Trade unions in Bulgaria predict that the cost of life will not rise dramatically during Q4 of the year. A family of four currently needs about 500 leva to support itself, up from 470 leva in September.

Massive lay offs will increase the unemployment rate. Families who rely on members working abroad will see their incomes decline.

„Foreign countries are also experiencing problems and this will hurt the incomes of Bulgarians working abroad. Some 2 billion euros enter Bulgaria in that way (declared on undeclared),” CITUB director Luyben Tomov told bTV news.

Finance experts, on the other hand, claim that the conservative saving methods Bulgarians use will keep their losses smaller compared to those of Americans and West Europeans. According to latest statistics, Bulgarians keep 88% of their money in deposit accounts.

„Bulgarians are not poorer than other Europeans. If the banking system stays stable and the currency board is maintained, there will be no danger for people's savings,” says Severin Vertigov, BenchMark Asset Management portfolio manager.

Experts also said incomes in Bulgaria rose faster than inflation. Salaries are up by some 20% for the past year.