Slovenia to Establish a Bad Bank

Politics ♦ Published: August 14, 2012; 18:59 ♦ (Vindobona)

The Slovenian government wants to support the financially stricken banking sector. Risky assets should be outsourced to separate banks.

Slovenia to Establish a Bad Bank / Picture: ©

The Slovenian Parliament suggested creating a bad bank for Slovenia´s problem banks. The Ministry of Finance was instructed to prepare an impact study. So, the government hopes to ease the credit crunch. The current situation would not allow the banks to manage their problems on their own.

The chairman of the working group, which deals with the crisis management, criticizes that…