As the political crisis continues in the country, the yield spread over the German bonds, a benchmark, has risen to 368 basis points.

The bond yield had been gradually declining since September, when it exceeded 7%, and at the start of January it dropped below 5%.

The favourable trend was attributed to the gradual easing of the situation in the eurozone, but also to the removal of obstacles to reform in Slovenia with a landmark Constitutional Court ruling in late December.

However, last week political tensions escalated in Slovenia over corruption allegations against Prime Minister Janez Janša and opposition leader Zoran Janković, which could presage a full-blown government crisis.