Abstract

After attaining independence in 1991 and throughout the first half of the 1990s, efforts were devoted to the reestablishment of Slovenia’s access to international financial markets, which involved Slovenia’s assumption of a share in the external debt of the former Yugoslavia. It also involved a smooth execution of the process of rehabilitating the banking system and restructuring various enterprises. Given the fact that the budget remained in surplus until 1997, debt management operations focused on establishing access for borrowing in different financial markets. Borrowing operations started in the domestic market through short-term borrowing to manage liquidity, continued in 1996 with the first Eurobond issue in the euro market, and, in 1997, with issuance of inflation-indexed bonds and loans in the domestic market.