Cyprus News Agency: News in English (PM), 98-04-07

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

CONTENTS

[01] Cyprus Stock Exchange

[02] Finnish Ambassador presents credentials

[03] Norwegian Ambassador presents credentials

[04] Italian Deputy FM arrives

[05] President Clerides sends letter to UN chief

[06] UN envoy stresses need for resumption of peace talks

[07] PSEKA Conference in Washington

[08] Italian official meets Foreign Minister

[09] Cyprus gets more time to decriminalise homosexuality

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[01] Cyprus Stock Exchange

CSE All Share Index                    90,70 ( 1,48)

Sectural Indices

Banks                                 104,43 ( 2,12)
Approved Investment Companies          66,60 ( 1,02)
Insurance Companies                    65,44 ( 0,79)
Industrial Companies                   82,37 (-1,09)
Tourist Industries                     75,90 (-1,00)
Commercial Companies                   52,95 ( 2,60)
Other Companies                        81,17 ( 2,01)

Trading Volume                       3.001.963

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[02] Finnish Ambassador presents credentials

Presenting his credentials today to President Glafcos Clerides, new Finnish Ambassador to Cyprus, Pasi Patokallio, described relations between Finland and Cyprus as "excellent" and contacts as "manifold".

"Finland looks forward to welcoming Cyprus as one of its partners in an enlarged EU," he said, expressing the hope "accession negotiations with Cyprus will progress well on the basis of December 1997 conclusions of the European Council in Luxembourg".

Making special reference to the invitation extended by the Cyprus government to Turkish Cypriot for participation in the delegation negotiating accession, Patokallio expressed "regret that the offer has not been taken up as yet".

"We certainly continue to hope that the Turkish Cypriot community will be able to accept that a common future in the EU is preferable to a separate one in relative isolation," he added.

The Finnish Ambassador expressed strong support to the resumption of intercommunal talks on the Cyprus problem within the UN framework, pointing out that:

"EU accession negotiations and UN-led talks for a peaceful resolution of the Cyprus problem can be mutually reinforcing. Both tracks are needed to bring about the desired outcome of having the whole of Cyprus enter the EU."

In his reply President Clerides expressed gratitude for Finland's "invaluable contribution to the UN Peace-keeping Force in Cyprus (UNFICYP)".

Referring to the start of Cyprus-EU accession talks, he pointed out everyone recognises "EU membership will benefit the people of Cyprus as a whole, but in particular the Turkish Cypriot community whose standard of living remains at low levels".

Greek Cypriots "remain ready and committed towards a peaceful, just and viable solution to the Cyprus problem", President Clerides said.

"We count on your continuing constructive involvement demonstrated also through your country's appointment of a Special Representative for Cyprus," he added.

CNA MCH/MA/1998

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[03] Norwegian Ambassador presents credentials

Presenting his credentials to President, Glafcos Clerides, new Norwegian Ambassador to Cyprus, Svein Ole Saether, stressed excellent bilateral relations, pointing out "they have been enhanced over the last years, not at least due to tourism".

Saether stressed the great importance Norway attaches to efforts for a Cyprus settlement "through negotiations and an open active dialogue".

Expressing his country's full support to the UN Secretary-General's efforts for a durable negotiated settlement, he pointed to Norway's substantial financial support to the UN Peace-keeping force in Cyprus (UNFICYP) and to humanitarian work for the refugees.

He also pointed out Norway financed UN-led negotiations between President Clerides and Turkish Cypriot leader, Rauf Denktash, held in Troutbeck, New York, last summer.

The Norwegian Ambassador also made note of his country's support to the Business Forum held in Brussels last November between representatives from the two communities of Cyprus, Greece and Turkey.

"We will follow up these efforts to facilitate the process and the bi- communal projects initiated by the groups at the Brussels meeting," he said.

Seather stressed his government's "most sincere wish" for a peaceful and just settlement of the Cyprus problem in the near future", expressing the hope "that your (Cyprus') accession negotiations with the EU will be conducive to that effect".

In his reply, President Clerides praised bilateral co-operation pointing out it has developed to cover sectors such as commerce, shipping, transport and the environment.

He reaffirmed the government's commitment to "a sincere and hopefully fruitful dialogue with the Turkish Cypriot side", and expressed appreciation "for the keen interest shown by the government of Norway for a just and peaceful solution to the Cyprus problem".

President Clerides also said he expected Cyprus' accession to the EU not only to bring economic benefits and prosperity to the people of Cyprus as a whole, but also "act as a catalyst in efforts to solve the Cyprus problem and achieve reunification of our country".

CNA MCH/MA/1998

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[04] Italian Deputy FM arrives

Speaking on arrival today for meetings on the Cyprus problem, Fassino pointed out that the delegation to hold the accession talks should represent both communities of the island.

"As far as the opening of negotiations for accession is concerned we shared with our partners the opinion and the decision to go on with the opening of negotiations on 31 March," he said.

The Italian official added "we feel that the negotiations must continue with all six countries according to the schedule that has been set."

However, he expressed the conviction that "everything must be done to ensure that the delegation negotiating with the EU be representative of the inhabitants of the whole island."

The Turkish Cypriot side has turned down a proposal from President Glafcos Clerides to nominate representatives to participate in the Cyprus team to negotiate accession.

Commenting on press repots, Fassino said Italy has not decided to consider an arms embargo against Cyprus.

He added he will discuss this issue with Foreign Minister Ioannis Kasoulides during a meeting later today.

Immediately after his arrival Fassino met UN resident representative to Cyprus, Gustave Feissel.

Tomorrow he will call on President Glafcos Clerides and will also meet representatives of the Turkish Cypriot community.

CNA MAN/MCH/GP/1998

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[05] President Clerides sends letter to UN chief

In a letter to UN Secretary-General Kofi Annan, released today, the Cypriot President called on the Security Council to urge the Turkish side to return to the negotiating table.

"The Turkish attempt to change the basis of the negotiations strikes at the heart of the negotiating process with unforeseen consequences not only for Cyprus but for peace and stability in the region," President Clerides said.

After a decision by the European Union to open accession talks with Cyprus (March 31, 1998), the Turkish Cypriot side told the UN it would not participate in negotiations to settle the Cyprus problem unless the illegal regime in the Turkish-occupied areas of Cyprus was recognised.

Its leader Rauf Denktash had said he wanted a change of the bicommunal basis on which the negotiations took place until today and wanted to participate as the leader of his illegal "state" unilaterally declared in 1983 and recognised only by Turkey.

"We feel that the Security Council, which has the primary responsibility for the maintenance of peace and stability, should reconfirm its commitment for a peaceful solution of the Cyprus problem on the basis of its own resolutions and the high level agreements and, in this framework urge the Turkish side to return to the negotiating process," the President said.

Two high level agreements were signed by the two sides in 1977 and 1979 that provide for the establishment a bicommunal, bizonal federation in Cyprus.

President Clerides defended the Cyprus Republic's "right and duty to ensure the security of its people."

Referring to a government decision to buy the Russian-made S-300 surface-to-air missile system, expected to be deployed later this year, he said "the defensive intentions of my government have been made clear all along."

"Cyprus has repeatedly stressed that the system is in no way intended against any country or the Turkish Cypriots," the President added.

He pointed out that "the undisputed proof of Cyprus' intentions lies in my proposal for the complete demilitarisation of the Republic of Cyprus, made in November 1993, and which addresses the security concerns of both the Greek Cypriot and Turkish Cypriot communities."

President Clerides' proposal, submitted in a letter to the UN Chief, envisages the dissolution of the National Guard and the handing of all its arms and equipment to the UN, with the simultaneous withdrawal of the Turkish troops from Cyprus. At the same time the Turkish Cypriot forces should be disbanded and their arms should be handed to the UN.

"The proposal, if accepted by Turkey, would remove the reason that necessitated the general effort to improve my country's defence capabilities," Clerides added.

President Clerides reiterated that the people of Cyprus looked to a future in a united country, where all its citizens could live and work in peace, dignity, mutual respect and security.

"We all should look forward to the future and the future of Cyprus lies with the family of the nations of Europe.

I take this opportunity to appeal once again to my Turkish Cypriot compatriots to join this noble effort," he said.

The Turkish side has turned down President Clerides' proposal to nominate Turkish Cypriot representatives as full members of the Cyprus team that will negotiate accession to the European Union.

The Cyprus Republic began accession talks with the European Union on March 31, in Brussels.

President Clerides sent his letter to Kofi Annan, dated April 2, in response to a letter sent to the UN chief by the Turkish Permanent Mission to the UN, that included a letter from Denktash, to President Clerides in March. Clerides returned it as unacceptable.

In his letter to Annan, the Cypriot President pointed out that Turkey was in contempt of international legality and refused to comply with UN resolutions and stressed that there existed only one Republic of Cyprus.

"If the Turkish side sincerely wishes to ally itself with the international community in the efforts to find a just and viable solution to the Cyprus problem, there is no other way but to respect and adhere to international legality and to what has already been agreed," President Clerides added.

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[06] UN envoy stresses need for resumption of peace talks

Speaking after a meeting with Italian Deputy Foreign Minister, Piero Fassino, who began a visit to Cyprus today, the UN envoy also said arrangements to move the peace process forward were being discussed.

"It is very clear that we have to move forward. It is impossible to stay where we are," Feissel said.

Replying to questions, the UN envoy described the Cyprus Republic's bid to join the European Union as "an important new element to the Cyprus question."

Invited to comment on a statement last week made by UN Secretary- General's special advisor for Cyprus, Diego Cordovez, who described Cyprus' accession prospect as a "bomb", Feissel expressed the view that Cordovez was "misinterpreted".

"What he said may have been misinterpreted. It was viewed as a negative statement, when in fact it was just a statement that the EU factor is an important new element in the Cyprus question," Feissel said.

The Cyprus Republic opened accession talks with the EU in Brussels, on March 31.

The Turkish side broke off the negotiations for a Cyprus settlement after the EU reconfirmation that it would open talks with the government of Cyprus.

Turkish Cypriot leader Rauf Denktash has said he will participate in negotiations only if his illegal regime in the areas occupied by Turkish troops since 1974 is recognised.

Asked if the UN will come up with specific suggestions to continue the Cyprus peace process, Feissel said "we have to move forward and we are thinking about what can be done.

What kind of arrangement, what kind of package of arrangements we come up with, that will enable the two sides to move forward."

Feissel welcomed US support in efforts to break the deadlock in the Cyprus peace process, describing it "very important".

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[07] PSEKA Conference in Washington

PSEKA President, Philip Christopher, said that last year participants met with key policy makers in the Senate, the House of Representatives and the State Department and that "we look forward to seeing them and stress to them that the Cyprus tragedy needs to be solved now".

He pointed out that "this period could be the greatest window of opportunity for a just and viable settlement" of the Cyprus problem.

This year's recipient of the "George Paraskevaides Award" will be George Tenet, Director of the Central Intelligence Service (CIA).

CNA RG/GP/1998

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[08] Italian official meets Foreign Minister

Speaking tonight after a meeting with Foreign Minister, Ioannis Kasoulides, Fassino said Italy's "only concern is to avoid such a supply of missiles to be seen as contributing to a militarisation of the region".

He added that "Italy has never decided on an arms embargo for Cyprus" or "annulled any decision" for the sale of military material to the Republic.

"There is a contract between an Italian company and the government of Cyprus for a supply of missiles of a defensive nature, for the export of which the authorisation of the Italian government is required", he said, pointing out that in the past authorisation was given for a similar delivery.

He added, however, that "in this case we have put a pause for reflection".

On his part Kasoulides said he believes that "following the talks and the frank exchange of views it appears that we can hope for a speedy and positive resolution of this problem".

Kasoulides expressed satisfaction with the meeting and said "discussions were very frank and thorough, with a very useful exchange of views".

Pointing out that this is his second visit to Cyprus in a few months, Fassino said it demonstrates Italy's "great attention for Cyprus and our commitment to contribute to efforts towards a solution of the Cyprus problem".

The Italian Deputy Minister repeated that negotiations for European Union membership, that began on 31 March, must continue with all six applicant countries over the same modalities and timing.

"In the case of Cyprus we believe that parallel to the accession negotiations efforts must be made to allow for a joint delegation representing the whole of the island," he added.

Describing the proposal put forward by the Cyprus government for Turkish Cypriot participation in the team to negotiate accession as "positive", Fassino expressed the hope an agreement will be reached when negotiations actually begin.

"During the next few months we will not see the actual negotiations but rather the screening of the acquis communautaire", he said.

He added "we think there is time in the next few months to arrive at setting up a joint delegation representing also Turkish Cypriots for the moment when actual negotiations begin".

Fassino said Italy encourages more efforts to facilitate the acceptance of the Cyprus government proposal by the Turkish Cypriot community.

"It is not up to Italy to say whether and in what ways this proposal should be improved. Our role is to encourage both sides to come closer and find an agreement," he added.

The Italian Deputy Minister also said "we think that it is in the interest of the EU to overcome the deadlock in relations between the EU and Turkey", he said, pointing out that efforts will have to be made during the next few weeks towards this direction.

Fassino said a positive contribution to this effect should be made during the Cardiff summit, in June, so that Turkey could be present at the second session of the European Conference.

He descried Turkey as "a great country which is located at the gates of this new Europe which is in the process of enlargement", noting that its has been associated with the European Community since 1963.

"Of course in our view this has to happen in full respect of the sovereignty and independence of Cyprus and seeking at the same time a solution to the problems of the Aegean, guaranteeing security and stability to Greece", he added.

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[09] Cyprus gets more time to decriminalise homosexuality

The Republic's Permanent Representative to the Council, Thalia Petridou, has said Cyprus managed to get this period of grace to allow the House of Representatives to adopt the relevant bill.

The Committee of Deputy Ministers of the CoE dealt with the matter today.

Cyprus has failed to comply with a ruling of the European Court of Human Rights to decriminalise homosexuality, passed in April 1993 when a Cypriot homosexual took his case to the Court and won.

The government has repeatedly appealed to the House to approve the bill but strong opposition from the Church and others has put it on the back- burner.

Petridou said if the bill does not get through by May, there will certainly be repercussions "because Cyprus will no longer have any excuse to argue for further postponement."

The Committee, she explained, may adopt a resolution calling on the government to comply with the decision of the European Court of Human Rights.

CNA MA/MM/1998

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