Bulgaria, situated in the eastern Balkans, has
been undergoing a slow and painful transition to a market economy since
the end of Communist rule.
A predominantly Slavic-speaking, Orthodox Christian country,
Bulgaria was the birthplace of the Cyrillic alphabet, which was created
there towards the end of the 9th century AD.
It was long influenced by Byzantine culture then was part of
the Ottoman Empire for 500 years before gaining its independence in the
19th century.
After World War II it became a satellite of the Soviet Union, but is now a member country of the EU and NATO.
Its transition to democracy and a market economy after the
collapse of communism has not been easy and the country is striving to
boost low standards of living.
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At a glance
- Politics: Inconclusive elections in May 2013 resulted in the formation of a government of technocrats
- Economy: Bulgaria is one of the EU's poorest countries. Organised crime and corruption have deterred investors and hindered growth
- International: Bulgaria joined Nato in 2004 and the EU in 2007. It is not part of the EU's passport-free Schengen zone
Throughout the early 1990s
Bulgaria was wracked by political instability and strikes. The former
communists were a powerful influence. Although the end of the decade was
more stable, there was little tangible progress with economic reform.
Under Bulgaria's former king, Simeon II, who was prime
minister between 2001 and 2005, the country pressed ahead with market
reforms designed to meet EU economic targets.
It achieved growth, saw unemployment fall from highs of
nearly 20% and inflation come under control, but incomes and living
standards remained low.
EU membership
Bulgaria was not among the countries invited to join the EU in
2004. However, it signed an EU accession treaty in April 2005 and
joined in January 2007.
EU officials set tough entry requirements, reflecting their
concerns about corruption and organised crime. After a series of reports
found that the Bulgarian government had failed to tackle these issues
effectively, the EU announced in July 2008 that it was suspending aid
worth hundreds of millions of euros.
In September 2010, the EU again called on Bulgaria to take
urgent action to tackle crime and corruption, and later in the year
France and Germany announced that they would block Bulgaria from joining
the Schengen passport-free zone until the country had made
"irreversible progress" in this area.
Another cause of friction has been the Kozloduy nuclear power plant, which supplies over a third of Bulgaria's electricity.
Amid concerns over the safety of communist-era nuclear
facilities, four of Kozloduy's six reactors were shut down as a price
for Bulgaria's EU membership, two of them closing just minutes before
the country joined the EU.
In a bid to offset the loss of production at Kozloduy and
restore its position as a major power exporter in the Balkans, Bulgaria
revived plans for a second nuclear power plant, though these were later
put on hold.
Bulgaria is also involved in two rival gas pipeline projects: Russia's South Stream pipeline and the EU-backed Nabucco pipeline.
Political crisis
Spiralling utilities bills brought down the conservative
government of Boiko Borisov in February 2013. Widespread public
perception that high fuel costs were the direct result of a too-cosy
relationship between the government and foreign-owned privatised
monopolies sparked violent protests.
Although Mr Borisov's GERB party won the most seats in the
election in May, it failed to achieve a majority and a government of
technocrats backed by the Socialists was subsequently formed. However,
the protests against official corruption that toppled the Borisov
government appeared to intensify under the new government led by Plamen
Oresharski.