The president's Economic Council on Wednesday proposed to the government a measure to help those socially most vulnerable due to food and energy price hikes, which would apply to 785,000 citizens and cost 25 to 30 million kuna a month.

After the Council discussed inflation and how to mitigate inflationary pressures, the president’s economic advisor, Velibor Mackic, said inflation affected the socially most vulnerable groups and that it was expected to be around 10% this year.

The proposed measure would apply to national allowance beneficiaries, guaranteed minimum allowance beneficiaries, child’s allowance beneficiaries, and persons with low pensions – about 785,000 people in total.

The measure envisages monitoring the rise in food and energy prices. It would cost 25 to 30 million kuna a month on the assumption that the rise is 5 percent.

The poorest 20 percent in our society pay on average 630 kuna for food and energy a month per household member, Mackic said, adding that when a 5 percent rise is multiplied per household member, the monthly aid for a four-member household would be 126 kuna.

Those beneficiaries are already identified, so there would be no additional work for public administration, and the easiest way would be to pay the aid directly into their bank account, he said.

“These are targeted amounts, they are not horizontal, the measure is complementary and something we think it is our duty to present at the moment, and it’s up to the government to think about it.”

Mackic also said it would be good if the government said why Finance Minister Zdravko Maric resigned. As for the candidate for his successor, Marko Primorac, Mackic said he was confident “he will do his best.”

(€1 = 7.5 kuna)