Lithuania's high inflation rate

For years now Lithuania has failed to fulfil the criteria for converting to the euro because of its high inflation rate. Stasys Jakeliunas examines the causes: "Hardly a day goes by when we don't hear about rising prices and the government's efforts to tackle inflation. But the fact is there are several factors contributing to inflation and the most important are barely mentioned. These include excise duties and the unjustified increase in heating and gas prices. ... Another factor is the mobility of the labour force, because it means that millions in foreign transfers enter Lithuania each year and this flood of money is difficult to control."

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