A price increase of minimal wages cannot occur at the moment, Finance Minister Plamen Oresharski said. Budget 2006 would not permit such increase, said he.

This week labour union KNSB demanded higher minimal wages and higher standard of living, mediapool.bg reported.  Minimal wages should become 180 leva by October, KNSB demanded during a rally on Tuesday.

To make such decision the ministry needed to calculate the decrease of business competitiveness and the budget deficit increase that higher wages would produce, Oresharski said.

Bulgaria would certainly increase its current account deficit, which is already high, in this manner, said Oresharski.

At the moment Bulgaria is among the European countries with highest current account deficit. Last year the deficit reached the unprecedented 13.5 per cent of the GDP.