Greece averted the immediate threat of an uncontrolled default today, Reuters reported, winning strong acceptance from its private creditors for a bond swap deal that will eat into its mountainous public debt and clear the way for a new bailout.

Eurozone ministers held a teleconference call and were expected to declare that Greece had met the tough terms of the 130 billion-euro ($172 billion) rescue and approve the release of funds that Athens needs to meet heavy debt repayments later this month.

Markets sharply marked down the value of new Greek bonds to be issued to the creditors, reflecting the risk of paralysis after elections expected this spring and doubts about whether the Greek government can bring its debt to a more manageable level by 2020.

On the streets of Athens, some Greeks denounced the deal as a sham that would impose more crippling austerity on a people already enduring pay and pension cuts and soaring unemployment.