In an interview with German broadcaster Deutsche Welle published on Friday, European Central Bank Governing Council member Jurgen Stark said the financial market turbulence is not over yet.

The reason for the turmoil, said Stark, is poor risk management practices on behalf of financial institutions.

Nevertheless, he argued that the German banking system is in good shape, and that the European Central Bank is flexible in providing the liquidity necessary to keep markets moving.

By Erik Kevin Franco and edited by Stephen Huebl
©CEP News Ltd. 2008