The knock-on effects from the European sovereign debt crisis have led to considerably higher risks of financial instability in Europe, the continent's super-watchdog, the European Systemic Risk Board said on Wednesday.
"Risks to the stability of the EU financial system have increased considerably," the ESRB said in a statement.
"The high inter-connectedness in the EU financial system has led to a rapidly rising risk of significant contagion. This threatens financial stability in the EU as a whole and adversely impacts the real economy in Europe and beyond."
"Risks to the stability of the EU financial system have increased considerably," the ESRB said in a statement.
"The high inter-connectedness in the EU financial system has led to a rapidly rising risk of significant contagion. This threatens financial stability in the EU as a whole and adversely impacts the real economy in Europe and beyond."
