Eurozone leaders have unanimously reached an agreement on Monday to grant a European Stability Mechanism (ESM) programme to Greece on conditions that Athens will carry out serious reforms.

European Council President Donald Tusk announced the news after seventeen hours of negotiations, the Guardian reports.

The details of the agreement were revealed at a press conference, which immediately followed the record lasting summit, which began on Sunday and lasted overnight.

Tusk started by saying that "aGreekment" on strict conditions has been reached, which will have to be approved by several national parliaments, including the Greek one.

Meanwhile, finance ministers will start urgent talks on discussing bridge financing for Greece as Athens has to make debt repayments of more than EUR 7 B to the ECB in July and August before any bailout is released.

Tusk welcomed the constructive position of Greece, which was vital for restoring confidence between the two sides.

European Commission President Jean-Claude Juncker said that Grexit has been averted.

Eurogroup President Jeroen Dijsselbloem stated that the Greek Parliament must act immediately to pass legislation in order to implement the agreed measures.

The time frame foresees for Greece to pass the legislation on Tuesday and Wednesday, so that the Eurogroup can meet and review it on Wednesday, which will trigger the process of approval in the national parliaments.

Dijsselbloem also revealed that an agreement has been reached on one of the contentious issues, namely the transfer of EUR 50 B of Greek assets to a new fund, which will contribute to the recapitalisation of banks in Athens.

However the fund will be based in Athens, not Luxembourg as was initially planned.

Juncker expressed hope that despite the split within the main ruling Greek party SYRIZA, the Greek Parliament will be able to approve the agreement.

The European Commission President said that there were neither losers nor losers in the agreement and the compromise represented a typical European arrangement.

German Chancellor Angela Merkel announced that there was no need for Plan B and recommended to the Bundestag to open negotiations with Greece.

However in order for Germany to agree on opening negotiations, the Greek Parliament will have to approve the entire conditions.

Merkel added that the eurogroup has readiness to discuss restructuring of Greek debt, but a "nominal haircut" was unthinkable.

The German Chancellor also expressed hope that relations between Berlin and Athens, which have deteriorated this year, can be restored and trust to be regained.

Greek Prime Minister Alexis Tsipras defended the deal, saying that he was faced with difficult decisions and tough implementation.

Apart from persuading the eurozone leaders to locate the new EUR 50 B recapitalisation fund in Athens, Tsipras also managed to win medium-term funding and debt relief.

French President Francois Hollande confirmed that the agreement will include an eventual re-profiling of Greek debt by extending the maturities.