The protest reflects widespread concern over the budget’s economic impact on individuals and businesses, including the increase in social security contributions and the doubling of the dividend tax.
Thousands took to the streets of Sofia, Bulgaria’s capital, Wednesday to denounce steep tax increases in next year’s draft budget before its final vote in parliament.
The opposition coalition We Continue the Change – Democratic Bulgaria organized the rally, which drew an estimated 20,000 protesters. The protest comes as the Balkan country prepares to join the eurozone at the beginning of next year.
The protest reflects widespread concern over the budget’s economic impact on individuals and businesses, including the increase in social security contributions and the doubling of the dividend tax.
Protesters formed a human chain around parliament and tried to block deputies’ cars, prompting police intervention to prevent violence. Police reported that demonstrators threw bottles and firecrackers at officers, injuring three.
Despite opposition from various social groups and warnings from economists that the draft carries significant risks, the budget will likely be approved since the coalition government holds a comfortable majority in parliament.
The budget sets a record for government spending at nearly 46% of GDP. This increase will be financed primarily through higher taxes on businesses and workers, as well as a sharp rise in public debt.
