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EU Lawmakers Demand Halt to Bulgaria Funds Amid Mayor’s Arrest: Will Brussels Act?

EU lawmakers want to halt Bulgaria’s funds after a mayor’s arrest, alleging political misuse of anti-corruption efforts.

byAndres Castro

September 23, 2025, 8:06 PM

Executive Summary

Liberal lawmakers in the European Parliament are urging the European Commission to halt a €653 million payment to Bulgaria from its post-Covid Recovery and Resilience Facility.

The call to halt funds follows the arrest of liberal Varna Mayor Blagomir Kotsev, which MEPs allege is a politically motivated misuse of Bulgaria’s anti-corruption body against opponents.

The dispute places Bulgaria’s compliance with rule-of-law reforms, particularly the integrity of its EU-mandated Anti-Corruption Commission, under scrutiny as the Commission assesses the funding request.

The Story So Far

Liberal lawmakers are urging the European Commission to halt a €653 million payment to Bulgaria from its post-Covid Recovery and Resilience Facility, following the arrest of a liberal mayor. This demand arises from accusations that the Bulgarian government is misusing its independent Anti-Corruption Commission—a body specifically established as a condition for receiving EU funds to bolster the rule of law—to target political opponents, thereby jeopardizing the release of crucial recovery funds tied to genuine reform implementation.

Why This Matters

The European Parliament’s call to halt €653 million in EU recovery funds to Bulgaria, following allegations of politically motivated anti-corruption efforts, puts Bulgaria’s post-pandemic economic recovery at risk and intensifies scrutiny on the genuine implementation of rule-of-law reforms tied to EU funding. The European Commission’s imminent decision on this payment will serve as a crucial test of its commitment to enforcing democratic principles and ensuring anti-corruption bodies are not misused by member states.

Who Thinks What?

Liberal lawmakers in the European Parliament, specifically Renew Europe chair Valérie Hayer, accuse the Bulgarian government of misusing its independent anti-corruption body against political opponents, citing the arrest of Mayor Blagomir Kotsev as alarming evidence, and urge the European Commission to halt payments to Bulgaria.

The Bulgarian government, through its anti-corruption body, arrested Mayor Kotsev on charges of embezzling public funds, suggesting they view this as a legitimate action against corruption, in line with the EU-mandated reform to establish such a commission.

The European Commission is currently assessing Bulgaria’s payment request, taking into account the country’s progress on agreed-upon reforms, including the anti-corruption commission, and will issue a decision on the disbursement of funds in due time.

Liberal lawmakers in the European Parliament are urging the European Commission to halt payments to Bulgaria following the arrest of a liberal mayor, Blagomir Kotsev of Varna. Valérie Hayer, chair of the Renew Europe group, accused the Bulgarian government of misusing its independent anti-corruption body against political opponents, citing Kotsev’s detention as alarming evidence. This call comes as the Commission assesses whether to release €653 million to Sofia as part of its post-Covid Recovery and Resilience Facility (RRF).

Political Arrest and Allegations

Mayor Kotsev, who belongs to the same political family as Hayer, was arrested after being charged with embezzling public funds. His detention sparked protests within Bulgaria, drawing significant public attention. Renew Europe views this action as a politically motivated move, designed to target adversaries rather than genuinely combat corruption.

EU Funding Under Scrutiny

Bulgaria is currently awaiting a decision on a €653 million payment from the RRF, a crucial post-pandemic recovery mechanism designed to support member states. The country has already received €1.37 billion out of its total allocated €6 billion under the facility. These payouts are explicitly linked to the implementation of reforms across various sectors, including democracy, environmental targets, and digital policy.

Controversy Over Anti-Corruption Commission

The creation of an independent Anti-Corruption Commission was a specific condition for Bulgaria to receive these recovery funds, intended to bolster the rule of law. However, Hayer contends that the Bulgarian government is subverting this body, transforming it into a tool to target political adversaries. This accusation directly challenges the integrity and effectiveness of a key reform required by the EU.

Commission’s Ongoing Assessment

The European Commission’s assessment of Bulgaria’s payment request is currently ongoing, taking into account the country’s progress on agreed-upon reforms. A spokesperson for the EU executive stated that a decision on the disbursement of funds will be issued in due time, without providing further specifics on the timeline or the details of the ongoing evaluation.

Key Takeaways

The dispute highlights ongoing tensions between EU political groups and national governments over the implementation and oversight of rule-of-law reforms tied to significant EU funding. The Commission’s upcoming decision on Bulgaria’s RRF payment will be a critical test of the EU’s commitment to upholding democratic principles and ensuring anti-corruption measures are genuinely implemented within its member states.