Yesterday, the European Commission announced the extension of the liquidity support scheme for banks in Slovenia until the end of 2010. The extended scheme requires banks to pay higher premiums for the loans granted by the state to encourage banks to finance themselves without state support and to limit distortions of competition. The Slovenian liquidity support schedule was originally approved on March 20, 2009 and complemented the guarantee scheme already in place, which was previously extended through year-end 2010.