The rising prices of oil and natural gas on global markets could trigger a new wave of increases in the prices of goods and services in Bosnia and Herzegovina, while citizens are already struggling to cope with the rising cost of living.
Energy experts warn that fuel prices at gas stations could soon reach four marks per liter if oil prices continue to rise. At the same time, consumer associations expect electricity prices to increase after the elections.
The impact of rising prices is being felt particularly strongly by pensioners, for whom everyday life has increasingly become a struggle for survival. With average pensions of around 900 marks in the Federation of Bosnia and Herzegovina and 700 marks in Republika Srpska, many pensioners are struggling to afford basic necessities.
Prices at markets and pharmacies continue to rise, while sellers say imported goods have become more expensive. Farmers are also facing serious challenges following the drought, which has significantly affected agricultural production and could lead to further increases in food prices.
Agricultural producer Mejra Korajčević from Janja says the damage caused by the drought has been enormous.
“It should be expensive compared to the effort and work and our investments. We have burned everything – from grain, peppers, eggplants.”
Consumer associations are also warning of possible increases in electricity prices. Jovan Vasilić, president of the Zvono Consumer Association, believes that any significant increase is more likely to come after the elections.
“As for electricity, the first thing that will increase in price, but only right after the election. For now, while this pre-election campaign lasts, we should not expect any major price increases.”
Energy expert Almir Bečarević warns that developments on international energy markets could have a direct impact on consumers in Bosnia and Herzegovina.
“Regarding the prices of natural gas on the European market, i.e. on the reference stock exchanges, compared to February of this year, it has already risen in price by 310%. All these prices of a barrel, i.e. natural gas, will surely enter the final products and thus indirectly will lead to an increase in other necessities of life.”
According to an analysis by the Federation of Trade Unions of Republika Srpska, cumulative inflation in the food sector over the past five years has reached 60 percent. The analysis also shows that traders increased their profits by 21 percent last year, raising questions about whether some price increases were justified.
Božana Radomir of the Federation of Trade Unions of Republika Srpska says food prices have risen dramatically.
“Bread has risen in price by about 75%, flour by over 50%, oil and fats by over 73%. And what has been the practice of traders in the last couple of years, precisely the daily, unjustified, uncontrolled price increase under the influence of the increase in energy prices.”
At the same time, wages and pensions have failed to keep pace with the rising cost of living. For many households, the average salary is not enough to cover even half of the trade union consumer basket for a family of four.
Citizens are therefore entering another period of uncertainty, with the possibility of higher fuel, electricity, gas and food prices adding further pressure to already strained household budgets.
Those interviewed say that symbolic increases in salaries and pensions cannot compensate for the dramatic rise in the prices of goods and services. Instead of pre-election promises, they are calling on authorities to introduce concrete measures to protect citizens and help restore household purchasing power.
