DEVELOPMENT OF LOCAL GOVERNMENT AND DECENTRALIZATION IN BULGARIA (1979-2023): A COMPREHENSIVE ANALYSIS

Abstract

The present article aims to provide a comprehensive analysis of the development of local governance and decentralization in Bulgaria from 1979 to 2023. By tracing normative changes, institutional transformations, and issues related to local governance, the article focusses on fiscal decentralization as a challenging area for the advancement of local self-government. The analysis encompasses key aspects such as state status quo and administrative-territorial autonomy, cooperation between central and local authorities, municipal administrative capacity, and the involvement of civil society in local decision-making processes. Throughout the period examined, Bulgaria has experienced significant progress in establishing good practices of local self-government, striving to promote greater autonomy and responsibility among local bodies. Based on the analysis of the regulatory framework and empirical data, it is evident that the highest level of development lies in political decentralization, while the most unresolved problems exist in the financial sphere. Although increased financial autonomy of municipalities has been observed, including their independent determination of tax revenues, administrative procedures for tax collection, and others, Bulgarian municipalities still heavily depend on the central government in terms of transfers, which constitute the main portion of their budgets.