The European Central Bank is striving to curb fallout from Greece's financial woes on financial institutions across the euro zone, but it also has to deal with how the debt crisis is affecting its own balance sheet. Policymakers at the central bank are urging governments to implement stricter budget reforms. Juergen Stark, a member of the ECB's executive board, said existing fiscal-policy trends are "simply not sustainable". "The onus is now on governments to ensure that the crisis that initially affected the financial sector, and subsequently the real economy, does not lead to a full-blown sovereign-debt crisis," he said.
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