Emerging capital markets: A Slovenian perspective

It is still quite unbelievable that territories the size of Slovenia could break away from the former Yugoslavia and achieve international recognition as independent states. The same goes for the former Czechoslovakia and the other countries that were part of the former Soviet Union. The reasons for the breakups were political, and there was relatively little rational economic strategy behind them. Although a major factor was the inefficiency of the socialist non-market economies, most of these break-away states soon will find economic advantages in establishing economic ties with one another in areas like banking and capital markets. These ties will develop all the more strongly in the context of accession to the European Union (EU).