 |
Related news articles
- Javier Solana opens Bratislava conference
- Decline in Slovak economy will stop, NBS predicts
- Confidence in Slovakian economy grows, index shows
- Slovakia could face new gas crisis
- Slovak GDP to grow in 2010
- Slovakian banking assistance bill approved
- Slovakia 'offers a low-risk investment'
- Slovakia records trade surplus
|
RECENT BLOG POSTS
- Countries that directly influence economics in Slovakia
- Mongolian shepherds learn to make cheese in Slovakia
- Two sides of the same Euro coin in Slovakia
- Does Euro really cause price-rise in Slovakia?
- Slovakia in the footprints of the UK: Criminal sentence for bringing up your child?
- How to survive in London and enjoy it
- Increasing food prices-whose fault is it?
- News: Slovakia + the Euro: A good match?
User login
Slovakian banking is stable 'despite rating'
The National Bank of Slovakia (NBS) has issued a statement reassuring investors and consumers that the state''s financial system is "sound, profitable and well capitalised".
Its announcement follows international rating agency Moody''s Investor''s Service changing its outlook for Slovakia''s banking system from stable to negative.
The NBS stated that the profitability of Slovakia''s banking sector dropped by 30 per cent during the first quarter of 2009 when compared with the same period last year.
However, the financial institution commented that people need to remember that 2008 was an extraordinary year of growth for the country in the wake of adopting the euro.
Predictions from the NBS suggest that although profits for the banking sector will be lower than last year, they will be higher than the European average.
In its statement, the NBS concluded: "The NBS considers the report to be contradictory. According to the NBS the presentation of the negative outlook by the Moody''s agency does not correspond to the latest development and to the current state of the banks in the Slovak Republic. Moreover these kinds of reports could harm them."
Despite the rating Moody''s report added that the banking sector in Slovakia is thought to be more stable than many of its regional peers due to its good liquidity and better risk profile. 
