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Greek deal despite loss of 'most important currency, trust'

German Chancellor Angela Merkel said that a deal was struck over the Greek crisis despite the recent loss of trust, which she called, "the most important currency."

Angela Merkel. Credit: RTV

This success has come in spite of the fact that in the past few weeks and months, the most important currency, namely trust, was indeed lost between us, but as we all know, paper is patient.

In other words, (going forward) step by step, what will be important will be to implement what we have agreed on during the night. In the opening paragraphs of this document, we point to the fact that trust needs to be rebuilt, that those in charge in Greece have to to take responsibility for what we have decided here politically in order to be able to implement all of it.

– Angela Merkel

Greek PM: We will continue to fight to return to growth

Greek Prime Minister Alexis Tsipras. Credit: RTV

The Greek Prime Minister has said his country "will continue to fight to return to growth" after accepting a bailout deal.

Alexis Tsipras told a news conference it had been a "tough battle" with "difficult decisions" but he had managed to "avert a banking system collapse" and stay in the Euro.

The terms of the deal will include debt restructuring and a debt package of €35bn.

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'Loss of Greek sovereignty' with €50bn privatisation fund

Greece will see a 'key loss of sovereignty' with the €50bn fund, as part of the eurozone deal, ITV News Economics Editor Richard Edgar reports:

Jean-Claude Juncker: 'There is no Grexit'

Jean-Claude Juncker, the president of the European Commission, has said there will not be a "Grexit" after agreement was reached on a new Greece debt deal following "laborious" talks in Brussels.

ITV News' Richard Edgar reports:

Today, we had only one objective: to reach an agreement. After 17 hours of negotiations, we have finally reached it. One can say that we have 'agreekment'. Leaders have agreed in principle that they are ready to start negotiations on an ESM programme, which in other words means continued support for Greece.

There are strict conditions to be met. The approval of several national parliaments, including the Greek parliament, is now needed for negotiations on an ESM programme to formally begin.

Nevertheless, the decision gives Greece a chance to get back on track with the support of European partners.

– Jean-Claude Juncker, the president of the European Commission

'Big questions' over Greek parliament approving deal

Questions remain over the Greek deal as it must still be approved by the Greek parliament.

ITV News Economic Editor Richard Edgar reports:

Eurozone leaders Greek deal was 'unanimous'

The deal reached over the Greek deal was a 'unanimous' agreement, EU President Donald Tusk has said.

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Eurozone leaders 'reach an agreement' on Greece

Eurozone leaders have reached agreement, after a marathon emergency summit on Greece.

"Agreement," Belgian Prime Minister Charles Michel said in a one-word tweet.

The Cyprus government spokesman also tweeted: "Seems we have a deal."

Future of Europe 'balanced on a knife edge'

The future of Europe is balanced on a knife-edge, the head of the European Parliament Martin Schulz said after eurozone leaders failed to reach a deal on Greece at an emergency summit.

"Today the European project is on a knife edge," Schulz, a member of Germany's Social Democrats (SPD), told Deutschlandfunk radio.

Future of Europe 'balanced on a knife edge' Credit: Reuters

"In Brussels, things are on a knife edge and the eurozone could fly apart," added Schulz, who said the SPD wanted Greece to stay in the euro.

Turning to an idea floated by the German Finance Ministry for Greece to temporarily exit the euro, Schulz said: "This five-year exit idea is off the table. We don't need to talk about that anymore."

No Greek deal despite all-night eurozone talks

Despite emergency talks through the night no deal has been reached between eurozone leaders to resolve the Greek crisis.

The Athens government is desperate for a resolution to avoid a meltdown of its banking system.

Greece's Prime Minister Alexis Tsipras listens to France's President Francois Hollande. Credit: Reuters

Several officials have reportedly said there are still wide differences among the 19 leaders of the eurozone countries on the terms of a third bailout.

A draft proposal put to the eurozone leaders even raises the prospect of a temporary Grexit, referring to a "time-out from the euro area" if no deal can be reached.

Greece has asked Europe's bailout fund for a three-year 53.5 billion euro (£38.4 billion) financial package but many officials in Brussels say the figure will have to be much higher and insist on tough austerity measures.

Greece could be forced into 'temporary Euro exit'

A man walks through empty streets in Athens. Credit: PA

Greece could be forced to leave the eurozone temporarily if a bailout is not agreed amongst the latest raft of measures currently being discussed by EU leaders.

Greek prime minister Alexis Tsipras and sceptical European leaders have negotiated past a self-imposed deadline, as talks bog down on how Greece would guarantee austerity measures in exchange for a rescue package.

But if the talks do not succeed, some of Greece's eurozone partners warned, the country could be temporarily forced out of the euro, the European single currency that Greece has been a part of since 2002.

No country has ever left the joint currency, which launched in 1999, and there is no mechanism in place for one to do so.

It was not entirely clear what a temporary exit would entail, but the threat put intense pressure on Mr Tsipras to swallow politically unpalatable austerity measures, as his people overwhelmingly want to stay in the eurozone.

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