Euro zone member Slovenia is likely to issue a 1 billion euro ($1.25 billion) bond by the end of the year with possible maturity of 5 years, the Ministry of Finance said on Thursday. "Because of the uncertain conditions on financial markets in the following months, the Ministry of Finance will in November prepare everything necessary for the issue of a bond this year in the expected value of 1 billion euros," the ministry said in a statement sent to Reuters.
It said the maturity of the bond will depend on market conditions in time of the issue. "The bond will be issued as soon as possible but the date of the issue will not be determined in advance as it will depend upon momentary market conditions," the ministry said.
It said the issue will enable a "much bigger stability of the domestic financial system in very unpredictable conditions", adding it will provide funds for deposits in Slovenian banks that would otherwise be significantly reduced at times due to uneven budget flows.