Europe agrees on eurozone emergency deal

After more than 7 hours of negotiations, European Commission president. Jose Manuel Barroso, and European Council president, Herman Van Rompuy, on Thursday at 4 am told journalists in a press conference that euro zone leaders have managed to secure a deal with the bank sector of a 50% "haircut" on Greece's sovereign debt.

"The agreement includes a voluntary contribution by private creditors who had lent to Greece", Van Rompuy said. The president of the European Council also stated that the objective of such loss is to reduce Greece's debt by 120% of its GDP by 2020.

A bank recapitalization of 106 millions has also been agreed on. French president, Nicolas Sarkozy, said in a press conference that the results come as a global "relief" for the "whole world". "the whole world was expecting a decision that was strong from the eurozone", said the French president.