Economy Minister Tomislav Coric said on Thursday Croatia's supply with key energy sources was not in question despite the escalation of the Ukraine crisis, and added that, if prices continued to increase over a longer period of time, the government would consider how to respond.

Speaking to the press after a cabinet session, Coric said the supply with gas and oil “has not been brought into question at all” at the moment and that “everything will be under control.”

“We hope the war operations will cease and things be brought in order, ” he added. “That’s what we want for Europe and the world, and first and foremost for the Ukrainian people.”

As for the economic situation, Coric said it would depend on the energy market. The gas price on the reference market has gone up 31% since yesterday and that of a barrel of Brent oil by 6%, he said.

The minister said those rises “will definitely” impact consumer goods. “However, that is something on which we can’t have significant influence at the moment.”

He hopes the Ukraine-Russia escalation, and consequently the escalation of energy prices, will be short-lived. The government’s measures to buffer the blow of energy price hikes take effect on 1 April.

Asked what sanctions Croatia would impose on Russia and what that would mean for Croatia’s economy, exporters and tourism, Coric said Croatia would follow other EU member states.

The economic consequences of the crisis will be proportionate to its duration, he said, adding that one could not expect the European and Croatian economies to function normally if the “horrors of war” continued.

Energy prices, which largely depend on Russia’s aggression on Ukraine, “dictate the tempo on all other markets” and Croatia, as a small and open economy, can’t avoid that, Coric said.

As for the Fortenova company, one of whose owners is Russia’s Sberbank, he said it had a number of owners, that it used international markets for financing, and that he did not expect any sanctions against the financial sector to affect the company’s liquidity and functioning.