Euro zone agrees second bailout for Greece

BRUSSELS, July 22 (Itar-Tass) -- Euro zone leaders agreed a second
bailout for Greece at an emergency summit on Thursday which may comprise
109 billion euro of EU and IMF funds. Private investors are expected to
provide 37 billion euro in the coming three years, said the euro zone
summit statement on Thursday.
"We agree to support a new program for Greece and, together with the
IMF and the voluntary contribution of the private sector, to fully cover
the financing gap. The total official financing will amount to an
estimated 109 billion euro," the statement said.
Private investors were offered to voluntarily swap their Greek bonds
for longer maturities at lower interest rates to help Greece. The purchase
of Greek bonds on the secondary market will yield another 12.6 billion
euro raising private investor contribution to the new bailout program to
49.6 billion euro, a third of the total.
European Council President Herman van Rompuy said the European
Financial Stability Facility (EFSF) would be allowed to buy bonds on the
secondary market if the European Central Bank deems it necessary.
Italian Prime Minister Silvio Berlusconi estimated at a press
conference the total bailout offered by the euro zone, the IMF and private
capital will amount close to 158 billion euro.
However European Council President Herman van Rompuy and European
Commission President Jose Manuel Barroso refused to officially provide any
figures as the amounts have yet to be approved by parliaments of euro zone
member-states.