Republic of Slovenia: Financial System Stability Assessment Update, including Reports on the Observance of Standards and Codes on the following topics: Banking Supervision and Insurance Supervision
May 24, 2004
Summary
This paper presents a Financial System Stability Assessment Update for Slovenia, including Reports on the Observance of Standards and Codes on Banking Supervision and Insurance Supervision. The Slovenian financial system appears sound overall but faces new challenges and risks with European Union (EU) accession and entry into the new Exchange Rate Mechanism (ERM2). These include increased competitive pressures on Slovenian banks from EU banks, and the risk to bank-asset quality from rapid credit growth triggered by very low real interest rates associated with interest rate convergence in ERM2.
Subject: Bank credit, Bank soundness, Banking, Commercial banks, Credit risk, Financial institutions, Financial regulation and supervision, Financial sector policy and analysis, Loans, Stress testing
Keywords: bank, bank portfolio, Bank soundness, banking sector vulnerability, banks' interest rate margin, BoS banks' exchange rate risk, BoS bill, Commercial banks, CR, Credit risk, exchange rate, foreign currency, interest rate convergence, interest rate margin, ISCR, loan portfolio, loan pricing, Loans, long position, market infrastructure, Stress testing
Pages:
31
Volume:
2004
DOI:
Issue:
137
Series:
Country Report No. 2004/137
Stock No:
1SVNEA0012004
ISBN:
9781451835663
ISSN:
1934-7685





