Slovenia Taking Drastic Measures

Politics ♦ Published: May 22, 2013; 11:34 ♦ (Vindobona)

NLB plans to cut workforce by 20 percent. The Slovenian government signed an agreement with unions to cut wage costs and is discussing to raise VAT. The country is hoping for € 1bn for the selling of state-owned enterprises.

Slovenia Taking Drastic Measures / Picture: ©

Slovenia's biggest bank, state-owned Nova Ljubljanska Banka (NLB), plans to cut its personnel by 20 percent within two years and unload some € 1.3bn of bad loans in June, CEO Janko Medja said on Tuesday.

The unlisted bank, which needs a capital injection of € 367m by the end of July to meet the European Union’s requirements, is at the heart of speculation that Slovenia may…