Monday, May 13, 2013

Slovenia can avoid bailout, needs reforms: German finance minister

Slovenia can get by without an international bailout program but will need to adopt tough austerity measures, German Finance Minister Wolfgang Schaeuble told German radio on Monday.

Last week, the tiny former Yugoslav republic announced plans to sell state firms and raise value-added tax to help stabilize its finances and avoid becoming the latest euro zone country after Cyprus to require a painful bailout program.

"Slovenia can manage (without a bailout program). However it must also carry out some painful restructuring (of its economy)," Schaeuble told SWR 2 radio.