Eurozone finance ministers have approved reform proposals submitted by Greece in order to obtain a four-month extension of its bailout, according to BBC News.

The Eurogroup said it had agreed to begin national procedures - parliamentary votes in several states to give the deal final approval.

The measures offered by Greece include combating tax evasion and reforming the public sector.

But the head of the IMF said they lacked "clear assurances" in key areas.

Greece's debt stands at more than €320bn, and its current €240bn bailout expires on Saturday, Feb 28. Fresh funding will not be released until Greece's proposals are approved in detail.

The stakes of talks over continued financial aid have been high because of fears of a Greek default that could push it out of the euro, triggering turmoil in the EU.

The main stock market in Athens rose by nearly 10% on Tuesday afternoon, hitting a three-month high.