Stop the administrative racketeering on business!

Zhechko Dimitrov

Stop the administrative racketeering on business!

Business in Bulgaria is increasingly placed in an environment of uncertainty that does not stem from the market, but from the state itself. Instead of predictability and clear rules, entrepreneurs are faced with constant changes in legislation, administrative pressure and piecemeal solutions that make long-term planning and investments difficult. The elections for the new parliament must result in real solutions to the problems facing business in order to have higher wages, growth in investments and exports.

One of the most serious problems is the continuous change of the regulatory framework. Laws change frequently, sometimes without sufficient public discussion and without impact assessment. This forces business to work in a mode of constant adaptation - with new requirements, new deadlines and new sanctions. Instead of stability, which is key for any economy, a feeling of chaos and unpredictability is created.

Additional tension is created by the administrative increase in the minimum wage. Although such decisions are presented as a social measure, they often do not take into account the real productivity of labor, the state of individual sectors and regional differences. The result is pressure on small and medium-sized enterprises, which are the backbone of the economy, but have limited resources to bear such costs.

Against this background, pressure is increasing from the revenue administration to collect taxes and social security contributions to cover voluntary attempts to cover the ever-increasing budget deficits. Honest companies are subjected to inspections, audits and sanctions, often for minor or formal violations. At the same time, a sense of double standards remains – companies with significant accumulated debts manage to avoid payments through statute of limitations or other procedural mechanisms. This undermines trust in the system and demotivates honest payers. When the state treats business as a source of short-term income, rather than as a partner, the consequences are clear: lower investments, capital withdrawal and limited growth. Instead of stimulating entrepreneurship, the administration often discourages it.

A change in approach is needed. Legislation must be stable, predictable and in line with economic reality. Decisions such as the minimum wage should be based on clear economic criteria, not political expediency. The tax administration must apply the same standards to everyone – without exceptions and without a sense of selectivity.

Business is not looking for privileges. It is looking for rules that do not change constantly, and an environment in which efforts and correctness are rewarded, not punished. Stopping administrative racketeering is not just a demand of entrepreneurs – it is a necessary step towards a more competitive and sustainable economy.

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