Eurogroup agrees to third bailout

Eurozone finance ministers have agreed on a new bailout deal for Greece after Athens backed the plan, according to the BBC news.

European Commission President Jean-Claude Juncker said the deal sent a message "loud and clear" - Greece will stay in the eurozone.

The agreement demands tax rises and more tough spending cuts in return for Greece's third bailout in five years.

The deal means new loans of up to €86bn ($95bn; £61bn) will be made available over the next three years.

The first tranche will be of €26bn - €10bn to recapitalize Greek banks and €16bn in several instalments, the first of which - €13bn - will be made by 20 August, when Greece must repay about €3.2bn to the European Central Bank (ECB).

The deal comes at a heavy political price for Greek Prime Minister Alexis Tsipras, who has faced a rebellion in his left-wing Syriza party.

More than 40 Syriza MPs voted against him when parliament decided on the bailout agreement on Friday, after all-night talks. Reports in Greece suggest he will seek a vote of confidence in parliament next week, bringing the prospect of snap elections closer.

/By AzerTac/