As you know, a currency board does not allow for discretion in the conduct of monetary policy. Indeed, monetary policy becomes entirely endogenous. So, the only macroeconomic management tool at the disposal of policy-makers is fiscal policy. I find that the conduct of fiscal policy in Bulgaria has been appropriate.
Before looking at some numbers, I would like to stress that what impresses me most is that fiscal management has remained prudent over time. The broad consensus among policy-makers on the absolute need to follow a prudent fiscal policy has prevented harmful policy reversals. This is also shown by the figures.