Cyprus News Agency: News in English, 96-12-05

Cyprus News Agency: News in English Directory - Previous Article - Next Article

From: The Cyprus News Agency at <http://www.cyna.org,cy>

CONTENTS

[01] US proposes moratorium of flights over Cyprus

[02] Businessman in row with Church over cement company

[03] Cyprus and Panama set up friendship groups

[04] Heaslip expects solution in 1997

[05] Cyprus Stock Exchange

[06] Matsis leaves intensive care unit

[07] Occupation regime spy on UN meetings with enclaved

[08] CNA and NOVOSTI sign cooperation agreement

[09] State budgets tabled, improved economic prospects

[10] Local leading bank offers custody services

[11] Cypriot MPs meet Portuguese Assembly officials

[12] New Cyprus ambassador to Yugoslavia

[13] Clerides: Cyprus will not allow Turkey to control its defence

1145:CYPPRESS:01

[01] US proposes moratorium of flights over Cyprus

Washington, Dec 5 (CNA) -- The United States have proposed a moratorium of overflights of combat aircraft as part of a variety of measures aimed to reduce political tensions and the potential for violence in Cyprus.

US State Department Spokesman Nicholas Burns referred to discussions Carey Cavanaugh, Director of US State Department Southern European Affairs Office, had with Cypriot, Greek and Turkish officials in Lisbon, on the sidelines of the Organisation of Security and Cooperation in Europe conference.

Asked by CNA, Burns said ''Garey Cavanaugh, who's our very able diplomat who coordinates Greek and Turkish and Cypriot affairs, met with Cypriot, Turkish and Greek delegations in Lisbon at the OSCE summit.''

He said the US official discussed ''a variety of measures aimed at reducing political tensions and the potential for violence on Cyprus. And the issue of overflights of combat aircraft was one of those measures that he discussed with them.''

The Spokesman told CNA that the discussions were continuing and the State Department believed that these measures would help the situation in Cyprus.

''... We believe that these kinds of measures would be useful in themselves and would be particularly conducive to helping build an atmosphere that would facilitate movement toward some kind of comprehensive settlement of the problems on Cyprus,'' he added.

Burns said the United States remain very much engaged on this issue with the Greek, Turkish and Cypriot governments and with the communities on Cyprus.

When asked by CNA to give more details on the issue, he replied the United States prefer at this time to continue the discussions in private for the sake of the effort towards a comprehensive settlement on Cyprus.

Turkish troops have been occupying 37 per cent of Cyprus territory since 1974, in violation of repeated UN resolutions calling for their withdrawal.

CNA DA/GP/1996

ENDS, CYPRUS NEWS AGENCY

1300:CYPPRESS:02

[02] Businessman in row with Church over cement company

The Cyprus Stock Exchange suspended trading of shares of the two companies involved for a couple of days because of the uncertainty but now operates normally.

Stavros Galatariotis, chairman of the Cyprus Cement Company (CCC) said in a statement yesterday he intends ''to take legal action to claim all his rights and safeguard the company's interests.''

Galatariotis wants to overturn a deal VCC has struck with an Italian cement manufacturer (Italcimenti) after VCC had agreed in principle with him on the sale of nearly 17 million shares at the cost of 35 m. Cyprus pounds (about 70 m. US dollars).

The statement points out that the VCC-Italcimenti deal will have to be endorsed by the Central Bank and notes that, should it go ahead, it would allow a foreign firm to have a 33 per cent stake in the local company, which would give them the right to veto special resolutions of the company.

The deal with the Italian firm is said to be worth less than the 35 m. deal with Galatariotis, according to the statement.

VCC officials said the Central Bank and the Ministry of Commerce and Industry have been notified about the deal with the Italian firm.

A spokesman for the Cyprus Stock Exchange told CNA today that trading in both CCC and Vassiliko shares was suspended on Monday and Tuesday this week when information about the transactions between the two was unclear.

Trading has returned to normal since then and the Stock Exchange operates normally, the spokesman added.

CNA MM/GP/1996

ENDS, CYPRUS NEWS AGENCY

1320:CYPPRESS:03

[03] Cyprus and Panama set up friendship groups

The decision was taken here today during meetings the Chairman of the Committee of Foreign Affairs of the Legislative Assembly of Panama, Oyden Ortega Duran, had at the House of Representatives.

Duran held separate meetings with House President Spyros Kyprianou and the Chairman and members of the House Foreign Affairs Committee, with whom he discussed the political situation in the two countries.

''At this moment international support is very important for Cyprus'', he said and noted the Panama Legislative Assembly knows the Cyprus problem very well.

Duran, on a two-day visit at the invitation of the House of Representatives, said ''the situation in Cyprus can be improved.''

The Cyprus House thanked Duran for a resolution passed in Panama's Legislative Assembly, about a month ago, on the Cyprus issue.

The Assembly expressed support for President Clerides' proposal for the demilitarisation of the island and reiterated its call for the withdrawal of the Turkish occupation troops and a solution based on UN resolutions.

The House of Representatives considers Duran's visit of special importance because it upgrades ties with a Latin American country, House sources told CNA.

During his stay, Duran will visit the demarcation line in Nicosia and Dherynia, follow part of a Parliament plenary session and meet Foreign Ministry Permanent Secretary Alecos Shiambos and relatives of the missing persons.

CNA MA/GP/1996

ENDS, CYPRUS NEWS AGENCY

1500:CYPPRESS:04

[04] Heaslip expects solution in 1997

Speaking at Larnaca airport shortly before leaving the island, Heaslip said great progress had been made during 1996 and expressed the hope that a solution would be reached in 1997.

Heaslip, who was in Cyprus on a week-long visit during which he met Cyprus President Glafcos Clerides and Turkish Cypriot leader Rauf Denktash, said both of them expressed the hope for direct talks to take place early in 1997.

The EU Irish Presidency Representative held also a series of meetings with politicians and businessmen from both sides in order to prepare his report on Cyprus to be submitted to the EU Council of Ministers.

Turkish troops have been occupying 37 per cent of Cyprus territory since 1974, in violation of repeated UN resolutions calling for their withdrawal.

CNA MCH/GP/1996

ENDS, CYPRUS NEWS AGENCY

1530:CYPPRESS:05

[05] Cyprus Stock Exchange

CSE All Share Index                    81.58 (-1.01)

Sectural Indices

Banks                                  89.25 (-1.54)
Approved Investment Companies          75.10 (-0.25)
Insurance Companies                    57.22 (+0.09)
Industrial Companies                   87.90 (+0.64)
Tourist Industries                     71.45 (-1.08)
Commercial Companies                   60.84 (-1.78)
Other Companies                        70.44 (+0.06)

Trading Volume                         CYP 982542.650

CNA GP/1996

ENDS, CYPRUS NEWS AGENCY

1520:CYPPRESS:06

[06] Matsis leaves intensive care unit

According to heart surgeon, Peter Smith, Matsis will return to Cyprus in two weeks while he will be able to resume his duties three months after his return.

CNA MCH/GP/1996

ENDS, CYPRUS NEWS AGENCY

1540:CYPPRESS:07

[07] Occupation regime spy on UN meetings with enclaved

Rokoszewski told CNA Thursday that the illegal police make constant attempts to be present during meetings between UNFICYP personnel and the enclaved in the occupied areas, so as to avert private conversations.

UNFICYP spokesman is quoted today by the Turkish Cypriot daily ''Ortam'' as saying that members of the illegal police ''keep a watchful eye over our shoulders'' in these meetings and that he described this behaviour as a ''scandal''.

Rokoszewski told CNA his statements were ''exaggerated a bit'' by the newspaper but noted that his statements aimed at sending a ''message'' to the Turkish occupation regime for this behaviour.

He expressed the conviction that UNFICYP efforts to overcome this situation would be a success.

''Ortam'' said the UNFICYP spokesman expressed the hope that liaison offices, similar to the one opened yesterday in Limassol to maintain humanitarian role vis a vis the Turkish Cypriots living in the government- controlled areas of Cyprus, would operate in the occupied areas for the enclaved.

He added efforts were being made towards this but noted that two UNFICYP men serving this cause in the occupied Karpass peninsula were being impeded by the occupation regime.

After the July 1974 invasion some 20.000 people stayed in the Turkish- occupied northern areas while some 200.000 were forcibly uprooted from their homes.

Today some 400 Greek Cypriots live as enclaved in the Karpass peninsula and around 100 Maronites live in the occupied northern village of Kormakitis.

About 350 Turkish Cypriots live in the free areas.

CNA SA/AP/GP/1996

ENDS, CYPRUS NEWS AGENCY

1740:CYPPRESS:08

[08] CNA and NOVOSTI sign cooperation agreement

The agreement was signed on behalf of CNA by its Director, Andreas Christofides and on behalf of RIA, Edvard Aslanian, the agency's bureau chief on the island.

According to the agreement, RIA Novosti will provide CNA with news stories covering politics, economy, culture and sports as well as information and interviews.

CNA will grant RIA Novosti with news items, analyses and articles.

CNA will have the exclusive rights to use and distribute Novosti stories in Cyprus and Greece.

Both Christofides and Aslanian praised the signing of the agreement saying it will contribute to the further development of relations between the two news agencies and the two countries.

Christofides said CNA looks forward to developing the relations between the two news agencies. He said the agreement will help towards better understanding between the two peoples.

The CNA Director thanked the Russian Federation for its keen interest in efforts to resolve the Cyprus problem and its firm support for Cyprus' unity sovereignty and territorial integrity.

Aslanian said Novosti looks forward to harmonious cooperation with CNA.

Such agreements, he added, contribute to further developing relations between Cyprus and Russia, in the political, economic, cultural and other fields.

Present at the signing ceremony at CNA premises were Igor Evdokimov, counsellor at the Russian Embassy in Nicosia, and George Penintaex, CNA Editor-in-Chief. CNA EC/GP/1996.

ENDS, CYPRUS NEWS AGENCY

1750:CYPPRESS:09

[09] State budgets tabled, improved economic prospects

The Minister told the House plenary session that the ''prospects for 1997 are expected to be better than those in 1996.'' Nevertheless, he called on everybody to ''come down to earth'' and not to expect everything from the state.

The ordinary budget provides for expenditure of 1.162 m. pounds and revenue of 1.066 m. pounds, the development budget envisages spending amounting to 233 m. pounds and the refugee fund expenditure of 83 m. pounds and revenue 21 m. pounds (One Cyprus pound = approximately two US dollars)

The Minister said development projects in the road network and the water supply network account for 32 per cent of the total cost for development projects.

''The rate of growth for 1997, estimated at 3,5 per cent, is considered satisfactory, while inflation and unemployment rates are believed to range around this year's figures, about 3 per cent,'' he said.

Public deficit is estimated at 176 m. pounds or 4 per cent of the gross domestic product while public debt will be similar to this year's level.

''Our monetary policy will be adjusted to facilitate investment and the balance of payments will record a deficit, smaller than this year's (over 150 m. pounds),'' Christodoulou added.

Referring to Cyprus' efforts to harmonise its institutions with those of the European Union, the Minister said Cyprus hopes to meet the Maastricht criteria, set by the EU, which only Luxembourg so far meets.

''Radical changes need to take place in our monetary system, including the gradual restriction on foreign exchange and the abolition of a maximum ceiling on interest rates, currently governed by legislation,'' Christodoulou said.

The Minister welcomed the start of operations by the Cyprus Stock Exchange in March, describing it an ''important step towards modernisation and progress in the local money market.''

Outlining the government's socio-economic policy, Christodoulou said Cyprus faces acute competition following the liberalisation of the world trade of goods and services.

''This creates difficulties and opens up new possibilities which demand flexibility, adjustment, determination and dynamism,'' he said.

He referred in particular to problems facing the main local industry, tourism, resulting from competition.

''Increasing the number of beds available and the number of tourists visiting the island cannot continue. The new environment necessitates renewal and upgrading of our tourist product to attract high income visitors,'' Christodoulou said.

Referring to economic developments in 1996, he said the rate of growth is estimated at 2,5 per cent compared with initial forecasts of around 4 per cent.

This slow-down is partly due to a reduction in the rate of growth in the European Union from the anticipated 3 per cent to 1,5 per cent.

This year unemployment marked a slight increase and reached 3 per cent and inflation is estimated to be around 3 per cent.

Public deficit for 1996 is expected to reach 120 m. pounds of the gross domestic product compared with 40 m. pounds the year before, the Minister said.

''This level falls within controlled levels and meets the Maastricht criteria,'' he added.

CNA MM/GP/1996

ENDS, CYPRUS NEWS AGENCY

1810:CYPPRESS:10

[10] Local leading bank offers custody services

The services include safe custody, settlement of trades, income collection, corporate actions, reporting services, tax reclaiming, proxy voting and foreign exchange.

Announcing the new services on Wednesday, Marios Hadjigavriel, of the Cyprus Popular Bank, said the Bank is the first bank in Cyprus to have introduced a full range of custody services and it will act as an agent for the Midland Securities Services, a division of the Midland Bank, UK.

''The Legal and Trustee Department of the Bank enjoys an extensive experience in the provision of trustee and custody services for local institutional investors, namely insurance companies with assets held under trust both in Cyprus and abroad amounting to approximately US 170 million US dollars,'' he said.

Demetra Markidou, of the Popular Bank, told the press the ''establishment of this service illustrates the trust the Bank places on the Cyprus Stock Exchange and its future development.''

She added the service would facilitate the attraction of foreign investors in Cyprus.

Markidou explained that fees would be proposed individually on the basis of the client's specific requirements.

Steve Faulkner, of the Midland Securities services, (MSS), told the press MSS selected the Cyprus Popular Bank ''as our sub-custodian in Cyprus based on their proven ability to satisfy our settlement and custody requirements.''

He added ''I believe the Bank will be able to meet the servicing requirement of other international investors and global custodians.''

CNA MM/GP/1996

ENDS, CYPRUS NEWS AGENCY

1930:CYPPRESS:11

[11] Cypriot MPs meet Portuguese Assembly officials

The two MPs, who are in Lisbon to attend the Second Mediterranean Seminar of the North Atlantic Assembly, were received by President of the Portuguese Assembly, Antonio Almeida Santos, and discussed Cyprus' process of accession to the European Union as well as strengthening relations between the two countries.

Santos accepted an invitation to visit Cyprus. At the same time he invited Spyros Kyprianou, President of the Cyprus House of Representatives, to visit Portugal.

Erotokritou and Kyprianou also met with the President of the Foreign Affairs Committee of the Portuguese Assembly, Eduardo Eugenio Castro de Azevedo Soares.

CNA MCH/GP/1996

ENDS, CYPRUS NEWS AGENCY

2010:CYPPRESS:12

[12] New Cyprus ambassador to Yugoslavia

At the same time, he denounced Turkey's negative stance towards a Cyprus settlement.

Lilic's statement was made during a meeting with Cyprus' new ambassador to Yugoslavia Andreas Scarparis, who had earlier presented his credentials.

According to an official press release issued here Thursday, Lilic referred to the bilateral relations and agreements between Yugoslavia and Cyprus and expressed his country's thanks for the humanitarian aid offered by Cyprus.

Presenting his credentials, Scarparis expressed Cyprus' gratitude for Yugoslavia's firm support to Cyprus' unity, independence, sovereignty, territorial integrity and to a just and peaceful solution to the Cyprus problem.

Turkish troops have been occupying 37 per cent of Cyprus territory since 1974, in violation of repeated UN resolutions calling for their withdrawal.

CNA AP/GP/1996

ENDS, CYPRUS NEWS AGENCY

2140:CYPPRESS:13

[13] Clerides: Cyprus will not allow Turkey to control its defence

Commenting on a US-proposed moratorium to ban Greek and Turkish military aircraft flights over Cyprus, in an effort to defuse tension on the island, President Clerides revealed that Turkey set as a precondition the right to resort to military action when it considers appropriate.

He stressed that, ''such a dialogue (concerning overflights) cannot continue unless crystal clear explanations are given concerning Turkey's stance.

''The US initiative'', he noted, ''did not aim to control National Guard armaments but to ban overflights of Greek and Turkish military aircraft.''

He noted, however, that Turkey used as an excuse National Guard armaments to persist on its claim of military action.

President Clerides explained that the issue of Greek and Turkish military aircraft overflights was discussed in Lisbon in three stages with US State Department Southern European Affairs Director, Carey Cavanaugh.

The first meeting was between Cavanaugh and Cyprus Foreign Minister, Alecos Michaelides and Government Spokesman Yiannakis Cassoulides.

''Michaelides and Cassoulides were not authorised to reach an agreement but only to inform me on the views expressed,'' Clerides said.

The Cypriot President said ''during the first meeting it was obvious that there was a disagreement concerning the duration of such a ban.''

President Clerides attended the second meeting and reaffirmed his government's position of discussing the substance of the Cyprus problem and not side issues such as overflights.

He said ''the government was interested to know when the US initiative will be launched.''

During the meeting, President Clerides noted that ''Turkey insists it is entitled to take military action whenever it considers appropriate.''

President Clerides did not attend a third meeting but conveyed his views in a written message through the Foreign Minister.

''In the written message the government was stressing that a dialogue (on overflights) could not continue since Turkey insists on its so-called right of military action,'' President Clerides said.

The Greek government has been informed of the content of the written message, which will also be conveyed to Cypriot political party leaders during the next National Council meeting.

CNA MCH/GP/1996

ENDS, CYPRUS NEWS AGENCY

Cyprus News Agency: News in English Directory - Previous Article - Next Article