(ANSA) - LJUBLJANA - Two of the largest banks In Slovenia, Abanka and Banka Celje, have started a merger process. The new banking hub will be the second largest in the country, surpassing Nova kreditna banka Maribor.

At the end of 2013, Abanka's market share was 7.5%, whereas Banka Celje's share was 4.58%. Nova Ljubljanska Banka remains the largest bank in Slovenia. Abanka and Banka Celje are 100% state-owned. Their merger is a result of the agreement between Slovenia and the European Union as part of the bail-out of the Slovenian banking sector (December 2013). The agreement envisaged the establishment of a bad bank and a recapitalization of the main Slovenian banks by the state, but also the merger the two above mentioned banks, aiming to sell the new entity by June 2019. At the end of 2014 both banks registered a negative balance: Abanka recorded an annual loss of 194.6 million euros, Banka Celje a loss of 21.1 million euros. (ANSA).