The Republic of Ireland are bottom of their U21 European Championship qualifying group after this defeat in Sofia on Friday.
Atanas Kurdov opened the scoring for Bulgaria just before the break when he fired past keeper Shane Redmond.
Momchil Tsvetanov doubled the advantage midway through the second half with a low shot into the net.
The Republic's best chance came when captain Eddie Nolan headed over the bar in the 56th minute.
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