According to Slovenia's president Borut Pahor, the country has no need "whatsoever" for an EU bailout. Mr Pahor emphasised the necessity to improve the scandal-hit country's justice system before citizens would embrace further economic reforms.
Slovenia’s economic struggles have been compounded by a brewing political crisis over high-level corruption that has triggered widespread protests. The country’s anti-corruption watchdog this week accused Janez Jansa, the prime minister, of graft, citing €200,000 in private assets that he allegedly failed to declare. Mr Pahor acknowledged that his government had misjudged the severity of the financial crisis in 2009. But with the passage of a pensions overhaul in December, he argued that Slovenia now had the wherewithal to deal with any shortfalls in its banking system.
“There is no reason whatsoever for a bailout”, Mr Pahor said. “I think the government has enough resources.”
Olli Rehn, the economic and monetary affairs commissioner, appeared to endorse that assessment, saying: “The country is taking action to address its economic and fiscal problems, which includes also a very important pension reform".
Mr Pahor pledged to continue work to shore up the country’s banking system and reform other aspects of the economy, including the labour market. But the success of those endeavours ultimately hinged on strengthening the rule of law, he argued.
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