 2002.
  10. Landmark: The Maastricht Treaty (1992) set the convergence criteria that every country must meet before adopting the euro.
  11. Articles: Article 127 of the TFEU makes price stability the primary objective of the European System of Central Banks.
  12. Doctrine: Convergence criteria include a deficit under 3 per cent of GDP, debt under 60 per cent and exchange-rate stability.
Question 1 of 10

Bulgaria became which member of the euro area on 1 January 2026?

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Answer: (D) 21st

Core Trigger: Bulgaria adopted the euro on 1 January 2026, becoming the 21st member of the euro area.From Book 1 RATNA, topic 157, point 1

Question 2 of 10

The lev and the euro circulated side by side through which month?

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Answer: (D) January 2026

Changeover: The lev was replaced at a fixed rate; both currencies circulated through January 2026.From Book 1 RATNA, topic 157, point 2

Question 3 of 10

Which ECB President welcomed Bulgaria into the euro area?

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Answer: (D) Christine Lagarde

Current Head: ECB President Christine Lagarde welcomed Bulgaria; Bulgarian National Bank Governor Dimitar Radev joins the ECB Governing Council.From Book 1 RATNA, topic 157, point 3

Question 4 of 10

Consider: 1. The euro's ISO code is EUR. 2. The lev had circulated for 146 years. Which is/are correct?

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Answer: (C) Both 1 and 2

Symbol: The euro's symbol is € and its ISO code is EUR; the lev had circulated for 146 years.From Book 1 RATNA, topic 157, point 4

Question 5 of 10

At what fixed rate, in lev per euro, was the lev converted?

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Answer: (D) 1.95583

Data: The conversion rate was 1.95583 lev per euro; Bulgaria adopted the euro 19 years after joining the EU in 2007.From Book 1 RATNA, topic 157, point 5

Question 6 of 10

The European Parliament backed Bulgaria's euro entry by what vote?

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Answer: (D) 531 to 69

Approvals: EU finance ministers gave final approval in July 2025; the European Parliament backed it by 531 votes to 69.From Book 1 RATNA, topic 157, point 6

Question 7 of 10

Where is the European Central Bank headquartered?

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Answer: (D) Frankfurt

Headquarters: The European Central Bank, which issues the euro, is headquartered in Frankfurt, Germany.From Book 1 RATNA, topic 157, point 8

Question 8 of 10

On which date was the ECB established?

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Answer: (D) 1 June 1998

Founded: The ECB was established on 1 June 1998; the euro launched in 1999, with cash in 2002.From Book 1 RATNA, topic 157, point 9

Question 9 of 10

Which treaty set the convergence criteria for adopting the euro?

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Answer: (D) Maastricht Treaty

Landmark: The Maastricht Treaty (1992) set the convergence criteria that every country must meet before adopting the euro.From Book 1 RATNA, topic 157, point 10

Question 10 of 10

Consider: 1. Convergence criteria include a deficit under 3 per cent of GDP. 2. They require public debt under 90 per cent. Which is/are correct?

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Answer: (A) Only 1

Doctrine: Convergence criteria include a deficit under 3 per cent of GDP, debt under 60 per cent and exchange-rate stability.From Book 1 RATNA, topic 157, point 12

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