People's fears related to the euro may affect inflation. This was stated on “This Saturday and Sunday“ by social policy expert and former Deputy Prime Minister Ivailo Kalfin on bTV. According to him, enough countries have introduced the euro and we can apply the already established practices.
“If we constantly talk about inflation, it will happen. If we look at the example of different countries that have entered the eurozone, prices will not necessarily rise. A number of measures have been taken there. It doesn't happen automatically“, the expert explained.
Kalfin commented that there is a tendency for prices to calm down. According to him, it will stay around 2% in the coming months. He added that he does not expect a serious price increase from January 1, 2026, after we officially join the eurozone.
“The problem is increasing prices when there are cartel agreements. Where there are three or four players in the market who agree and increase prices together. This is where the state can intervene and stop this thing or remove the administrative obstacles that force businesses to raise prices“, said Kalfin.
The expert admitted that he is skeptical about the effectiveness of the adopted regulatory regulations on the market related to the introduction of the euro. “Administrative suspension of prices, especially with such formulations as “unjustified“, which no one knows what it means, can lead to a crackdown on businesses. I do not see the potential for the state to monitor what is happening with prices in each store and start punishing the owners“, explained Kalfin.
He specified that in other European countries, businesses have voluntarily undertaken not to increase prices due to the introduction of the new currency. Kalfin commented that the government's actions are aimed at "calming the public", and not at having a real effect.
Regarding the idea of state-owned stores with up to a 10% markup, the expert said that this cannot last long in a market economy. According to him, producers should enter the market directly, and not go through intermediaries who increase the price of goods.