Rising prices, state intervention required to ease difficulties in implementing capital contracts

Rising prices, state intervention required to ease difficulties in implementing capital contracts

A delegation of the Kosovo Communists Association (AKK) led by Chairman Agim Aliu has been hosting a working meeting the Kosovo Economic Ode (OEK) delegation led by Chairman Berat Rukiqii to discuss the problems of price raising and the challenges economic operators have to continue implementing [...] projects.

At this meeting, AKK Chairman Agim Aliu said that “these problems are related to your work and the municipalities in continuing work on implementing contracts dealing with capital investment projects.

We cannot influence global changes even in stock prices, but as institutions and as a society, we need to find an acceptable solution for all parties to continue the contracting work between economic operators and our institutions”.

On the other hand, OEK Chairman Berat Rukiqi said that “shares the same concern between the Kosovo Economic Oda as we have many contracts of economic operators with local and central institutions signed earlier as prices have now risen enormously and it is almost impossible for economic operators to continue implementing those contracts. If we add this to the OSHP, these two issues will affect the local economy and capital investment projects.

We like OEK think there are some possibilities for Government to help in this direction, and we can also take examples from the region, whose states have found some solutions in this direction between economic operators and state institutions in contracts with capital investment projects”.

At the end of the meeting, the parties have agreed that by means of a letter to Kosovo Prime Minister Albin Kurti with several demands, the solution of which would affect the country's economy, businesses and our own institutions.

In this case, the Association of Kosovo municipalities and the Kosovo Economic Oda have asked the Government of the Republic of Kosovo:

  1. Filling and functioning the Procuring Organization Board (OSHP).
  2. To cancel procedures for all procurement activities that are in contexts and to return to restitution due to price hikes.
  3. Find the possibility of reviewing current contracts and changing their global price price raising prices for projects in capital investments (or even according to indexing sectors based on Kosovo Statistics Agency data).

This situation could force economic operators to withdraw from contractual relations, which would result in the seizure of contract insurance and the blacklisting of operators that in a chain way would have consequences in business economies and their employees. /Periscopi/

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