Eurozone politicians have signed-off on a new bailout payment to Greece of 12 billion euros. The money is a fifth of the 110 billion euro package agreed for the debt-stricken country in May.
The release of funds was agreed after a two-hour long telephone conference between European politicians including Greece’s Finance Minister.
This money should prevent Greece from defaulting and the crisis spreading across the continent. However, richer eurozone nations, led by Germany, are demanding Greece implement more privatisation. German banks are closely watching the situation as they are amongst the biggest holders of Greek debt.
The 12 billion euros is due to be paid out on July 15, pending the IMF’s approval. The organisation is contributing over three billion euros and is expected to rubber-stamp the agreement.