European Commission extends liquidity support scheme for Slovenian banks

The European Commission has extended the liquidity support scheme for banks in Slovenia until the end of the year.

The extended scheme features higher premiums to be paid by the banks for the loans granted by the state. This is to encourage banks to finance themselves without state support and to limit distortions of competition.

The European Commission has authorized the extension until 31 December 2010 of the Slovenian liquidity scheme for the financial sector, under EU state aid rules.

The Slovenian scheme was initially approved on 20 March 2009. The scheme was prolonged on 19 October 2009 and on 15 April 2010.