Soskic: No Galloping Inflation, But It Will Be Long-Lasting

Regardless of the numerous price increases, we can’t talk about a galloping inflation, there’s still plenty to go until that and those prognoses by European economists will not come true.

This was stated by the former NBS governor and a professor at the Faculty of Economics, Dejan Soskic, for TV Insajder, as reported by FoNet.

He pointed out that the inflation would probably be long-lasting, but still at the level far below a galloping inflation, but he warned that an inflation of 15, 20 and 25% was not something that could be allowed if we wanted to have stable conditions for economic development and if we didn’t want the populace to seriously lose its purchasing power.

– For us, it’s not good not just from the aspect of the living standard, but also from the aspect of the ability of the populace to incite economic activities through their consumption – Soskic said and added that the inflation needed to be reduced and that he believed that it should have started earlier.

– Both Europe and America should have reacted a year ago, because it was clear that it was not a passing inflation from the supply side, as it was most frequently presented at the time – Soskic said.

Ekonomski fakultet Beograd

Narodna banka Srbije Beograd

Faculty of Economics in Belgrade

Dejan Šoškić

inflation

galloping inflation

reducing the inflation

NBS