Slovenia has come to a point where individuals and the economy cannot bear additional burden any longer. "There is a bottom point when you simply cannot go on," Banka Slovenije Governor Boštjan Jazbec said on Wednesday.

Addressing a business lunch hosted by a youth initiative and a jurists' association in Ljubljana, Jazbec noted that Slovenia must consolidate its banking system, draw up a package to stimulate the economy and secure political stability, which he said was important in implementing the former two tasks.

But once Slovenia has bailed out its banks, the question arises what next. Unless conditions for higher economic growth are ensured, any approach to bank restructuring is pointless, according to the governor.

Slovenia's debt is relatively low, but the problem is how the debt is paid off, Jazbec said, noting that that is easiest done at a time of strong growth, but few in Slovenia are concerned with how to ensure conditions for growth.

Even if the balances of all Slovenian banks are mopped up today and if some are privatised, a new operation to help the banks may be needed next year because the banking sector is but a reflection of the situation in real sector, he said.

Nevertheless, Jazbec remains optimistic because Slovenia has come to a point when it cannot go on in the same way. "When you reach this point there are only two solutions - either muster the courage to take the step forward or let someone else do it for you," he said.

He is confident that Slovenia has sufficient strength, expertise and prudence to take a step forward, but will probably need some form of help anyway either from private investors or institutions.

Jazbec also attended today a session of the management board of the Chamber of Commerce and Industry (GZS) to present his view of the financial and economic situation in Slovenia. He called on exporters to hold on for a month or two, when it should be clearer what happens to the banking system.

The central bank governor expects that banks will be able to restore its lending potential after the transfer of non-performing assets to the bad bank starts, which is why he thinks that the process should be launched as soon as possible.

According to him, the coming months will be decisive, as foreign investors which are ready to invest in Slovenia are waiting to see what is going to happen.

In addition to restructuring of the banking system, the key elements of recovery will be the budget for 2014 and measures for kick-starting the economy and ensuring political stability. All of this is necessary to convince the financial markets that Slovenia is a credible debtor, he added.

"There is simply not enough money in Slovenia for all measures related to deleveraging of companies and recovery of the banking sector. If we don't get money at manageable interest rates, we will have to ask for help," said the governor.