Eurozone finance ministers agreed on Tuesday to release an 8bn euro aid payment to Greece, part of an 110bn euro package of support agreed with the government last year, an EU diplomat said.

The joint EU/IMF payment is the sixth installment of loans to help Greece finance itself since being cut off from financial markets. Without the payment, the country risks going bankrupt.

The payment was dependent on a written commitment from Greece that it would meet its obligations to cut its budget deficit and keep finances in check.

"The Eurogroup endorsed the payout of the sixth tranche to Greece", the diplomat said.

The payment has been held up for a month because of delays in Greece's commitment to cut spending and increase taxes. (Reuters)