Economics

Economy Veers Toward State Control in Poorest EU State

  • Bulgaria’s government boosts influence in array of businesses
  • Latest moves take on gambling boss, companies such as Lukoil
Boyko Borissov arrives for roundtable talks at a European Union leaders summit in Brussels.Photographer: Geert Vanden Wijngaert/Bloomberg
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The European Union’s poorest nation is backtracking on nearly 25 years of post-communist transformation by boosting the government’s influence across the economy.

After a devastating financial crisis in the 1990’s, Bulgaria began privatizing state-run companies and inviting competition, a crucial step in integrating with richer western Europe. But now it’s inserting itself into businesses ranging from water-supply management and construction to gambling and media distribution, reshaping industries controlled by some of the country’s richest and most influential people.