Podgorica, (MINA-BUSINESS) – Citizens are currently facing two major problems — the global economic crisis and a passive government, said Olivera Vukajlovic, adviser to the President of Montenegro for sustainable development, calling on the authorities to take concrete steps without delay in response to expected price increases.

Vukajlovic stated that the current rise in fuel prices and the announcement of further increases once again demonstrate the lack of a timely government response to economic challenges directly affecting citizens and businesses. 

“The core problem is not only yesterday’s rejection of legislative amendments, but the fact that the Government persistently ignores the mechanisms already at their disposal. The current Law on Excise Duties clearly allows for a temporary reduction of fuel excise taxes by up to 50 percent for a period of up to three months,” Vukajlovic said in a press release.

According to her, analyses show that such a measure could lower fuel prices by up to 27 cents per liter, which would provide tangible relief for both citizens and businesses at a time of rising living costs.

“Although reducing excise duties would affect budget revenues, responsible economic policy requires balancing the state budget with citizens’ budgets. When the state takes nearly half of the fuel price through taxes, it is reasonable to expect that it should bear part of the burden in times of crisis,” Vukajlovic said.