A record-high inflation of over 12 percent prompted the opposition to accuse the government on Friday of not having neither an economic policy, nor measures to help citizens and businesses in a recession expected this autumn.

MP Pedja Grbin of the centre-left Social Democratic Party (SDP) said the government was tackling only fuel, but this was not enough.

This inflation should be tackled comprehensively and by helping everyone, notably those in need, he said, adding that it is necessary to increase pension allowances, ensure measures related to heating, and help businesses with additional electricity subsidies, as proposed by the SDP.

The resignation of finance minister Zdravko Maric while Croatia is facing one of the worst economic crises was an escape from responsibility, Grbin said, adding that if the government does not take action soon, the autumn will be “hot” because people will have had enough.

MP Nikola Grmoja of the conservative populist Most party said this inflation was not related to the war in Ukraine but was due to lockdowns around the world, the fact that FED and the European Central Bank were printing money, and Croatia’s accession to the euro area, and speculators raising prices.

Everything happening with inflation in Croatia is on the most part the government’s doing and not due to external factors, he said, adding that freezing food prices is not a good idea as consumers would eventually pay for that.

Grmoja said that when the times were good, Croatia should have carried out structural reforms, cut levies, stimulated economic development and solved the labour shortage problem.

There is a threat of the pension system collapsing as well as of a demographic collapse, and the question is what will remain of Croatia if we don’t find a way to bring back some of our emigrants and replace the population that has left, he added.

MP Sandra Bencic of the Green-Left Bloc said the sectors with the highest price rises, such as transport and food, affected persons with the lowest incomes the most. The government should design measures for direct transfers to them and not horizontal measures, she added.

She said the high annual inflation rate was being used as an argument to raise interest rates in the financial industry, which would profit the most. She asked new Finance Minister Marko Primorac to find a way so that banks would share the burden of the crisis.

MP Stipo Mlinaric of the right-wing DP party said that in order for people to survive this autumn and winter, the government should cap prices on flour, oil and sugar because Croatia possesses all of these commodities.

He added that Primorac did not have the nerve to impose a property tax, which would be a move that would help.