Signs of normality as banks reopen

Greece reopened its banks and started the process of paying off billions of euros owed to international creditors in the first signs of a return to normality after a deal to agree a new package of bailout reforms.

Customers were queued up outside bank branches open for the first time in three weeks after they were closed to save the system from collapsing under a flood of withdrawals.

Increases in value added tax agreed under the bailout terms also took effect, with VAT on food and public transport jumping to 23% from 13%. The stock market remained closed until further notice. The bank closures were the most visible sign of the crisis that took Greece to the brink of leaving the euro earlier this month, potentially undermining the single European currency.