Despite the referee calling the match to a halt on two occasions during the first half as result of racist chants among the home crowd, Balakov insisted he heard nothing of that sort after the game.
The 53-year-old rather condemned England supporters for their unacceptable behaviour after the away fans were heard disrupting the home team’s national anthem before kickoff.
Both teams were charged by UEFA on Tuesday for the disturbances while Bulgaria’s Football Union president Borislav Mihaylov has stepped down in the game’s aftermath.
Bulgarian police have so far arrested six individuals identified in connection with the racist chants and home boss Balakov has now backtracked on his earlier comments by issuing an apology.
In a letter posted to his official Facebook page, Balakov wrote: "I condemn all forms of racism as an unacceptable behaviour that contradicts normal human relations.
"I think that this form of prejudice should be buried deep in our past, and no one should ever be subjected [to it].
"I have trained many Bulgarian teams with players of different origin and never anyone judging by the colour of their skin. In addition, I have always participated actively in all initiatives involving privileged people or those who need to be involved.
"My comments before the game against England that Bulgaria did not have problems with racism is based on the fact that the local championship did not see such a problem on a large scale.
"There may have been individual cases, but it's definitely not something you see at the stadium. The majority of football fans do not participate in this kind [of behaviour], and I believe that this has also been the case in the game against England.
"I would like to say very clearly: since there were cases of racial discrimination in Sofia, I would like to sincerely apologise to the English footballers and to all those who felt offended.
"At the same time, however, I would like to address everyone who uses hateful language on social media, that my words have been incorrectly removed from context - and if that does not stop, I will be forced to take legal action against it."
