...February 2, 2022 FRANKFURT (S&P Global Ratings) Feb. 2, 2022--S&P Global Ratings said today said that the Slovenian parliament's vote to introduce a law requiring banks to compensate loan holders for exchange-rate losses on Swiss franc (CHF) loans poses a remote risk to the Slovenian banking sector. Consequently, we do not see the law as having a direct immediate bearing on our banking industry country risk assessment for Slovenia. The law retroactively introduces a cap on the exchange rate on retail loans issued between 2004 and 2010 and denominated in Swiss francs, or denominated in the domestic currency, but with the amount of interest or principal linked to the Swiss franc. The cap would be activated when a change in the euro-to-Swiss franc exchange rate caused the credit balance or repayment installments to differ by more than 10% compared to the exchange rate when the loan was drawn down. The law largely concerns long-term mortgages, regardless of any violations of the requirement...
