Slovenia may release results of tests on its banking industry earlier than previously announced, and the country does not need to borrow more funds to fix its ailing lenders, Finance Minister Uros Cufer said.
The Slovenian stock exchange halted share trading in Nova Kreditna Banka Maribor d.d. and Abanka Vipa d.d. as the deadline looms for the outcome of stress tests that will show if Slovenia can avert a bailout.
Slovenia readied itself to raise the amount it can pay to fix its ailing banks to a sum still below that estimated by investors who suggest it could be as much as three times more than the Balkan state has set aside.
Slovenia sold 1.5 billion euros ($2 billion) of bonds in a private placement, skirting scrutiny on the open market before stress tests reveal how much it must pay to bail out the mostly state-owned banking system.
Slovenia’s economy will shrink more than previously forecast next year as the ailing banking industry and austerity measures prevent the euro member’s recovery, the government’s economic institute said.