Unanimous Agreement Reached on Greece Rescue Deal
Eurozone leaders said they have reached a unanimous agreement on a rescue deal for Greece. The deal will require the Greek government’s near-total surrender to creditors' demands. Greece will receive up to €86B ($96B) in fresh bailout loans provided the government of Prime Minister Alex Tsipras follows through on the implementation of a round of austerity measures in coming days. The deal was finally drafted after 22 hours of contentious negotiations between finance ministers and the currency union’s leaders, reports the Wall Street Journal. As part of the deal, Greece’s Parliament has until Wednesday to pass sales tax increases and pension overhauls that were resoundingly rejected by voters in last week’s referendum. European rules that make it easier to wind down broken banks will also have to be implemented by Greece, including sharing the cost with creditors and investors. Greece received a concession in the deal as eurozone governments will consider ways to make the country’s debt more manageable later this year. European stocks rallied on the news; there is no word on when Greece’s banks may reopen. [WSJ]
