ECB says financial stability in Europe faced ‘strong headwinds’ in 2011


The European Central Bank (ECB) on Monday published its second Financial Stability Report for 2011. Several key risks identified in June have become reality, the report says.

"Risks to eurozone financial stability increased considerably in the second half of 2011, as the sovereign risk crisis and its interplay with the banking sector worsened in an environment of weakening macroeconomic growth prospects," said Vítor Constâncio, vice president of the ECB at the launch event for the report.


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