EU leaders reach agreement

Eurozone leaders have reached a three-pronged agreement they say is vital to resolving the region's debt crisis.



As part of the deal, banks have agreed to take a 50 per cent loss on Greek debt.



That has removed a major obstacle in European efforts to stabilise the problem.



The announcement helped lift the euro as investors were more optimistic about the outlook for the region's growth and single currency.



Fears about the state of the eurozone's finances and the threat of a break-up of the single European currency have been stalking markets for months.



Critics have accused policymakers of not doing enough to resolve the issues, contributing further to the problems and fuelling uncertainty.