High prices, Gerjaliu: We had asked Government to secure state reserves, we encountered deaf ears

Oil, bread, oil, currents are the top words we've heard in the last few days. Markets are running low, because of the citizens' panic over lack of basic products. This increase has marked the highest level in the last 20 years in Kosovo, field connoisseurs estimate.

But how is the government's first reaction to the situation?

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Economics professor Safet Gerjaliu, in an interview for Periscope, has compared the economic crisis as a consequence of the Devid-19 pandemic to the war in Ukraine, saying Kosovo has entered “with crisis in”.

The “in the first row must be understood that after COVID-19, the world will not be what it used to be.
Second in line as an expert, we have warned that as a result of the COVID-19 pandemic, the world will be hit by an economic pandemic. And this pandemic has led to a price disorder. Prices that directly, indirectly, or periphery have a bearing on rising prices and other products. And when all of this is added to the fact that Kosovo has entered into crisis, I say, thanks to the harsh reality created with the war between Ukraine and Russia. Definitely a market disorder worldwide, and not only in Kosovo”, he says.

According to Gerxhaliu, what distinguishes Kosovo's crisis with other countries is the fact that the state in time has not had political stability.

What distinguishes Kosovo with other countries is that, for example. in pandemic times Kosovo has not had political stability. The very fact that we have had three governments, three fronts of choice, is the best evidence than the economy is bypassed. In the second order, field experts have always recommended that priority should be economic development rather than political agenda. And if we have the recommendation that economic development be a priority, we have asked for state reserves, whether of strategic products or of daily life. Unfortunately, such a thing has been found in deaf ears, and today this crisis is not analysed solely in economic-social terms, but many are emotionally disturbing. How the citizens of Kosovo feel when they see this reality, when they see all this information and when they go to the market today and see really high prices. All of this, testifies to the fact that today Kosovo citizens are at the mercy of businessmen, everything is done on behalf of open trade. There are no inspectors and agency for price monitoring, and it should not be surprising that within the day essential products have three times the price change. It's time we had to have a real public-private dialogue. It's a good time when citizens see the hand of the state and, after all, if you can't change anything, the least is a dialogue that is pushed towards a great optimism”, he added to Periscope.

Professor Gerjaliu, among other things, says that given the fact that we are in a global crisis, the government cabinet must do more in economic terms and take on good modalities from countries in the region.

The fact that we have a state called the Republic of Kosovo and is dependent on import is a major concern. In 2021, Kosovo imported more than 4 billion and 700m euros of goods, and in that direction we imported inflation that in January 2022 is more than 7%, with great concern. Second in line against price hikes, we have a salary freeze and how many years talk about a minimum wage, which really cannot be reached as a deal. All this is affecting the loss of confidence that can be enjoyed in Kosovo. It should not surprise us that we are a thinking society outside of Kosovo, so it is time for modern patriotism to be transformed into civic deeds and prosperity. What exasperates the measure even more is what is promoting a double economic growth, but economic growth is what when Kosovo's citizen enjoys it, and there is a sense that this growth and economic prosperity is not about to be seen by the citizen of Kosovo. It must be realized that we are in a truly global crisis. Economic diplomacy should be very active in this regard. I have thought that in these days of the crisis the government cabinet will be more active in economic terms, Sofia, Podgorica, Tirana and Skopje will be visited, to dialogue as to a modulation of co-operation because they have the reserve states if there is no Kosovo. And it must be understood that Kosovo and Pristina are not the whole world. It should be widely thought and must believe that if politics does not find solutions then it should be left to business because who recognises the market in the Balkans more than business, who knows channels and insights better than business but should not have restrictions and public-private dialogue is a guarantee of success in this time of crisis. In the first place, it must be understood that the key institution of tendering is the public procurement review body, and prehumanity that a year and something is not working because the board is incomplete. You have numerous tools of the year 2021 that have not been exploited and can be relocated. Definitely should be learned from the experience of countries in the region, to analyse Croatia, Serbia, Montenegro, Macedonia and those models to be in place in Kosovo”, economics professor Safet Gerjaliu said.

Asked by Periscope whether an opportunity to ease the situation of a crisis like this is that of emergency reviewing the budget, Gerjaliu thus answers:

The easiest option is to review the budget, but for all this, it takes will and readiness, even knowledge. This is the obligation of ministers and prime ministerial advisers to give recommendations in the interest of the state, the citizen, and not always to protect the interests of political parties. It's a time of war, this has to be accepted, it's an emergency time, and we all need to have a synchronization of the activity of debates so that through these debates we can go out together and really contribute to the welfare and psychology of the citizens the state thinks about them” is over./Periscopi/