Economic recognition: Kosovo economy at most critical point, action required by Government to get out of crisis

While countries of the region, Europe and the World have taken steps to support citizens and businesses in this financial crisis with the highest inflation ever -- Kosovo -- respectively -- is not doing that. \

So has praised former head of the Kosovo Economic Ode, Safet Gerjaliu, who has stressed that it is time for action and not just rationale from the government.

Economy expert Gerjaliu emphasises for Kosovo Press that Kosovo has entered into crisis, and the Government is not accepting it as reality.

I am afraid that one of the most critical points facing Kosovo's economy in this bitter reality is that in some form the term crisis is being overlooked and is not being accepted as reality that we are in crisis. Second, Kosovo has entered from crisis to crisis, because we have had economic pandemics, and when all of this adds to the crisis that generates the war between Russia and Ukraine, it is indeed increasing tensions. Many countries of the world are panicking, the fact that in Kosovo for the month of May we have had a 12.5 per cent inflation rate is the first concern, the purchasing power of the euro in Kosovo has dropped to nearly 50 per cent -- that citizens, who by 100 euros before three months, are not worth even 60 euros today. Therefore, this is a major concern, and the very fact that many countries in the region are analyzing modalities and methods of how to be with businesses and citizens, in Kosovo that is not the case. It's really a huge concern”, he says.

Gerjaliu believes that this government has field experts, but that according to him, it is not acting to confront the crisis.

Kosovo has entered an economic crisis that will generate negative effects in the future, both economically and socially, but also in other ports of Kosovo society. In second place, burying dialogue with the private public partnership is the biggest weakness that has engulfed Kosovo society... There is no solution to the problem without confronting the problem. The problem cannot be solved if it is tried to bypass the problem and not be accepted as reality. In this regard I believe the government should be more careful. I want to believe that in the government cabinet there are field and economic and social and integration experts, but it's time for action and not only for rationalization, he says.

He added that all indicators of this crisis are disturbing until he has criticised the Government of Kosovo's recent decision on setting price limits for fuel, which, according to him, does not help citizens or businesses. The largest aid, according to Gerjaliu, would be like this government would reduce excise and T VV for fuel.

Economy expert Muhamet Spahiu says reducing the oil excise would affect the relief of citizens' lives.

“Absolutely, the excise is considered to be a tax on luxury products, which oil is already no luxury, it always exists as excises on oil products. Still, it is very easy to remove because there are no legal implications, it is made only by government decisions - without the implications of the assembly. It is very easily applicable and normally would have the direct and very rapid effect on facilitating citizens' lives and raising purchasing power indirectly”, he says.

Some countries in the region, Europe, and eventually the United States have lowered the excise of oil.