The Slovenia Times

Slovenia Paid More than EUR 21M for Bank Asset Review


The press release from Banka Slovenije notes that the reviews at ten banks included asset reviews and real estate evaluation as well as bottom-up and top-down stress tests.

Bottom-up stress tests were performed by Oliver Wyman for EUR 11.2m, while Roland Berger Strategy Consultants carried out the top-down tests for slightly over EUR 1m, the press release said.

Asset quality review was performed by Deloitte and Ernst & Young for a total of just under EUR 8m. Real estate evaluation was conducted by Deloitte, CBRE Limited, Colliers International and Jones Lang LaSalle for a total of more than EUR 1m.

Central bank Governor BoĊĦtjan Jazbec said that Slovenia had to hire experts from outside because it lost credibility on international financial markets and in the eyes of the European Commission and the European Central Bank.

The banking system review included ten banks accounting for 70.8% of assets of Slovenia's entire banking system; NLB, NKBM, Abanka Vipa, Hypo Alpe-Adria-Bank, Banka Celje, Raiffeisen Bank, Gorenjska banka, Unicredit banka Slovenije, Factor banka and Probanka.

The latter two were excluded from the review in September, as the central bank launched orderly winding down at both banks.

The results of the bank asset review, which were presented in mid-December, serve as a basis for the central bank's measures.

So far, these measures included recapitalisations at NLB (EUR 1.55bn), NKBM (EUR 870m) and Abanka Vipa (EUR 348m), as well as a bail-in affecting small shareholders and the transferral of EUR 4.5bn in bad claims onto the bad bank.


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