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Greek Vote Puts ECB Funds at Risk as Crisis Memories Revived

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Greece’s descent into political crisis is threatening the country’s financial system.

The European Central Bank, already battling the risk of euro-area deflation, may soon have to decide whether to withdraw much of its funding for Greek lenders. Special rules on Greek assets accepted as collateral will become invalid if snap elections prevent the country from agreeing to a replacement for its bailout program by the end of February.