Turkish Cypriot Press and Other Media, 96-10-30

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TURKISH PRESS AND OTHER MEDIA

No.195/96 30.10.96

CONTENTS

[A] NEWS ITEMS

[01] Turkey reportedly plans to make concessions on Cyprus.

[02] Security, defense get $10.1 billion in Turkey's Draft Budget.

[03] Turkey said to be under secret US embargo.

[04] Turkish Cypriots retaliate against the Greek Cypriot protest activities at Ledra Palace check-point.

[A] NEWS ITEMS

[01] Turkey reportedly plans to make concessions on Cyprus

It has been reported, the paper writes, that the EU countries will be informed that Ankara will agree to Cyprus' accession in return for a definite and unchanging calendar for Turkey's accession to the organization. It also has been reported that Ankara may decide not to use the veto right it claims to have in accordance with the London and Zurich Agreements.

A high-ranking Foreign Ministry diplomat has confirmed the plan that has been made for the new initiative on Cyprus. He said: "Why should this not be so if they establish a definite calendar on Turkey's accession to the EU? However, the solution of the Cyprus problem is a precondition. The two sides must join the EU under equal conditions and Turkey's accession must be guaranteed."

The European countries have intensified their effort to have the Cyprus problem resolved as soon as they became aware of Turkey's new plan. The most important development within that framework was Rauf Denktash recent contacts in Germany. He was informed that his "exclusion from the Cyprus problem is out of question."

Meanwhile, the paper concludes, Britain is preparing to make a new initiative through Secretary of State for Foreign and Commonwealth Affairs Malcolm Rifkind. He plans to hold talks with Rauf Denktash and President Glafcos Clerides when he visits Cyprus in December.

[02] Security, defense get $10.1 billion in Turkey's Draft Budget

Of the 30.95 percent share of the total expenditures assigned to the government's four main tasks, security and defense are set to receive TL (Turkish Lira) 961.925 trillion ($10.1 billion), which is 15.38 percent of the total, followed by education with TL 705.763 trillion ($7.4 billion) accounting for 11.28 percent. Health expenditures are set at TL 204.939 trillion ($2.1 billion) or 3.28 percent, while justice expenditures will remain at TL 63.036 trillion ($663 million) or 1.1 percent of the total spending.

In 1996, however, expenditures on security and defense are expected to account for 11.69 percent of amount assigned to the four main asks, while education expenditures would be 8.75 percent, health at 2.46 percent and justice at 0.78 percent.

According to the 1996 budget estimates, TL 30.652 trillion ($322.6 million) will be spent on justice, TL 96.977 trillion ($1.02 billion) on health, TL 345.294 trillion ($3.634 billion) on education and TL 461.534 trillion ($4.858 billion) on security and defense.

The shares of the four tasks in the national income are expected to increase from 3.12 to 3.79 for security and defense, from 2.34 to 2.78 for education from 0.66 to 0.81 for health and from 0.21 to 0.25 for justice compared to the 1996 estimates.

The $46.333 billion 1997 draft budget envisages a zero-deficit and aims at lowering expenditures by $2.242 billion from the 1996 target which is expected to produce a deficit of $16 billion this year.

Estimates based on an average annual dollar exchange rate of TL 81,250 for 1996 and TL 135,000 for 1997 show that the 1996 expenditures would amount to $48.575 billion while revenues would stay at $32.575 billion.

The biggest share in the 1997 draft budget is taken up by $25.079 billion in transfer payments, which is $4.647 billion less than the $29.726 billion in such payments predicted for the current year. Interest payments on both domestic and foreign debts in the transfers amount to a huge $13.807 billion.

Personnel expenditures account for the second highest amount, with $12.407 billion after the interest payments.

[03] Turkey said to be under secret US embargo

"Regarding Cyprus, the United States has claimed that the problem will be resolved in 1997. How will it be resolved? I am about to lose hope. We have called for a bicommunal and bizonal federation on the island. However, it seems that conditions do not allow the two sides to live together. The problem may be resolved through secret diplomacy. I worked as a staff colonel at the General Staff when the slogan `partition or death' was chanted in Cyprus in the past. Bulent Ecevit objected to the idea. So did I. I defended the view that the division of the island will be in Greece's interest."

[04] Turkish Cypriots retaliate against the Greek Cypriot protest activities at Ledra Palace check-point