Eurozone Agrees to 'Breakthrough' Debt Deal With Greece

Protesters outside Greek parliament
Protesters take part in a demonstration against the reform package in front of the Greek parliament, Athens, May 22. Post-reforms, the Eurogroup has agreed to more loans for Greece. Angelos Tzortzinis/Getty

Eurozone finance ministers have agreed to extend further bailout loans to Greece as well as debt relief, in what they call a "major breakthrough."

After late-night talks in Brussels, the ministers agreed to unlock 10.3 billion euros ($11.5bn; £7.8bn) in new loans.

The move came two days after the Greek parliament approved another round of spending cuts and tax increases demanded by international creditors.

The ministers also said debt relief would eventually be offered to Greece. This had been a key demand from the International Monetary Fund (IMF), which said public debt would be unsustainable at current levels of about 180 percent of Greece's gross domestic product.

The deal was announced after 11 hours of talks between the 19 eurozone ministers, known as the Eurogroup.