Press release from the meeting of the Governing Board of the Bank of Slovenia on 28 February 2012

1) The Governing Board of the Bank of Slovenia discussed the issue of deposit interest rates at banks and savings banks (hereinafter referred to as “banks”), and took the decision that the Bank of Slovenia will take account of the increased profitability risk from deposit interest rates within the framework of the internal capital adequacy assessment process (the ICAAP/SREP process). The measure as adopted will encourage banks to exercise even greater caution in the management of levels of deposit interest rates, which will have a positive impact on lending rates.

The measure enters into force at the beginning of March 2012, and the Bank of Slovenia will take account of profitability risk from deposit interest rates for the first time in this year’s ICAAP/SREP process.

2) The Governing Board of the Bank of Slovenia passed the following regulations pursuant to the Mortgage Bond and Municipal Bond Act (Official Gazette of the Republic of Slovenia, No. 10/12), which will be published in the Official Gazette of the Republic of Slovenia:
• the Regulation on the conditions for acquiring an authorisation to issue mortgage bonds and municipal bonds,

• the Regulation on the documentation for demonstrating fulfilment of the conditions for appointment as a custodian of a cover register,

• the Regulation on the balancing of the cover pool with issued mortgage bonds and municipal bonds,

• the Regulation on the conditions for including derivatives in the cover pool, and

• Amendments to the recommendations on the administration of cover register records published by the Bank of Slovenia on its website.

3) As a result of the abolition of the monthly report of account balances on the basis of the prescribed chart of accounts, the Governing Board of the Bank of Slovenia adopted and amended the following regulations:
• the Regulation on the books of account and annual reports of banks and savings banks (publication in the Official Gazette of the Republic of Slovenia),

• the Regulation amending the regulation on the reporting of individual facts and circumstances of banks and savings banks (publication in the Official Gazette of the Republic of Slovenia),

• the Instructions for compiling the statement of financial position, income statement and statement of comprehensive income, and calculating the performance indicators of banks and savings banks (published on the Bank of Slovenia’s website), and

• the Instructions amending the Instructions for implementing the regulation on reporting by monetary financial institutions (published on the Bank of Slovenia’s website).