A.N.A. Bulletin, 22/12/95

From: "Greek Press & Information Office, Ottawa Canada" <grnewsca@sympatico.ca>

Athens News Agency Directory

ATHENS NEWS AGENCY BULLETIN (No. 771), December 22, 1995

Greek Press & Information Office

Ottawa, Canada

E-Mail Address: grnewsca@sympatico.ca

CONTENTS

[1] Gov't stresses need to aim for convergence plan targets

PASOK deputies stressed the need for a stronger economy and the implementation of the convergence programme which will bring the country closer to the single European currency in Parliament yesterday, the fourth day of the budget debate.

National Defence Minister Gerasimos Arsenis said that the PASOK government was the only one that could bring the fruit of sacrifices made by the Greek people to their homes.

Mr. Arsenis said the government's vision was national independence, popular sovereignty and social justice.

Mr. Arsenis assured the average Greek the government recognized the sacrifices that had been made, adding that only the PASOK government could bring the fruit of these sacrifices to every home, bring the country to the front line of Europe's economies and turn it into an economic and political centre in the Balkans.

He placed emphasis on the need for political convergence with the European Union which was synonymous with a policy of national independence, since national independence was safeguarded through the acquisition of economic power, but said there was always a margin to promote a Greek view in European policy.

Referring to economic issues, Mr. Arsenis said one should not be complacent because the GDP had increased by over two per cent because it could be a casual event based on favorable conjunctures.

He said that public expenditures should be decreased, but carefully, to avert negative results for the quality of public services. On the question of investments, he said they did not automatically secure development results unless they were accompanied by a series of other structural preconditions, adding that implementation of the Delors II package should be speeded up and be made more effective.

Mr. Arsenis said that the PASOK government would honor its commitments on a special salary scale for the military which would be tabled in Parliament after the holidays and would be implemented in the framework of the 1996 budget.

He said Prime Minister Andreas Papandreou intended to visit the national defence ministry to make the announcement himself but was taken ill in the meantime.

Former PASOK industry minister Costas Simitis called for a national strategy utilizing the country's full potential and making Greece a powerful state.

"A powerful Greece will be the result of a coordinated policy in all sectors which will ensure economic stability, growth and an active international presence, due to the inner dynamics of our economy and our society," Mr. Simitis said.

He said that in the past two years, the government had managed to put a brake on the economy's slide and create the conditions for significant macroeconomic improvements, such as the slowing of inflation, the gradual recovery of GDP, the spectacular improvement in the balance of current accounts and achieving budgetary targets for the second year running.

Mr. Simitis said, however, that the battle to bring the economy under control had not yet been won, stressing the still high deficit in the broader government sector, the increasing public deficit and problems in the current accounts balance remained unresolved.

The former minister said Greece should focus on meeting the goals of the convergence programme, in order to ensure unimpeded participation in the process of European unification, adding that "we have to avoid repeating the mistakes of the past."

The PASOK deputy said Greece could become the bridge between East and West and, being the region's sole member-state of the European Union and the most developed country, could be turned into a leading centre.

He did stress however that since Greece has lost its "traditional competitive edge" which was low production costs, "the only solution left is to make Greek enterprises competitive."

"Efforts aiming at development are not enough to change things," he said. He urged "drastic reforms in taxation and public finance," and said economic policy should be bound to social policies "in order to ensure a society with more cohesion and solidarity."

"No stabilization programme will last long or be effective," he added, "unless it clearly defined as to which social classes will bear the burden of adjustment."

Industry Minister Anastasios Peponis said that growth in itself would not give a solution to unemployment.

"Vague references to growth as the only solution to unemployment will not in itself solve the problem," he said.

Mr. Peponis said other options should be taken into consideration such as a proposal by the General Confederation of Greek Workers (GSEE) for a 35-hour working week, with wages remaining at the same level, in order to create jobs.

"The ministry of industry, energy and technology will soon take the initiative to form a tripartite committee comprising representatives from the Federation of Greek Industries (SEB), the GSEE and the ministry in order to test GSEE's proposal on a trial basis," he said.

Concerning the government's industrial policy, Mr. Peponis said its basic axes were modernization and improvement of industrial structure with special emphasis on production and product quality, strengthening of small- to medium-size businesses, investment promotion and promotion of the industry's international competitiveness.

Mr. Peponis further announced that in the upcoming weeks, the ministry will submit a draft bill in Parliament for the simplification of lending procedures for the installation and operation of industrial units.

Former PASOK minister Theodoros Pangalos called for more funds for education, the foreign ministry and a streamlining of defence expenditures.

"Education is in need of a revolution," Mr. Pangalos said. "This presupposes an increase in expenditures, unity of political powers and co-operation of social groups."

Referring to defence spending, he said that "an effort to streamline defence budgets must start in co-operation with the leadership of the armed forces."

"There are costs to be reduced and money to be saved and allocated for the reinforcement of our border regions and the foreign ministry," he said. "One ambassador is more effective than an entire army regiment."

Main opposition New Democracy deputy leader Ioannis Varvitsiotis referred to "an absolute political void," and called for the immediate replacement of the premier and early elections.

Speaking of a "political anomaly," emanating from the issue of a replacement to the prime minister, Mr. Varvitsiotis said "the budget discussion has lost its political and functional meaning."

Concluding, Mr. Varvitsiotis criticized government officials who "on the one hand, criticize the government and, on the other, support it," and agreed with Mr. Pangalos that the foreign ministry was in need of greater funds.

Alternate National Economy Minister George Anomeritis said that, for the first time in years, the government's economic policy might result in stabilization, growth and social justice.

Mr. Anomeritis focused his speech on public investment, private investment and Community funding.

"Until elections in 1997," Mr. Anomeritis said, "the government will have concluded its development work, creating the conditions for a more just incomes policy, especially to those who now bear the burden for stabilization, the employees and the pensioners."

[2] Premier's condition 'critical', doctors say

A medical bulletin released yesterday evening on the health of Prime Minister Andreas Papandreou said the premier was being treated with wide-ranging antibiotic therapy, as there are still indications of an infection.

Doctors said the premier's condition could be described as "critical". They said earlier fears of a deterioration were confirmed later in the day when his white blood cell count rose.

During the six hours before the announcement, the premier's breathing was periodically supported by a respirator, while he had also undergone successful kidney dialysis, the Onassion Hospital bulletin stated. His cardiac function remained unchanged.

The new infection plaguing the premier is apparently "under control," according to a statement issued by government spokesman Telemahos Hytiris at 10:30 last night.

Mr. Hytiris, who is also press minister, said the infection is being treated by an alteration in antibiotics.

The government spokesman called on the press not to overly dramatize the situation, requesting that reporters "stick to real incidents."

Cardiologist Th. Livanis, who read out the medical bulletin, told reporters that the premier was running a slight fever, an indication of infection, but insisted that the premier was conscious.

An earlier medical bulletin said that the premier's condition was unchanged since Wednesday night, as his breathing continued to be supported by a respirator.

Mr. Papandreou remained on the respirator throughout the night and was taken off the machine yesterday morning. His doctors said that he was in much better spirits yesterday than the day before.

After waking, the premier underwent physiotherapy to facilitate his breathing and later underwent dialysis.

The American endocrinologist who installed a gastric tube a few weeks ago to improve the premier's nutrition examined Mr. Papandreou yesterday morning and, according to informed sources, expressed satisfaction at the result.

The sources said that the premier had gained two to three kilos in the last few days alone and now weighed between 65 and 67 kilos.

The same sources said that some of Mr. Papandreou's children attended yesterday morning's medical council and asked to be informed about the condition of the premier's health.

After the meeting, the president of the council and deputy director of the Onassion, Grigorios Skalkeas, issued an announcement replying to recent press reports concerning his relationship with the premier's family and close associates, the way in which the medical bulletins are drawn up and other matters.

In the announcement, Mr. Skalkeas does not rule out the possibility of resigning as president of the council if his desire to remain out of the limelight and disassociated from politics was not respected.

Stressing that his role on the medical council was supervisory, Mr. Skalkeas said that the daily bulletins were prepared by all the council members representing various specializations and were signed "in accordance with Hippocratic ethics, a sense of responsibility, discretion and respect for the person of the patient."

Mr. Skalkeas said that on the few occasions when he had met with the premier's wife, she had been "decent and polite," adding that they had never disagreed or argued. "I am entitled to ask all to respect my desire to remain out of the limelight and far from politics, as I have done all my life. Otherwise I shall be forced to resign my position at a time of battle, something which would be morally unacceptable," Mr. Skalkeas said in the announcement.

[3] Arsenis meets with Vasso Papandreou

National Defence Minister Gerasimos Arsenis and PASOK deputy Vasso Papandreou met yesterday afternoon in the Grande Bretagne Hotel in Athens.

Mr. Arsenis characterized the meeting as "very useful". Both parties stated the meeting was conducted in a good atmosphere, although they both remained firm on their positions.

Mr. Arsenis is due to meet with former minister Yiannis Haralambopoulos in parliament today, while he will also meet with Costas Simitis during the afternoon.

[4] Political Spring says 'political crisis' cannot continue

Political Spring party leader Antonis Samaras chaired a meeting of his party's Executive Committee yesterday which assessed that the country was going through a political crisis creating serious problems for the national economy and social life.

Mr. Samaras said confusion and uncertainty over the course of political developments were shaping an "obscure and dangerous landscape" for the country's future.

He underlined the responsibilities of the ruling PASOK party's members which should assume necessary initiatives, otherwise there was the risk of the crisis worsening with unforeseeable consequences.

The new state budget was also discussed and it was agreed that uncertainty over political developments would affect its implementation.

It was further decided that the Executive Committee, the Parliamentary Group and the Planning and Programming Council will jointly convene on January 4.

[5] Papoulias welcomes increased activity on Cyprus issue, has talks with Michaelides

Foreign Minister Karolos Papoulias said yesterday that the "omens" were now better for a settlement of the Cyprus problem in view of the "strong interest" of the European Union in the issue.

Mr. Papoulias was speaking after over two hours of talks with his Cyprus counterpart Alecos Michaelides which covered the entire range of issues pertaining to the Cyprus problem.

"The efforts being made not only by the EU but also by Russia with the (recent) visit of Deputy Minister for Balkan Affairs Sergei Krilov to Athens and Nicosia, and by the United States and President Bill Clinton personally, indicate that ways are opening for a settlement of the Cyprus problem," Mr. Papoulias said.

But Mr. Papoulias expressed "guarded" optimism over the outcome of these efforts "because one cannot be (entirely) optimistic when the struggles of so many years have not been vindicated and the settlement we want for the Cyprus problem has not been forthcoming." During yesterday's meeting, the two sides noted an identity of views and reaffirmed their determination to continue their joint efforts for a just and viable solution to the Cyprus problem.

Mr. Michaelides described yesterday's talks as "substantial," adding that the EU summit in Madrid was "another important milestone in the course of Cyprus' accession to the EU."

"The message coming from Madrid is that the EU member states are fully aware that Cyprus is firmly on the path to accession, which is the result of the close co-operation and continuous collaboration between the foreign ministries and governments of Greece and Cyprus," he said.

Mr. Michaelides also stressed the importance of "the new political climate" evidenced by the increased interest of President Clinton, the EU and Russia concerning a Cyprus settlement.

"What is important is that the handling and strategy to be followed has a positive outcome," he said. "If the interested parties have decided that a final solution should be given to the Cyprus problem, both Nicosia and Athens will support this decision and the relevant efforts."

[6] Papoulias to sign Greek-Bulgarian accords in Sofia today

Greece and Bulgaria will sign two agreements in Sofia today, one concerning the management of the waters of the Nestos river and another providing for the establishment of three new crossings on the Greek-Bulgarian border, foreign ministry spokesman Costa s Bikas announced yesterday.

The accords will be signed by Foreign Minister Karolos Papoulias, who departs on a one-day visit to the Bulgarian capital this morning.

Mr. Bikas said that the agreement signed by the two countries on December 15 providing for the hiring of Bulgarian workers on a seasonal basis, for periods of three to six months, entered into force as of yesterday.

He added that a further bilateral accord had been signed yesterday aimed at facilitating the repatriation of illegal Bulgarian immigrants.

[7] Greece welcomes orderly conduct of Russian elections

Greece expressed its satisfaction yesterday at the normal conduct of elections last weekend in Russia, under a new constitution.

A foreign ministry announcement said that the assessment stems from positive statements by foreign election observers overseeing Russian parliamentary elections, which recorded a large voter turnout.

The Greek foreign ministry also noted the numerous parties participating in the elections, saying their presence indicated a pluralism in Russia's political life. It said pluralism constitutes the cornerstone of every democratic state.

[8] Kusturica says he will continue to make films

Acclaimed film director Emir Kusturica said in Athens yesterday that he would not cease making movies and that his statement to the French daily Liberation had been misinterpreted.

Kusturica, a Bosnian Moslem, won this year's Cannes Golden Palm award for his film on the war in his homeland,

Earlier this month a spokeswoman confirmed a report in the Paris newspaper, quoting the Sarajevo-born director as saying he would no longer make films in order to "change his life," following a row over the Cannes festival winner "Underground."

"I wish to inform my friends and my enemies that in my 41st year, I have ceased making films," he told the papers.

However, Mr. Kusturica, visiting Greece to attend the Athens premiere of "Underground", told reporters yesterday his statement in Liberation had been misinterpreted.

"I simply said I felt emotionally exhausted after shooting 'Underground'," he said.

The Athens premiere of "Under-ground" was due to take place last night and receipts will go into a special fund for the financial "a-doption" of 500 war orphans from Bosnia, an initiative of Greek Eurodeputies Alekos Alavanos, Paraskevas Avgerinos and Panayiotis Lambrias.

Mr. Kusturica said that although he was not particularly enthusiastic about charity work, this symbolic sum of money was a "becoming political stance."

Mr. Kusturica was honored yesterday by Athens Mayor Dimitris Avramopoulos with the City of Athens medal.

Mr. Kusturica thanked the Athens mayor, saying to the patrons of Inteal theater: "Don't expect to see a movie on the recent war of Yugoslavia. You saw that on television. 'Underground' is a film about love, passion and 'Titoism.' "

[9] Gligorov hails Athens - Skopje NY accord

President of the Former Yugoslav Republic of Macedonia (FYROM) Kiro Gligorov called the New York agreement between Athens and Skopje "an extremely important signal for both countries and for stability in the area."

The statement by the FYROM leader, the victim of an October 3 assassination attempt that has left him hospitalized since then, was reported over the landlocked Balkan nation's state radio yesterday, which cited an excerpt from an interview Mr. Gligorov gave to the "Nova Makedonia" daily.

The interview will be published today.

However, the Skopje president said the interim agreement signed on September 13 calls for "discussions surrounding the name," which he said means his one-time Yugoslav republic is ready to present arguments that "there is no change in the position that 'Republic of Macedonia' is our name, and that (fact) cannot become the reason for disrupting our relations with Greece, a danger for territorial ambitions against Greece or destabilization of the area."

Mr. Gligorov claimed there is no basis in international law prohibiting a nation from choosing its name or expressing its national identity.

Referring to the Federal Republic of Yugoslavia, he said there was no reason to delay a mutual recognition between the two ex-members of former Yugoslavia, adding that Skopje is one of six legal heirs to that entity.

In regards to the assassination attempt against him, a car bomb blast detonated as his limousine traveled through downtown Skopje, Mr. Gligorov was quoted as expressing a view that the plot's organizers probably expected early presidential elections an d his replacement. However, he stated, the succession issue does not now exist, because "according to the constitution and laws of the land, a new president will be elected in the next elections," Skopje's state radio reported.

Finally, Mr. Gligorov was quoted as saying he will assume all his presidential duties at the beginning of the year.

[10] Greek merchants send FYROM Christmas message

A Christmas and New Year goodwill message will be sent to the people of FYROM by the Thessaloniki Merchant's Union.

The message is to be published in the "Nova Makedonia" newspaper on December 24 and 31, and it will also be broadcast during the main television and radio news bulletins on those days.

The aim behind the message is the improvement of the climate between the two neighboring countries, stated union president Dimitris Dimitriadis. According to union estimates, despite the lifting of the Greek embargo on FYROM, the Thessaloniki market has yet to feel the presence of consumers from the neighboring country.

Mr. Dimitriades said the message will be followed up by the organization of missions from the body to FYROM. During a press conference yesterday, it was stressed that the common aim of merchants and businessmen in the coming six months is for Greek products to regain the position they held in FYROM in 1992, when they constituted 60 per cent of the market.

[11] News in Brief

The Hellenic Telecommunications Organization's (OTE) tariffs for international telephone calls to the US, Canada and Australia will be reduced by 17 per cent as of January 1, 1996.

Rates to the three countries will be 245 drachmas a minute during regular hours (a decrease of 50 drachmas) and 184 drachmas (a decrease of 37.5 drachmas) a minute from 11pm to 8am.

[12] New fund created for universities

The ministers of interior, finance and education announced the government's funding measures for higher educational institutions yesterday during a meeting with university rectors.

Specifically, the high-ranking ministerial delegation, including Interior Minister Akis Tsohatzopoulos, Finance Minister Alekos Papadopoulos and Education Minister George Papandreou, announced the creation of a new fund for universities, christened the "national education capital."

The fund is proposed as an autonomous institution managed by university rectors and their representatives.

A rectors' council will oversee the yearly allocation of funds as well as financing of higher education programmes. In addition, the council will delegate executive duties to committees.

Overall management of the fund will be the responsibility of a newly-formed national education capital management committee, designed to be comprised of some of the nation's most respected public figures.

The fund will be financed by the state with two 200 billion drachma installments in 1996 and 1997 in the initial form of government bonds, whose interest-earning yields will compose the fund's revenues and source of funding.

[13] Commission approves financing for Greek programmes

The European Commission has decided to finance two major Greek programmes in telecommunications and postal communications with a total amount of 250.718 million ECU (about 76 billion drachmas).

The amounts will come from the Community's regional and social fund.

The telecommunications programme will total 321.821 million ECU. The Community will provide 172.243 million ECU from this amount by the year 1999 (142.243 million ECU from the regional fund and 30.5 million ECU from the social fund).

The post office development programme will total 117.134 million ECU and the Community will participate with 77.857 million ECU by the year 1999 (70.857 million ECU from the regional fund and 7.1 million ECU from the social fund).

[14] Peponis announces Canada's TVX to buy Kassandra mines

Industry, Energy and Technology Minister Anastasios Peponis and Industry Under-secretary Dinos Vrettos yesterday announced what will be one of the biggest private industrial investments in past decades in Greece, the sale of the Kassandra Mines to a Canadian firm, TVX Hellas.

The contract anticipates the creation of a parallel investment for the creation of a gold mining unit in Halkidiki.

The TVX HELLAS company is a subsidiary of the Canadian TVX GOLD Inc.

Mr. Vrettos said that, with the signing of the contract, the case of the Kassandra mines was finally closing and conditions were being created for the development of the Halkidiki prefecture which has suffered from deindustrialization in past years.

In parallel, as a result of the Kassandra mines' transfer, the Greek state will save 300-500 million drachmas a month which it used to pay for the company's operational costs through the National Bank and the Hellenic Industrial Development Bank (ETBA).

End of English language section.