Recently, one of the main news both in Croatia and globally is INFLATION rate. Although we live in a time when nothing is certain anymore, the influence of inflation certainly is a factor we can count on. Due to the high rate of inflation, today for the same amount of money we can buy fewer products and services than we could in the same period last year, which directly affects economic activity and the economic strength of the population. That is why it is not surprising that INFLATION is of equal concern to economic experts and ordinary citizens who know almost nothing or very little about it.
What is inflation anyway? Inflation represents a permanent increase in the general price level of goods and services. For all market participants, both individuals and business entities, it means uncertainty and lower purchasing power. Therefore, the main task and goal of co-creators of economic policies is to maintain a low and stable inflation rate, which is the key to sustainable economic growth.
According to data from the DZS (State Statistical Office), the inflation rate in Croatia for the month of November 2022 is 13.2% (https://podaci.dzs.hr/), which is also the average rate at which prices of goods and services have risen.
However, certain groups of products and services recorded larger jumps in price growth – this is definitely visible for the group of food products (19.7%) and the group housing and energy products – electricity, water, gas and electricity (16.1%).
How things will unfold, and whether the economic predictions about the future reduction of the inflation rate in the coming periods will come true, remains to be seen.
Author, Admin