SOLVE THE PROBLEM OF PRODUCTION AND DEMAND FOR LABOR Novalić: We have 280,000 unemployed, yet there is a shortage of labor

SARAJEVO, (Patria) - Current FBiH Prime Minister Fadil Novalić spoke last night about current plans for the next year, possible price increases, and challenges that the FBiH Government has faced and is facing in its work.

As he told citizens during his guest appearance on Hayat TV, they are currently paying for electricity much cheaper than they should.

"I inform citizens that our electricity price is almost twice as low as the production price. The production price is 54, and we sell it to citizens for 32. In that sense, we support citizens with cheaper electricity by about 200, 300, even 400 million annually. If we want to have electricity permanently, it will have to be more expensive. It is a market category. But we will never fall into the trap of increasing its price for everyone. Namely, in principle, at some point, some government will increase its price for everyone, but return it to those who cannot afford it. In the future, this electricity price will remain for citizens who consume up to a certain average. Their electricity will not become more expensive. But those who consume above average, those who heat with electricity, who, for example, have restaurants... they will have to pay more," explained Novalić.

Novalić also spoke about how to reduce the number of unemployed. He emphasizes that only economic growth reduces unemployment, but we always have some disruption.

"We have a disruption in that we have 280,000 unemployed, yet we lack labor. We have a supply of labor, which has no demand in the market. These are professions that society does not absorb. The issue of our unemployment has actually become the opposite issue, a shortage of labor. But for both, it is good that the economy is growing. It is not growing due to price increases, but real GDP is growing."

He also said that the trend of increasing pensions must continue.

"We passed a Pension Law in 2018, and last year we refined it, given that we did not sufficiently reflect the crises. Pensioners cannot wait two years, as the provisions stipulated, while prices rise year after year. We corrected it, and according to the law, the Government must make regular and extraordinary adjustments on April 15. Now pensioners have nothing more to negotiate with the Government, as budgets exist. How much GDP has grown, how much prices have risen, is added and divided by two, and that is the pension increase. In years like 2022, the law insists that pensions be increased this year on April 15. There will be a significant increase in pensions. This will not depend on the will of the Prime Minister and the Government, it must be done," said Novalić.