Liapchev’s government during 1927–28 has secured League of Nations stabilization loans to assist in repatriating Bulgarian refugees in the Kingdom of the Serbs, Croats, and Slovenes.

Under the Macedonian prime minister, IMRO also has much more latitude; this means that political assassinations and terrorism continue unabated.

IMRO raids into Yugoslavia end Bulgarian rapprochement with that country, and the Macedonians demand preferential economic treatment under Liapchev.

Compared with the preceding years, however, the late 1920s bring relative political stability to Bulgaria.

Liapchev leads a conservative majority in the subranie and has the confidence of Boris.

The press is relatively free, and educational and judicial institutions function independently of the government.

Industrial and agricultural output finally exceeds prewar levels, and foreign investment increases.

But even after substantial reduction, Bulgaria's reparations payments are 20 percent of her budget in 1928, and the return to the gold standard this year weakens the economy one year before the onset of world depression.