Slovenia eased concern that it will be the next euro-area state to need a bailout as investors scooped up twice the targeted amount in a debt sale yesterday. The country’s bonds surged and its default risk tumbled.
Slovenia sold more than double the amount planned at a Treasury-bill sale, easing pressure on its financing needs as the first post-communist nation to adopt the euro looks to avoid an international bailout.
Bostjan Jazbec, an International Monetary Fund expert who helped set up Kosovo’s central bank, bid to replace Slovenian central bank Governor Marko Kranjec and sit on the European Central Bank’s governing council.
Slovenia’s government lost a confidence vote, plunging the first former communist euro-region member into turmoil that may delay the approval of the European Union’s rescue fund amid a sovereign-debt crisis.