Eurozone leaders have reached a deal with Greece on 13 July at the end of all night talks in Brussels, avoiding an exit of the Mediterranean country from the European single currency.

In exchange for a three-year bailout worth up to €86bn (£61bn, $96bn), Athens agreed to a tough reform package, described by European Council President Donald Tusk as including "strict conditions".

The negotiations breakthrough was announced by Tusk in a tweet:

It comes after Eurozone finance ministers and bankers put forward a four page draft proposal initially described by Greek officials as "very bad" for it required the Greek government of Prime Minister Alexis Tsipras to adopt sweeping measures including tax and pension reforms within days.

European commission president Jean-Claude Juncker described the talks as "laborious", while celebrating their outcome."There will be no Grexit," he said.

Details of the deal were not immediately clear, but Tsipras said it included a €35bn growth package and debt restructuring.

At a press conference Tusk said: "Today we had only one objective - to reach an agreement. After 17 hours of negotiations we have finally reached it. Someone might say we that have a Greekment," he quipped.

"The Greeks have agreed in principle that they are ready to start negotiations on an ESM [European Stability Mechanism] programme, which in other worlds means continuous support for Greece.

"There are strict conditions to be met," he said, adding the agreement still needed the approval of a number of European parliaments, including the Greek parliament in Athens, to be implemented.

Greek bailout deal: What Greece has agreed to in 90 secondsIBTimes UK

Tusk welcomed the progress and the constructive position of Greece, saying it helped bringing back brought back trust among Eurozone partners.

Diplomatic relations had been strained by the prolonged negotiations, with many EU leaders particularly annoyed at Tsipras's last minute decision to hold a referendum on proposed measures.

As the news broke the Euro's value initially soared but later retreated.

Eurogroup president Jeroen Dijsselbloem said both sides made an extra effort to put Greece back on track.

A key measure to be approved by the Greek parliament is the transfer of €50bn (£36bn, $55bn) assets to a new fund that will "monetise" them, privatising some and running others, Dijsselbloem said.

The creation of the fund, which is to be used for the recapitalisation of Greek banks, was among measures included in a four-page draft proposal earlier put forward by the Eurozone finance ministers, but differently from what originally planned the fund will be based in Athens and not in Luxembourg.