LJUBLJANA, April 18 Slovenia's finance ministry
said on Friday that Pimco, which runs the world's largest bond
fund, bought its closed November bond issue worth 1.5 billion
euros ($2 billion).
The 3-year bond yielding 4.7 percent was issued less than a
month before Slovenia was due to reveal external stress tests of
its banks which would show whether the country could avoid an
Slovenia said at the time the bonds were placed with a sole
investor but refused to give a name. The national Information
Commissioner's office said recently the name had to be revealed
in line with citizens' right to information.
No comment was immediately available from Pimco.
In December Slovenia managed to pump some 3.3 billion euros
into its troubled banks without seeking help from its euro zone
peers or the International Monetary Fund. It has since issued
Following the bank overhaul, yields on Slovenia's sovereign
bonds have dropped and the country managed to issue a 3-year
bond at an interest rate of 1.75 percent earlier this month.
Slovenia was the fastest-growing euro zone member in 2007
when it joined the monetary union but was badly hit by the
global crisis due to its dependency on exports.
Its banks, which are mostly state-owned, piled up bad loans
through years of reckless lending.
($1 = 0.7228 Euros)
(Reporting by Marja Novak; Editing by Ruth Pitchford)