Slovenia wants to avoid a bailout program at all costs

Slovenia wants to avoid a bailout program at all costs


Review by Christos T. Panagopoulos –

Minister of Finance, Uroš Čufer, cleared on Thursday evening that his country plans to tap the international money markets in order to cover the 3 billion euros in loans due in 2014 and reiterated that will not ask international assistance.

In an interview he gave to the public broadcaster, TV Slovenija, Čufer, noted the government does not plan to make use of loans from the European Stability Mechanism (ESM) and wondered: “Why would we let our country be managed by somebody else?”.

He also insisted that the government would not change taxed or public sector salaries in 2014 and defended his policy about the new real estate tax, claiming it would not cause Slovenian companies to collapse.

“We are falling behind schedule”, FinMin says – “Troika’s presence inevitable”, SDS insists

However, Čufer admitted that there was a considerable delay as for the implementation of the necessary structural reforms in the country. These new policies refer to the cleansing of bank balance sheets and bills on the systemic deleveraging of companies and subsidies for companies.

Meanwhile, head of the Opposition Democrats Party (SDS), Janez Janša, criticized heavily on FinMin’s statements, stressing that Slovenia had already demonstrated to Europe that it cannot sort out its problems, which is why he believes the arrival of the troika is inevitable. He also questioned whether Slovenia would be able to borrow affordably.

“Whoever thinks than we can get funds for the principal and interest on international markets at low interest rates does not live in this country”, he said.

Coalition Social Democrats (SD) president, Igor Lukšič, said political stability was crucial. Governments, of any colour, must be left alone to do their jobs, he said.

Source: Slovenia Times