There are no indications that prices of goods and services will stagnate. The Government of the Republika Srpska intends to provide acute assistance to the most socially endangered, but more and more citizens are in a state of social need. Analysts believe that the government’s intervention procurement only affected price growth.
The decline in purchasing power is also noticeable, so citizens are buying smaller quantities of food.
‘People buy, you have a social range as in everything, those who have, buy more as before, people with lower incomes buy as well, but smaller quantities …’
“I stopped comparing anything, when I have to buy, as much as I can, and the prices are here and there …”, say traders and citizens.
Lower prices in the market do not follow the prices in the markets, so for flour, oil, meat you are no longer sure what the price is on a daily basis. The Government of the Republika Srpska sees acute assistance to the most socially endangered as the current measure that will counter the increase in prices.
“We are expecting very soon, in the next two months, the harvest of cereals, then we will have more serious reserves for RS to allocate a certain amount to kitchens through the bakery industry and the Red Cross, and another amount to those citizens who are in the status of social need, there will be oil and canned food in addition to flour … “, says Radovan Viskovic, RS Prime Minister.
However, government intervention was not a good move, analysts say. Excessive shopping also contributed to that, as well as hunting in murky sellers.
“Those who supply us see the opportunity to earn a little more, one of the things that contributed to the rise in prices is the intervention purchase made by the government, because it added fuel to the fire,” says analyst Zoran Pavlovic.
Analysts estimate that something had to be done when it comes to animal feed in the agreements with Serbia and Turkey, because we have already come to the situation that we have a constant increase in meat prices.
“I believe that we will try, if nothing else, to offset these price increases because there is disproportionate growth in the world market of all raw materials and raw materials that are necessary in the production of animal feed,” said Suzana Gasic, Minister of Trade and Tourism of Republika Srpska.
However, the government cannot level the rise in oil prices, so diesel at RS gas stations is still above 3 marks. The positive, for now, is that the price of electricity for households will not rise.
