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In a televised interview last night in view of his departure today for Athens and New York, President Clerides said "he felt the need to present the real picture of where the national problem stands at the moment".

The international interest on Cyprus is more upgraded than ever, the President said, but at the same time Turkish intransigence is more tangible.

"We see a greater determination on the part of the international community to help find a Cyprus settlement" he said, and stressed that he is firmly determined to make use of every possible effort for a settlement which might result from the upgraded international interest.

President Clerides pointed out that the Greek Cypriot side wants a solution that would safeguarded permanent peace and security, human rights and the welfare of both communities on the island.

He clarified that he will not discuss the Turkish Cypriot leader's conditions at direct talks on Cyprus and pointed out that the statement by the Group of 8 on Cyprus made it clear that the talks will be unconditional.

President Clerides said he rejects a new procedure of proximity talks because it has been tried before but that he supports the "face to face talks" which the UN Secretary General is expected to call .

He emphasised that irrespective of whether there is a solution to the Cyprus problem or not Cyprus' accession to the European Union remains an aim which is unaltered.

Asked to comment on the various scenarios for a Cyprus settlement Mr Clerides said that various scenarios have been prepared by the Americans and the British but these were not presented to the Greek Cypriot side.

Referring to his trip, the President said that in Athens he will hold talks with his Greek counterpart Costis Stephanopoulos and Prime Minister Costas Simitis. In New York he will address the UN General Assembly and will hold important meetings with the UN Secretary General, the Five Permanent Members of the Security Council, the US State Department Co-ordinator for Cyprus, the US Presidential Emissary , the British Envoy on Cyprus and other officials.

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In his covering letter President Clinton referred to the G8 Summit in Cologne last June and noted that his colleagues urged the UN Secretary General to invite the leaders of the two parties to negotiations in the fall of 1999. "This is a positive step toward addressing the legitimate concerns of both sides and reaching a just and lasting solution for all Cypriots," he said.

The US President noted that Defence Secretary William Cohen's visit to Greece and Turkey in July also emphasised the United States' commitment to reaching a Cyprus settlement.

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I categorically deny this allegation made by Mr Denktash. Mr Markides, speaking at a press conference he gave yesterday concerning the Report of the European Commission of Human Rights on Cyprus' fourth application against Turkey, made no mention about apartheid or bizonality. These inventions by Mr Denktash are obviously aimed at disorienting world opinion and giving him an excuse to avoid pressure exercised on him by various sides as a result of his great intransigence.

The Government Spokesman pointed out that the UN Secretary General, following the proposal of the Group of 8 and Security Council resolution 1250, is called upon to invite the two sides to talks.

"If, by placing unacceptable conditions, Mr Denktash refuses to attend these talks", he said "then he is violating the UN resolutions and the Secretary-General should hold him totally responsible".

In conclusion Mr Papapetrou stressed that that the Secretary-General's reply to Mr Denktash that he is acting within the framework of the UN resolutions satisfies the Government and confirms its position that talks without conditions mean talks held within the framework of the UN resolutions.

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The agreement was initialled last Thursday in Mauritius by the Minister of Finance Mr Takis Klerides and his counterpart there.

Mr Klerides, who is on a four-day visit on the island, stressed the importance of the agreement in view of the fact that the Republic of Mauritius constitutes a valuable centre for companies of international activities and financial services. The double taxation agreements which the Mauritius Republic has signed with other countries, are important for Cyprus's promotion as a centre for international activities, he said.

The agreement will be signed and come into effect in a few months' time.

From the Republic of Cyprus Press and Information Office (PIO) Server at http://www.pio.gov.cy/

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