Greece crisis: Alexis Tsipras accepts troika bailout proposals with conditions

Eurozone finance ministers are scheduled to discuss Tsipras’s latest proposals in a conference call at 5.30pm Brussels time

Greek Prime Minister Alexis Tsipras, Italian Prime Minister Matteo Renzi and German Chancellor Angela Merkel during one of the summit meetings in Brussels on Thursday (EPA) (EPA)

Alexis Tsipras has said that Greece will accept all bailout conditions proposed by the country’s creditors with only a handful of minor changes.

In a letter sent to the European Commission, the International Monetary Fund and the European Central Bank and seen by the Financial Times, Tsipras expanded his idea for a new, third €29.1 billion rescue package.

The second bailout package expired last night when Greece failed to meet a €1.6 billion IMF debt repayment. Tsipras then prosposed a third package and a new set of 11 conditions - along with a note saying Greece was prepared to accept the troika's proposals from Sunday.

"The Hellenic Republic is prepared to accept this Staff Level Agreement subject to the following amendments, additions or clarifications," the letter read.

Greece will accept all the VAT proposals, Tsipras said, as long as there is a 30 per cent discount for Greek islands.

The pension age will change to 67, Tsipras agreed, starting in October rather than immediately as the troika had proposed. He also asked that a ‘solidarity grant’ for poorer pensioners is phased out more slowly than the troika requested.

Eurozone finance ministers are scheduled to discuss Tsipras’s latest proposals in a conference call at 5.30pm Brussels time.

However there is already some pushback from ministers, according to reports.

Markets reacted positively to the news.