Global market turmoil will be the test for tenacity of reforms in countries all over the world, Bulgaria included, Fabrizio Coricelli, director of policy studies at the European Bank for Reconstruction and Development (EBRD), told the Central European Initiative (CEI) forum, taking place November 20-21 in NDK, Sofia.

This is one of the conclusions of the EBRD report entitled "People in Transition 2007", which spans countries all over the world and analyses the degree of implementation of vital reforms, people's perceptions and level of satisfaction with the transition process.

These goals distinguish this year's report from the ones done in the previous 13 years.

Governments in countries under review, Bulgaria included, have made huge strides in reforms but the EBRD expects a slowdown in the years to come because reforms that are yet ahead are the most difficult to implement, Coricelli said.

According to an EBRD methodology, Bulgaria fares well in terms of reforms' implementation this year. At 3.5, Bulgaria's indicator is better compared to previous years and is paramount to that of new EU peers.

The official distinguished three phases of reforms. The first entails small-scale privatisation, foreign exchange liberalisation, among others. The second entails large-scale privatisation, reforms of financial institutions. And the third phase, which Bulgaria is currently implementing, relates to public reforms and ones improving governance.

Speaking of risks to beware in the future, Coricelli said Bulgaria should keep inflation and loans at bay.

Taking the issue to the level of people's satisfaction with the transition period, Coricelli said that while there is fatigue with reforms, the population in most countries are generally satisfied because spending power improves, democracy levels are on the rise.

Yet in general people need the government to spend more on healthcare and education and see these two among the most expensive items in their consumer basket.

People are satisfied with the democratic reforms, Coricelli continued, and the level of satisfaction tends to be higher in countries with larger middle class.