The Next Domino: Slovenia Government Bond Yields Spike

“The country, another relative newcomer to the euro, is struggling with its own banking problems. The IMF expects Slovenia will have to recapitalize its three largest banks this year, which could cost a billion euros.  That will increase Slovenia’s budget deficit, which is bad news because the country is already having trouble selling sovereign bonds on the open market in order to finance the government.  So, the question is whether Slovenia will be the next EU member state to need a bailout.  Slovenia’s top central banker, Marjo Kranjec – who also sits on the ECB Governing Council – says it’s not going to happen.”

http://www.businessinsider.com/slovenia-government-bond-yields-spike-2013-3

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