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Greece agrees on broad terms of new bailout package

Published Aug. 12, 2015

ATHENS, Greece — Greece has agreed on the broad terms of a new three-year bailout package with international creditors, with only a few details left to iron out, officials said Tuesday.

Finance Minister Euclid Tsakalotos sounded upbeat about the prospects of finalizing quickly a deal that would prevent the country's default next week and secure its future in the euro.

"We are very close. Two or three very small details remain," he said as he emerged Tuesday morning from all-night discussions with the creditors' negotiators.

The European Commission, a key negotiator in the talks, confirmed the progress.

"The institutions and the Greek authorities achieved an agreement in principle on a technical basis and talks are still ongoing on finalizing details," said Annika Breidthardt, the commission's spokeswoman for economic affairs. She said the details were expected to be cleared up Tuesday.

She noted that an agreement still requires approval from higher-level representatives.

Germany, the largest single contributor to Greece's two previous bailouts and among the toughest negotiators so far, remained cautious. "We will have to examine the results that come in the course of today," Deputy Finance Minister Jens Spahn told n-tv television.

A draft of the agreement cited by the Greek daily Kathimerini said the deal included a package of more than 30 measures that would have to be voted on in Greece's Parliament immediately, followed by a second package of measures to be adopted from October onwards.

Investors cheered the news of progress.

Greece's government is hoping to push the new $93 billion, three-year agreement through Parliament this week, ahead of an expected meeting between eurozone finance ministers on Friday.