Unfortunately, we cannot escape raising prices. In our destinations, energy prices have risen considerably. Transportation and cat skiing, in particular, have become significantly more expensive. In addition, financial institutions have imposed restrictions on international transactions.
In all the countries where we operate, prices rose 10 and 20% last year. This price increase was already evident at the end of 2021. After covid restrictions ended, prices rose rapidly. In addition, the global energy crisis is also affecting this inflation.
In terms of financial constraints, we are bound by increased transaction costs and heightened supervision. In Kyrgyzstan, for example, banks retain 4% of all transactions from foreign currency. We want to stay compliant with the (financial) rules, so that means more administration and more remittance to the banks.
Because we support guides and businesses in developing countries, we face increased risks. European banks are watching the transactions we make. While this is part of the support role we provide, it takes a lot of our time, energy and money. Much of our financial reporting goes into accounting for expenses. We, therefore, hope for understanding on your part.
