The continuous increase in prices is making life more difficult for citizens and businesses in Kosovo, while expectations for a quick relief of the situation remain dim. Annual inflation in September reached 7,8 percent, with transportation, housing and energy costs among the categories that recorded the largest increases. Faced with this situation, the president of the Kosovo Chamber of Commerce, Lulzim Rafuna, and economist Bashkim Mustafa are demanding concrete measures from the Government to mitigate the impact of prices on citizens and the private sector.
The President of the Kosovo Chamber of Commerce, Lulzim Rafuna, in an interview with Ekonomia Online, says that inflation is the result of a combination of internal and external factors, highlighting the price of electricity, the way businesses enter the free market, and the rise in the price of petroleum products.
"There are external and internal factors that have influenced us to have such high inflation. The internal factor is the price of electricity, and the release of businesses into the free market without a good, well-thought-out plan, and without an opportunity in a transition phase, because no business has been against entering the free market," said Rafuna.
He emphasized that geopolitical developments and rising oil prices are directly affecting the local economy, while dependence on imports makes Kosovo more exposed to external inflation.
"Second, there are geopolitical factors, especially the price of oil derivatives, the increase in the price of oil derivatives. Also, we must not forget that we also import a very large amount of goods, which is why we have a very high trade deficit and along with imports, we also import a certain amount of inflation," he stated.
Faced with the continuous increase in prices, Rafuna estimates that the Government should prepare a concrete package of measures to mitigate the impact of inflation, citing as a possibility the reduction of excise duty or value added tax on petroleum products.
"This is a concern that we have, that no one is dealing with the treatment or remodeling of a package that would help reduce inflation or at least mitigate inflation, as we call it. It is not a big discovery, many European Union countries have now taken measures and we have requested that the Government of the Republic of Kosovo, especially in the part of oil derivatives, reduce the excise tax or value added tax, together with the calculations it makes," said Rafuna.
According to him, even in cases where assistance cannot be extended to all citizens, the Government should intervene in sectors that directly affect the prices of basic products and services.
"But even if it is not possible to help a very large number of citizens, then at least focus on some sectors that are of particular importance and that have an impact on the products or the daily lives of the citizens of the Republic of Kosovo. For example, we have the agricultural sector, we have the transport sector, whether of goods or of passengers, and so on," he stated.
Rafuna stressed that the increase in the price of electricity and petroleum products increases the operating costs of businesses, directly affecting the final price of products. According to him, this can put local producers at a disadvantage compared to products imported from countries where businesses are subsidized.
"For this reason, the Government must prepare a package, it must help the citizens of the Republic of Kosovo, it must help businesses so that, first of all, our products do not become more expensive than imported products. We must bear in mind that any increase in the price of oil derivatives or electricity is an operating cost for the business and directly affects the cost of the final product. And if other countries subsidize their businesses, then undoubtedly the product imported from those countries is subsidized in relation to our production," said Rafuna.
He added that cooperation between the Government and the private sector is necessary to find solutions that would help businesses cope with costs and citizens not feel the price increases so heavily.
"For this reason, the Government must stay close to our businesses, in cooperation with the private sector, prepare a package that will first help businesses and through businesses, help the citizens of the Republic of Kosovo, so that they do not feel inflation so deeply. Inflation erodes the citizen of the Republic of Kosovo", he emphasized.
The Chairman of the KCC has announced that the latter has written to the Prime Minister since the first months of the increase in oil prices, but that political developments and institutional blockades have made it difficult to handle the requests.
"We have written to the Prime Minister since the first months when the price of petroleum products began to increase. In the meantime, there were these political blockades in the incumbent Government. Now, since both the Government and the Assembly of the Republic of Kosovo are in full power, we will soon hold a meeting either with the Prime Minister, but also with the ministers of the relevant departments, to present our demands," Rafuna declared.
He announced that the issue of inflation and the protection of businesses were also discussed in the meeting with the Minister of Industry, Entrepreneurship and Trade, Mimoza Kusari-Lila.
"Yes, we discussed it with the minister, it was a very good, constructive meeting. The minister has expressed her willingness to evaluate the letter, our request, and will very soon come up with a decision on what can be helped and how both businesses and citizens of the Republic of Kosovo should be helped," said Rafuna.
Speaking about expectations in the coming months, Rafuna said that developments in international markets do not signal a rapid decrease in inflation. He mentioned the prices of electricity, gas and oil derivatives, as well as the seasonal increase in energy demand during the autumn months.
"Looking at the latest developments, both in the European Union market and in the United States of America market, there are no expectations that there will be a decrease in inflation, because the European Central Bank has already raised interest rates once again in recent days, seeing indications that inflation will increase during the autumn months, due to the increase in the price of electricity and the increase in the price of gas," Rafuna declared.
He added that increased demand for energy and gas during this period could put additional pressure on prices, while global challenges with oil derivatives remain another influencing factor.
"Also, the demand for energy and gas increases more during this period, so the price will also go higher. Also, add to this the global challenge we have with oil derivatives, so the European Central Bank has raised interest rates precisely because of the tendency for inflation to increase in the coming months," he said.
Economist Bashkim Mustafa, in an interview with Ekonomia Online, also estimated that 2026 has exceeded predictions in terms of price increases, citing the increase in the cost of electricity, oil derivatives, and other products that affect the entire chain of economic activity.
"Unfortunately, this year has now exceeded all possible predictions as a result of many factors. One of the factors is the price of electricity, the price of oil derivatives and other products that affect the chain aspect of the entire business cycle, which are increasing, both the cost of living and products, bringing even greater difficulties," said Mustafa.
He criticized the Government for the lack of concrete measures, assessing that so far not enough steps have been taken to prevent or stabilize price increases.
"The major flaw is that the Government is not taking any steps, any possible action, regarding the prevention or even the slightest stabilization of inflation, which has become an unbearable burden for the citizens of the country," Mustafa declared.
Mustafa said that the Government should take measures that would help economic circulation and the financial strength of businesses, while at the same time considering the possibility of indexing income for the categories most affected by price increases.
"The government has stagnated all its capital projects, which affect growth and turnover or payments and the ability and strength of businesses. At the same time, income levels should be indexed, especially for the most affected categories, such as social assistance, pensioners and others," Mustafa told Ekonomia Online.
He assessed that the impact of external factors on inflation in Kosovo is considerable, given the country's high dependence on imported products.
"However, the indicators and influencing factors are also from the outside world, when it is known that the Kosovo economy imports about 88 percent of products. With the arrival of products comes the increase in price levels. When we also have the increase in fuel prices, this directly affects the increase in the cost of transportation and other products," Mustafa declared.
According to data from the Kosovo Agency of Statistics (KAS), the Harmonized Consumer Price Index in September 2026 was 7,8 percent higher compared to September last year, while monthly inflation, compared to August, was 0,2 percent.
Transport marked the largest annual increase, with 23,9 percent, followed by the housing, water, electricity, gas and other fuels group, with 11,9 percent.
Increases were also recorded in alcoholic beverages, tobacco and narcotics, by 6,3 percent, in restaurants and accommodation services, by 5,2 percent, and in healthcare, by 4,5 percent.
Prices of personal care, social protection and miscellaneous goods and services increased by 3,8 percent, while furniture, household appliances and routine home maintenance by 3,5 percent. Clothing and footwear became more expensive by 3 percent, while food and non-alcoholic beverages by 2,4 percent.
Rritje më të vogla u shënuan në rekreacion, sport dhe kulturë, me 1,8 për qind, në informacion dhe komunikim, me 0,7 për qind, si dhe në sigurime dhe shërbime financiare, me 0,3 për qind. Ndërkaq, shërbimet arsimore ishin e vetmja kategori që shënoi rënie vjetore të çmimeve, prej 0,3 për qind. /EkonomiaOnline