Education in Bulgaria is generally financed by the state budget. Schools that are deemed to have national importance are financed by the national budget, whereas schools that have only local significance are financed by the people's councils at the local level. Since 1964 the expenses of many vocational training schools have been financed by various related ministries, factories, and enterprises. These organizations have played an increasing role in the financing of the schools since that date.
The only available figures dealing with the financing of education are those on higher education. As Bulgaria is considerably behind most European countries in terms of the financing of education, there is very little public discussion of the issue. Sofia, the capital city, has one of the most severe financial problems. In 1966 only 3.2 percent of the total city budget was spent on matters relating to education. Generally, financial figures for education are categorized with those for science and culture so that it is nearly impossible to separate those figures that deal specifically with education. In recent years educational reformers have requested greater sums for education than were allocated in the past.
Bulgaria's budget for education fluctuated between 133 million leva in 1960 and 491 million leva in 1971. The proportion of the total budget allocated for education, however, actually decreased over the last eight years of the period. In 1960 education represented 5.9 percent of the total budget; in 1964, 9 percent; in 1967, 8.4 percent; and in 1971, only 8.3 percent. The percentage of the Bulgarian gross national product (GNP) earmarked for education in 1972 was inferior to that of some other European and Asian countries. The German Democratic Republic (East Germany) spent 5.9 percent on education; the Soviet Union, 5.8 percent; Japan, 5.3 percent; Poland, 4.8 percent; Great Britain, 4.3 percent; France, 3.2 percent; and the Federal Republic of Germany (West Germany), 3 percent. Bulgaria allocated only 0.5 percent of its total GNP to the field of education.
Before the Communists took power in 1944 kindergartens were considered to be an unimportant factor in education. In 1921 there were only twenty-four kindergartens in the entire country.