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Croatia:price hikes with the Euro, the government intervenes

Croatia:price hikes with the Euro, the government intervenes

Bread and butter increased by 30%. Citizens' wrath explodes

ZAGREB, 10 gennaio 2023, 22:37

Redazione ANSA

ANSACheck

© ANSA/EPA

In Croatia, which joined the Eurozone on January 1 with the adoption of the single currency, there is a sharp rise in prices, especially for food and services.

Increases were deemed unjustified by the government, which has announced an intervention in the next few days.

Most of the increases relate to roundings that far exceed the logic of conversion, with price increases from 5 to 20 percent compared to prices before the introduction of the single European currency.

For this reason, many merchants, restaurateurs, and even some supermarket chains have been accused by the press of taking advantage of the currency change.

The wrath of citizens has also exploded on social networks; they complain of price increases for bread and butter of up to 30 percent, among other things.

Prime Minister Andrej Plenković also accused "a part of traders and entrepreneurs of taking advantage of the transition from the Croatian kuna to the euro with this irresponsible behavior," announcing possible interventions if the situation does not normalize by Friday.

Plenković said the government has powerful tools "that it will not hesitate to use." Possible interventions include targeted increases in taxes and levies, abolition of subsidies for gas and energy, or even freezing the prices of hundreds of items at December levels.

In addition to entering the Eurozone, Croatia - the last country to join the EU in July 2013 - also joined the Schengen area of ;;free movement in Europe at the beginning of the year.

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