Estonia’s inflation hit 25% year-on-year in August, energy prices to blame
It started before the war.<p>The cash that the governments printed via negative interests to give to the VCs and to real-estate owners really skewed the local market (increasing both prices and costs of producing).<p>The Estonian gov has basically no tools to fight against the real estate bubble either or to bankroll the most fragile startups (and they may not be as strong as they seem), so we&#x27;re basically fucked.<p>Regarding energy, we had 4000 EUR &#x2F; MWh prices a couple of weeks ago for an hour.<p>Think of it as oven &#x2F; sauna &#x2F; air conditioner costing you 10 to 25 euros per hour (if I remember right, it didn&#x27;t matter that much when you have no other choice than turning them off).<p>For energy this is mostly because of the war, but ecological policies also affected (Estonia was known for &quot;dirty&quot; petrol, known as shale oil, and they are restricted there).<p>The only retail companies that try hard to provide good prices are LIDL and IKEA, and in that regards, they are great.<p>Other distributors have very poor logistics as they consider Estonia as the very end of their distribution chain (no matter if for Baltics, or for Scandinavia we are at the end of the West).