Merkel: We Agreed With Greece But No Cuts In Debt Level

- German Chancellor Angela Merkel says the Eurozone has come to an agreement with Greece to give some debt relief but she has ruled out an outright cut in the country's debt level.

A preliminary bailout deal for Greece is predicated on the country asking for further help from the International Monetary Fund, Merkel said during a presser on Monday. "Greece will ask, after the current IMF program expires in spring 2016, for further participation of the IMF."

"Greece have to to take responsibility for what we have decided here politically in order to be able to implement all of it" she added.

EU President Donald Tusk said that eurozone leaders had reached an "unanimous" deal to offer Greece a package and keep it in the euro after a marathon 17 hours of talks.

"EuroSummit has unanimously reached agreement. All ready to go for ESM programme for Greece with serious reforms and financial support" Tusk said, referring to the EU’s bailout fund that will oversee the third Greek bailout since 2010.

Eurozone leaders thrashed out the Greek bailout deal overnight July 13 after giving Athens an ultimatum to accept harsh economic reforms or become the first country to be cast out of the single currency.

"The decision gives Greece a chance to avoid the social (and) political consequences of a negative outcome" Tusk said at a press conference at the end of the talks. "There are strict conditions to be met" he said.

Some leaders warned however that the deal was just a blueprint, with anger still running high over Greece’s attitude during six months of negotiations.