The Central Statistical Office of Poland has forecast that the country's inflation in March is likely to rise sharply due to the surging crude oil costs.
Global oil prices soared past 100 U.S. dollars a barrel amid the war of the United States and Israel with Iran, which has brought widespread panic in the Polish market.
"The prices of oil skyrocket. I've heard voices from some experts that 'Okay, 150, maybe even 200 (U.S. dollars a barrel), everything is possible.' Because we don't know firstly how long will this war last, what would be the situation after the war. Those inflation expectations rise, and probably it's going to be a continued process," said Piotr Maszczyk, Deputy Dean of Graduate Studies at SGH Warsaw School of Economics.
"Fuel prices are very expensive, and we are not able to stop it. The U.S. is going crazy and Europe is suffering. What can we do? We can only spend less money. As for how exactly can we do that, we have to find ways to get through it," said a Warsaw resident.
Maszczyk said that tensions in the Middle East impact far beyond oil prices, as the region also handles large amounts of exports of fertilizer raw materials. He said the pressure from rising costs is mounting across various links along the supply chains and will cause further price hikes to the consumers.
Skyrocketing oil prices drive up Poland inflation forecasts
