The Macedonia effect? Deal may boost Greek debt relief hopes

FILE PHOTO: Greek Prime Minister Alexis Tsipras and Macedonian Prime Minister Zoran Zaev gesture before the signing of an accord to settle a long dispute over the former Yugoslav republic's name in the village of Psarades, in Prespes, Greece, June 17, 2018. REUTERS/Alkis Konstantinidis/File Photo

ATHENS (Reuters) - With a brief formulation of words, Greek Prime Minister Alexis Tsipras may have boosted his chances of persuading foreign creditors to free his nation from years of financial humiliation on better terms than a few days ago.

Tsipras agreed a deal with his Macedonian counterpart at the weekend under which Greece's neighbour will be renamed "Republic of North Macedonia", a formulation offering a chance to end a 27-year dispute with Skopje that has bedevilled the European Union's eastward expansion.