An increase of the teachers’ salaries by 100 per cent in 2008 would lead to protests in other sectors and to financial instability in the country, research by the Institute for Market Economy (IME) showed.

Dissatisfaction would raise among forestry, State Railways employees, doctors, state clerks, university lecturers and non-pedagogical staff, the research said as quoted by Focus news agency. If the teachers would receive a 100 per cent increase in the salaries, the monthly wages of the university lecturers will become by an average of 22 per cent lower than those of the teachers.

Bulgaria’s economy was already overheating, inflation in September was 13 per cent and the current account deficit was nearly 20 per cent of the GDP, according to the research.

A 100 per cent increase of the teachers would cause an inflation of over 35 per cent per year, current account deficit exceeding 30 per cent of the GDP, resulting in fewer direct foreign investments.

IME experts said that a 68 per cent increase in the teachers’ monthly wages by the end of 2008 was possible without risks for the economy. The increase could be achieved by a 50 per cent cut of the non-pedagogical staff plus a 30 per cent reduction of the number of teachers, combined with 30 per cent cut of administration at the Education Ministry regional inspectorates.

Teachers’ unions disagreed that the teachers’ salaries increase would cause higher inflation.

Teachers have been on an effective strike since September 24 2007.