THE ANALYSIS OF FACTORS THAT DETERMINE THE LEVEL OF INTEREST RATES PAID ON TREASURY BILLS IN SLOVENIA

The Slovenian ministry of finance started to issue treasury bills regularly in 1998. Above all, it has been guided by a long-term interest to develop the money market although the financing ofhquidity and short-term deficit has also been important factor. A developed money market would not only be a benefit for the government in terms of providing cheaper and more flexible borrowing, but it would also help create conditions for a more transparent interest rate policy and a more effective liquidity management of all market participants. It would also provide a short-term risk-free instrument for the public to invest in. This paper presents the econometric evidence of determinants of the interest paid on three-month treasury bills and the influence the analyzed rate plays on the bond market. The identification of these factors and formation of the proper model can be applied to forecast the three-month treasury bill rate and to improve the efficiency of the government\u27s borrowing policy.Ministarstvo financija Republike Slovenije počelo je redovito izdavati trezorske zapise 1998. godine. Prije svega, razlog je bio u dugoročnom interesu da se razvije tržište novca iako su se važni dodatni faktori odnosili i na financiranje likvidnosti i kratkoročnog deficita. Razvijeno tržište novca ne bi djelovalo blagotvorno samo za osiguravanje jeftinijeg i fleksibilnijeg oblika zaduživanja državnog sektora, nego bi pomoglo stvoriti uvjete za transparentniju politiku kamatnih stopa i efikasnije upravljanje likvidnošću svih sudionika na tržištu. To bi također osiguralo javnosti nerizični kratkoročni instrument u koji ona može investirati. Ovaj rad istražuje, kroz ekonometrijsku analizu, determinante kamatne slope na tromjesečne trezorske zapise i analizira utjecaj te kamatne stope na tržište obveznica. Identificiranje tih faktora i izgradnja odgovarajućeg modela može se primiieniti u predviđanju kamatne stope na tromjesečne trezorske zapise i time unaprijediti eftkasnost politike zaduživanja države