Greece seals austerity deal with EU, IMF: source

The Greek government has agreed a package of austerity measures with the European Union and International Monetary Fund (IMF) that will free up billions of euros in aid, a senior government official said on Sunday.

We agreed on the deal with the EU and the IMF, the official told Reuters, requesting anonymity.

Prime Minister George Papandreou is due to hold a cabinet meeting later on Sunday morning to announce the deal.