2 January 2026
On 1 January 2026, Bulgaria successfully completed its onboarding to the Eurosystem Collateral Management System (ECMS), thereby gaining access to the full suite of TARGET Services. Bulgarian banks are now able to settle cash, securities and collateral transactions in euro. This major step coincides with Bulgaria’s adoption of the euro as its official currency on the same date, thus becoming the 21st member country of the euro area.
Bulgaria’s full onboarding to all TARGET Services includes several key developments:
- First, Българска народна банка (Bulgarian National Bank) becomes a euro area national central bank in T2, TARGET Instant Payment Settlement (TIPS) and TARGET2-Securities (T2S). All Bulgarian banks are now connected to T2, enabling large-value payments to be settled through the system and instant retail payments to be settled via TIPS.
- Second, Bulgarian central securities depositories now settle all Bulgarian securities in T2S. This facilitates seamless cross-border securities settlement in central bank money.
- Third, Bulgaria’s participation in the ECMS harmonises its collateral management services for assets used as collateral in Eurosystem credit operations.
While settlement in euro has been possible for the Bulgarian market through TARGET2/T2 since 2010, T2S since 2023 and TIPS since 2024, the adoption of the euro as Bulgaria’s official currency and the country’s full integration into TARGET Services represent a historic step. Bulgaria is now fully integrated into the Eurosystem’s infrastructure for large-value payments, retail payments, securities settlement and collateral management. This will enable seamless financial transactions across the euro area for Bulgarian citizens and businesses.
The Eurosystem welcomes Bulgaria’s adoption of the euro and its onboarding to the TARGET Services.
Read the press release Bulgaria introduces the euro for more information on Bulgaria’s adoption of the euro.