Gerxhaliu: Economic situation is worrying, even harder times expected

Economist Safet Gerxhaliu has warned that the continuation of current economic trends could further undermine the living standards of Kosovo's citizens, with inflation expected to rise, product prices increasing, and supply chains facing difficulties.

He warned that the economic situation in Kosovo was worrying and that international developments could further undermine citizens' living standards, particularly when it comes to product prices and the security of food supplies.

"The standard of living in Kosovo today is worrying. If this trend continues and the current economic indicators remain unchanged, we must accept the bitter fact that Kosovo is facing two evils. The lesser evil is that things are bad today, while the greater evil is that tomorrow, by all indications, things could be even worse," Gerxhaliu told Klan Kosova.

He also pointed to expectations that inflation would continue to rise, stressing that institutions must take this problem seriously.

"When the International Monetary Fund and the World Bank forecast that the upward trend in inflation will continue until the beginning of 2027, the estimate is that inflation will rise by 2.7 to 3 percent," he said.

Speaking about the possible consequences of international crises, he drew particular attention to developments in the Strait of Hormuz and disruptions to supply chains, which could affect the availability and prices of agricultural raw materials.