European leaders have formally backed Bulgaria's entry into the eurozone, setting the stage for the country to adopt the single currency on January 1, 2026. The announcement came at the conclusion of the EU summit in Brussels, where the European Council endorsed the European Commission's proposal and confirmed that Bulgaria had met all the necessary convergence criteria outlined in the EU Treaty.

In their final conclusions, EU leaders welcomed Bulgaria's progress and urged the Council of the European Union to adopt the Commission's proposals without delay. Prime Minister Rosen Zhelyazkov, speaking to Bulgarian reporters before the summit, said he expected unanimous support - a prediction that was ultimately fulfilled. The process will officially conclude on July 8, pending approval from both the European Parliament in Strasbourg and the Economic and Financial Affairs Council in Brussels.

The European Council's statement reads: ?The European Council welcomes the fulfilment of the convergence criteria by Bulgaria, as set out in the Treaty, and supports the Commission's proposal that it adopt the euro from 1 January 2026.? The final stage, involving the two votes, is expected to confirm Bulgaria's admission to the eurozone.

Alongside the eurozone developments, the summit also addressed broader geopolitical and economic issues. The EU agreed to extend its existing sanctions on Russia for another six months, maintaining measures that include the freezing of more than ?200 billion in Russian central bank assets. These sanctions, renewed every half-year, had been in question due to concerns over Hungary's position. Ultimately, Hungarian Prime Minister Viktor Orban backed down at the last minute, allowing the extension to proceed.

However, efforts to approve a new 18th sanctions package stalled due to opposition from Slovakia. Prime Minister Robert Fico refused to support the new measures amid an ongoing disagreement with Brussels over future plans to halt Russian gas imports by 2027. Slovakia remains heavily reliant on Russian gas and derives revenue from its transit. Talks between Fico and European Commission President Ursula von der Leyen did not lead to a breakthrough, and Fico pledged to block the new sanctions package.

In a video address to EU leaders, Ukrainian President Volodymyr Zelensky called for the adoption of the tougher sanctions, which he said should target Russia's oil exports, shipping fleet, banking sector, and military supply chains. Nevertheless, one of the more ambitious measures under discussion - lowering the price cap on Russian oil - was postponed, with officials citing a lack of support from Washington within the G7 framework.

The summit conclusions also emphasized the need for continued increases in defense and security investments across Europe. European leaders reiterated that Russia's war against Ukraine continues to represent a fundamental threat to European and global stability. Commission President Ursula von der Leyen noted that Ukraine, despite the ongoing conflict, is persisting with key reforms and remains committed to the European path.