02:09 - Source: CNN
Eurozone approves new bailout for Greece

Story highlights

Economist: "It's difficult to see this turning around the Greek economy anytime soon"

Greece is trying to cut debt to 121% of GDP, down from 160%

Greece approved an austerity pact this month, leading to riots

CNN —  

Eurozone finance ministers sealed a deal Tuesday morning for a second bailout for Greece, including €130 billion ($173 billion) in new financing.

The finance ministers from the 17 nations that use the euro, known as the Eurogroup, gave Greece the funding it needs to avoid a potential default next month.

While this new deal provides some short-term relief for Greece, difficult days lie ahead as the government tries to trim debt to 121% of the country’s gross domestic product by 2020. Greece’s debt now stands at about 160% of GDP.