World
‘It will get worse’: Euro inflation adds to Lithuania’s economic woes
![‘It will get worse’: Euro inflation adds to Lithuania’s economic woes ‘It will get worse’: Euro inflation adds to Lithuania’s economic woes](https://static.euronews.com/articles/stories/06/66/52/96/1000x563_cmsv2_e2374efe-4364-5d87-8dc1-6937c1f0ec4d-6665296.jpg)
Driving a taxi in Lithuania’s third-largest metropolis, Klaipeda, Antanas Jonauskas feels the real affect of the Baltic nation’s standing because the bloc’s worst-hit by Europe’s inflation disaster.
“For one euro, now you can’t purchase even a pack of roasted peanuts for a snack. The costs are simply uncontrolled and there’s no glimmer of hope that issues can get higher quickly,” he stated.
In March, Lithuania had the best inflation charge within the EU of 15.7%, in response to Eurostat, pushed by vitality prices that surged by nearly 13% in Europe within the final month alone.
Lithuania stands out as the highest chief of that grim rating, and the rocketing value of products whereas the euro retains faltering is on the thoughts of most of its residents.
Jonauskas’ taxi firm has bumped up the fare charges, however his revenue has stalled attributable to various points the nation has confronted over the previous a number of years.
“I see means fewer passengers these days. Town has bled tangibly attributable to emigration. COVID-19 stored all locked up at house, some persons are nonetheless afraid to get in to the taxi,” he stated.
“The sanctions imply we won’t see Russian and Belarusian vacationers anymore and the Ukrainians, who flooded the town, are penny-pinching. That’s the brand new actuality.”
‘A loopy rollercoaster’
Primarily boosted by will increase in vitality and meals costs, inflation was up 1.5% in comparison with the earlier month, standing at 15.7% in March — the best since October 1996.
Housing and utilities are up 37.5%, food and drinks 17.1%, whereas transport prices have soared by 22.1%. On a month-to-month foundation, client costs had been up 2.4% in March, once more seeing the largest rise since January 2009 attributable to greater costs for all the pieces from gasoline to clothes to dairy merchandise.
Arturas Timukas, proprietor of the Resort Pub in Palanga, a retreat on the Baltic Sea, stated he usually needed to replace menus to replicate the rising costs he pays to suppliers.
“Each time my spouse calls the suppliers, I really feel uneasy — I do know we will probably be listening to new, greater numbers,” Timukas stated.
In the meantime, an area development firm proprietor, who launched himself as Marius, stated the constructing sector is on a “loopy rollercoaster”.
“When going to mattress each night, I can not make certain that issues will probably be similar within the morning,” he stated.
The battle in Ukraine has not simply impacted the value of supplies and the provision chain typically however the hiring of labour. Employees steadily insist on contracts that peg their salaries to the rising dwelling prices.
“That is what no builder will do, so I’ve to provide you with different perks and incentives. And people not sure by contracts need to have their pay reviewed practically weekly, adjusting it to inflation,” Marius stated.
Darius Antanaitis, the proprietor of UAB Ostara, an organization assembling state-of-the-art electrical buggies, advised Euronews that Lithuania’s record-high inflation is due to the nation’s incapability to provide low-cost electrical energy.
“Lithuania’s resolution earlier than the accession to the EU to close down its nuclear energy plant has been the largest mistake,” he stated. Not constructing new ones was one other mistake, Antanaitis insisted.
“If we had pursued it, the electrical energy can be less expensive now and we’d not have seen the nuclear station in Belarus, 50 kilometres away from Vilnius.”
Grappling with the impact of inflation on his enterprise, he has shelved or postpone some tasks, specializing in essentially the most key ones and on paying salaries on time.
“My each day headache is to suppose methods to retain all of the high-skilled value-added professionals on my staff and methods to compensate the losses they incur from rising inflation,” Antanaitis stated.
He doesn’t rule out the opportunity of adjusting the salaries in his firm for inflation — one thing that he can not provide in the intervening time. “That is what many staff ask for now,” he defined.
Conflict to affect exports, nationwide financial institution warns
With vitality costs at a record-high, Lithuania noticed heating payments rise between 100 and 150% for households final winter.
The consumption of Russian gasoline has been declining within the nation during the last couple of years –- from 32% in 2019 to 26% in 2021.
However Lithuania’s vitality dependence on Russia was one of many highest amongst European nations earlier than the Russian invasion of Ukraine on 24 February. Simply final 12 months, the nation paid over €3 billion for Russian oil, gasoline, and electrical energy, consultants stated.
Based on Lithuania’s Luminor financial institution economist Žygimantas Mauricas, Lithuania’s vitality dependency on Russia was “in all probability the best within the EU” till just lately.
That is mirrored within the worldwide commerce figures, exhibiting that the nation imports far more oil, gasoline, and electrical energy than it exports.
“Within the fourth quarter of final 12 months, the oil product commerce deficit exceeded €400 million. There have been some €300m on pure gasoline, and the record-high bills on electrical energy, standing at round €400m euros,” Mauricas advised Lithuanian information wire service BNS in early March.
With the outbreak of the battle, Lithuania was one of many first EU nations to announce abandoning Russian gasoline and electrical energy.
The nation’s nationwide financial institution stated that the direct affect on the nation’s economic system can be restricted attributable to decreased ties with Russia.
Nevertheless, it admitted that the Kremlin’s aggression in Ukraine would negatively affect the Lithuanian economic system via decreased exports, doable disruption to imports of uncooked supplies, and rising vitality costs.
That is significantly problematic contemplating that exports to Russia, but in addition Ukraine and Belarus comprise about 15% of the nation’s whole.
“Full lack of exports to those markets in 2022 [through] 2024 would result in a slower development of the Lithuanian economic system of as much as three proportion factors,” the Financial institution of Lithuania stated in an announcement.
“It’s seemingly that restrictions on imports from these nations will trigger non permanent disruptions to manufacturing attributable to a scarcity of the mandatory uncooked supplies, however even as soon as various suppliers are discovered, the price of acquisitions of those uncooked supplies will probably be greater,” the central financial institution stated.
The financial penalties of the battle in Ukraine for Lithuania’s different export companions will result in a decline in mixture overseas demand, which can worsen the exports’ development prospects, the nation’s central financial institution warned.
Oil and pure gasoline proceed to rise in value because of the refusal by Western nations to buy Russian assets, which can result in elevated electrical energy, heating and transport prices for all of the financial sectors.
The financial institution acknowledged that this might additional enhance client value inflation, which might solely be mitigated by a sharper fall in vitality costs on exchanges. Along with these components, the Lithuanian labour market will probably be probably impacted by the growing circulate of Ukrainian refugees to Lithuania.
Authorities sees battle as distraction from financial woes, critics declare
Analysts say the inflation, coupled with the continued pandemic, the migrant disaster alongside the 670-kilometre Lithuanian-Belarusian border, and the inevitable repercussions to the nation’s economic system from sanctioning Russia and Belarus, will mix to backfire in opposition to the nation’s Liberal-Conservative authorities.
Nevertheless, the blame sport stays overshadowed by the battle in Ukraine for now.
The fallout in opposition to the ruling coalition is inevitable, Vytautas Dumbliauskas, affiliate professor on the Mykolas Romeris College in Vilnius, advised Euronews.
“After the battle is over and Ukraine comes out because the victor, the difficulty of inflation and a sagging economic system will begin haunting the federal government. It doesn’t have a lot to say moreover excusing itself with the worldwide processes in economic system, the battle and the pandemic,” Dumbliauskas stated.
Dainius Kepenis, an opposition MP from the Farmers and Inexperienced fraction, advised Euronews that the federal government, which has been tormented by low help all through its time period in response to him, “couldn’t have hoped for a greater serendipity” than the battle.
“When it began, the eyes of many Cupboard members and the ruling MPs had been gleeful, not teary. That’s an commentary many have made. The scenario in Ukraine gave the federal government a much-needed break from all of the complications and allowed it to brush acute points beneath the rug, citing the battle,” Kepenis claimed.
The nationwide emergency in Lithuania declared on 24 February — a measure seen by critics as insufficient and taking part in in favour of the federal government — has been prolonged till the tip of June, as it’s nonetheless mandatory whereas Russia’s brutal army aggression in Ukraine continues, in response to the Speaker of the Parliament Viktorija Čmilytė-Nielsen.
In the meantime, many are questioning whether or not there’s a means out of the monetary disaster and when the economic system would possibly present indicators of restoration.
Mauricas says that inflation in Lithuania ought to peak in Could or June, adopted by deflation in 2023.
Based on him, inflation can be pushed down by tighter fiscal and financial insurance policies in superior nations, lowering strain on world provide chains and the anticipated fall in costs for vitality assets and different commodities.
Nevertheless, many stay sceptical. “The worst is but to come back. You will note,” stated the Klaipeda taxi driver Antanas Jonauskas.
![](https://newspub.live/wp-content/uploads/2022/03/np-logo.png)
World
American hostage Hersh Goldberg-Polin, 5 others 'brutally murdered' by Hamas right before rescue: IDF
![American hostage Hersh Goldberg-Polin, 5 others 'brutally murdered' by Hamas right before rescue: IDF American hostage Hersh Goldberg-Polin, 5 others 'brutally murdered' by Hamas right before rescue: IDF](https://static.foxnews.com/foxnews.com/content/uploads/2024/09/hersh.png)
Hamas terrorists killed six hostages Saturday, including Israeli-American Hersh Goldberg-Polin, as Israel Defense Forces closed in for a rescue attempt in the tunnels deep below Gaza’s Rafah.
Goldberg-Polin’s family confirmed his death early Sunday. His body was one of six recovered on Saturday. The IDF revealed that Hamas killed the hostages, who had been held for nearly 11 months, just as they were on the brink of freedom.
“According to our initial assessment, they were brutally murdered by Hamas terrorists shortly before we reached them,” IDF spokesperson Rear Admiral Daniel Hagari said in a statement.
Goldberg-Polin, 23, was abducted at a music festival in southern Israel during Hamas’ Oct. 7 attack against the Jewish State. He lost part of his left arm to a grenade in the attack. His body was recovered Saturday in the tunnels under Rafah, along with Carmel Gat, Eden Yerushalmi, Alexander Lobanov, Almog Sarusi and Master Sergeant Ori Danino.
DEFENSE MINISTER SAYS ISRAEL MUST ‘WIDEN THE GOALS’ OF WAR TO RETURN RESIDENTS TO THE NORTH
Israeli-American hostage Hersh Goldberg-Polin has been confirmed dead. (Israel’s Minister of Defense)
Israeli Prime Minister Binyamin Netanyahu said, “He who murders abductees – does not want a deal. We are in a difficult day. The heart of the entire nation was torn.”
“Along with all the citizens of Israel, I was shocked to the core by the terrible cold-blooded murder of six of our abductees.”
Israeli President Isaac Herzog said he “embrace[s] their families with all my heart, and apologize[s] for failing to bring them home safely.”
A dual U.S.-Israeli citizen, Goldberg-Polin immigrated to Israel with his family in 2008 at the age of seven, according to a statement from his family. He leaves behind his parents, Jon Polin and Rachel Goldberg, and his two sisters.
Goldberg-Polin’s family and friends traveled the world demanding his release and met with world leaders, including officials in the Biden administration.
President Biden said he is “devastated and outraged” by the news of Goldberg-Polin’s death.
“It is as tragic as it is reprehensible,” he said. “Make no mistake, Hamas leaders will pay for these crimes. And we will keep working around the clock for a deal to secure the release of the remaining hostages.”
Vice President Harris, also the Democratic nominee for president, said her prayers are with Goldberg-Polin’s loved ones as they mourn his loss.
“Hamas is an evil terrorist organization,” Harris said. “With these murders, Hamas has even more American blood on its hands. I strongly condemn Hamas’ continued brutality, and so must the entire world. From its massacre of 1,200 people to sexual violence, taking of hostages, and these murders, Hamas’ depravity is evident and horrifying.”
ISRAEL KILLS PALESTINIAN COMMANDER MUHAMMAD JABER ‘ABU SHUJAA’ AS FIGHTING INTENSIFIES: IDF
![Hersh Goldberg-Polin](https://a57.foxnews.com/static.foxnews.com/foxnews.com/content/uploads/2024/09/1200/675/polin.png?ve=1&tl=1)
Goldberg-Polin, 23, was abducted at a music festival in southern Israel during Hamas’ Oct. 7 attack. (IDF)
“The threat Hamas poses to the people of Israel — and American citizens in Israel — must be eliminated and Hamas cannot control Gaza,” she added. “The Palestinian people too have suffered under Hamas’ rule for nearly two decades.”
“A few hours ago, we informed the families that the bodies of their loved ones had been located by IDF troops in an underground tunnel in Rafah,” IDF Spokesperson, Rear Admiral Daniel Hagari said in a statement. “According to our initial assessment, they were brutally murdered by Hamas terrorists shortly before we reached them.”
Fox News’ Yonat Friling contributed to this report.
World
Photos: Mass polio vaccination drive kicks off in Gaza amid Israeli strikes
![Photos: Mass polio vaccination drive kicks off in Gaza amid Israeli strikes Photos: Mass polio vaccination drive kicks off in Gaza amid Israeli strikes](https://www.aljazeera.com/wp-content/uploads/2024/09/AFP__20240901__36F32UL__v1__Preview__PalestinianIsraelConflictHealth-1725178114.jpg?resize=1200%2C630)
Palestinian health authorities and United Nations agencies on Sunday began a vaccination drive against polio in the Gaza Strip, hoping to prevent an outbreak in the territory ravaged by nearly 11 months of Israeli bombardment.
Authorities plan to vaccinate children in central Gaza until Wednesday before moving to the more devastated northern and southern parts of the Strip, aiming to inoculate about 640,000 children. On Saturday, a few children were vaccinated before the formal start of the campaign.
“This is the first few hours of the first phase of a massive campaign, one of the most complex in the world,” said Juliette Touma, communications director of UNRWA, the United Nations Palestinian refugee agency.
“Today is test time for parties to the conflict to respect these area pauses to allow the UNRWA teams and other medical workers to reach children with these very precious two drops. It’s a race against time,” Touma told the Reuters news agency.
Israel and Hamas, which have so far failed to conclude a deal to end the war, said they would cooperate to allow the campaign to succeed.
The World Health Organization said on Thursday that Israel has agreed to limited pauses in its military operations to facilitate the campaign. There were initial reports of Israeli strikes in central Gaza early on Sunday, but it was not immediately known if anyone was killed or wounded.
Hospitals in Deir el-Balah and Nuseirat confirmed that the campaign had begun on Sunday. Israel said on Saturday that the vaccination programme would continue through September 9 and last eight hours a day.
The vaccinations will be held at some 160 sites across the territory, including medical centres and schools. Children below 10 years of age will receive two drops of oral polio vaccine in two rounds, the second to be administered four weeks after the first.
Gaza recently reported its first polio case in 25 years – a 10-month-old boy, now paralysed in the leg. The WHO says the presence of a paralysis case indicates there could be hundreds more who have been infected but are not showing symptoms.
Most affected children do not experience symptoms and those who do usually recover in a week or so, the UN health agency said. There is no cure for polio, it can only be prevented. When polio causes paralysis, it is usually permanent. The disease can be fatal if the paralysis affects breathing muscles.
The vaccination campaign faces a host of challenges, from ongoing war to devastated roads and hospitals shut down by the war. About 90 percent of Gaza’s population of 2.3 million people have been displaced within the besieged territory, with hundreds of thousands crammed into squalid tent camps.
Health officials have expressed alarm about disease outbreaks as rubbish piles up and the bombing of critical infrastructure has sent putrid water flowing through the streets. Widespread hunger has left people even more vulnerable to illness.
“We escaped death with our children and fled from place to place for the sake of our children, and now we have these diseases,” said Wafaa Obaid, who brought her three children to Al-Aqsa Martyrs Hospital in Deir el-Balah for vaccination.
World
Harris Calls on Trump to Debate With Mics 'On the Whole Time'
-
Connecticut1 week ago
Oxford church provides sanctuary during Sunday's damaging storm
-
Politics1 week ago
2024 showdown: What happens next in the Kamala Harris-Donald Trump face-off
-
News1 week ago
Who Are Kamala Harris’s 1.5 Million New Donors?
-
Politics1 week ago
Trump taunted over speculated RFK Jr endorsement: 'Weird as hell'
-
Politics1 week ago
Vivek Ramaswamy sounds off on potential RFK Jr. role in a Trump administration
-
World6 days ago
Portugal coast hit by 5.3 magnitude earthquake
-
Politics1 week ago
House GOP demands elite universities counteract 'dangerous' anti-Israel protests in the fall semester
-
News1 week ago
Video: Kamala Harris’s Political Pragmatism