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Eurozone Ministers Say Banks To Take Bigger Loss On Greek Debt

Eurozone states have agreed that banks must accept substantially bigger losses on their Greek debt.

Jean-Claude Juncker, Luxembourg's prime minister who chairs the 17-member eurozone group, announced the agreement as eurozone finance ministers headed into a second day of talks in Brussels.

He would not say how big the banks' contributions should be, but any substantial increase in writeoffs would increase concerns about the banks' ability to withstand the losses and the need to shore them up.

On October 21, eurozone finance ministers agreed to unlock the next tranche of Greek bailout funds, potentially saving the debt-stricken country from default.

Once the 8 billion-euro ($11 billion) loan is backed by the International Monetary Fund (IMF), as expected, officials said Athens should get the funds by mid-November.

compiled from agency reports