VIDOVIĆ LINKS INFLATION RISE TO GLOBAL CONFLICTS

BANJA LUKA, MAY 6 /SRNA/ – The Minister of Finance of Republika Srpska Zora Vidović has said today that it is logical for the inflation rate to increase not only in Republika Srpska but also globally due to military conflicts and difficulties in energy supply, as well as high energy prices, which have in turn driven up prices of all other goods.

"This depends the least on us, and we cannot influence inflation. It is something that large actors can affect with their decisions, so even a statement by US President Donald Trump in the morning can open or close the stock market," Vidović said at a press conference in Banja Luka. She added that problems are expected only after the end of armed conflicts, and that only then will inflation growth continue. "For this year, inflation in Republika Srpska is projected at three percent, while it is currently at 4.9 percent. The World Bank and the IMF have projected an inflation rate higher than initially assumed, and in the coming period they will make new projections. Republika Srpska is also preparing its budget projection for the next three years and will project inflation rates for 2027 and 2028 as well," she noted. Vidović stressed that it is currently impossible to accurately project inflation rates for the future period. Speaking about the Council for Economic Development of Republika Srpska, Vidović said it has already begun active work and that certain ideas for solutions have already been submitted to the Ministry of Finance. Regarding the Investment Council, Vidović said it should function, but that it is unnecessary to increase administration since there are enough people who can do that work seriously.