End of drama, "Greece accepts almost all demands"

End of drama, "Greece accepts almost all demands"

The agreed three-year aid package to Greece provides for granting 86 billion euros, said German Chancellor Angela Merkel at a press conference in Brussels, where the agreement was announced.

The dispute was mainly around Germany's demand for a fund composed of Greek assets in the amount of 50 billion euros to be located in Luxembourg, while Greece offered the figure to be 17 billion.

In the end, it was decided to form a new fund in the amount requested by Germany, but Greek PM Alexis Tsipras' request that it be located in Greece was accepted.

Half of the 50 billion should be used for added capitalization of Greek banks.

Tsipras during the negotiations failed to prevent the International Monetary Fund from monitoring the implementation of the new aid package, another concession he made to creditors and EU leaders.

European Council head Donald Tusk said that the program's conditions are strict, and that an agreement has been reached thanks to Greece's cooperative stance, adding that parliaments of Greece and other eurozone members should now approve the deal.

Merkel said that the issue of Greece's eurozone exit has finally been removed from the agenda, but also explicitly ruled out the possibility of debt write-off.

Tsipras said there had been difficult demands, but that the agreement allows Greece to get back on its feet.

However, after the Brussels drama, he is in for a new one at home, where nobody can predict how the divided opposition or even his own party, Syriza, will react to the deal - having in one week passed the road from Greece's "no" to Tsipras' "yes."

What is certain is that the European Central Bank, after the agreement with creditors has been reached, will not drastically reduce the liquidity of Greek banks. This could mean they could soon open for business.