A.N.A. Bulletin, 20/01/96

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

Athens News Agency Directory

ATHENS NEWS AGENCY BULLETIN (No 792), January 20, 1996

Greek Press & Information Office

Ottawa, Canada

E-Mail Address: grnewsca@sympatico.ca

CONTENTS

[1] Simitis gets mandate from president, new premier, Gov't to be sworn in Monday

Costas Simitis, Greece's premier-designate, was looking at spending the weekend in negotiations and meetings after he received a mandate yesterday from President Kostis Stephanopoulos to form a government.

Mr. Stephanopoulos told Mr. Simitis during the hour-long meeting that his election "created hopes."

The new premier will take the oath of office on Monday; Mr. Simitis said that his new government would be sworn in shortly afterwards.

The new prime minister has three days to put together a new Cabinet, and two weeks afterwards to prepare and present his government's policy statements before going through a vote of confidence in the 300-seat House.

Members of the final Papandreou government submitted their resignations to Mr. Simitis yesterday, via Interior, Public Administration and Decentralization Minister, Akis Tsohatzopoulos, who deputized for ailing former premier Andreas Papandreou.

Mr. Tsohatzopoulos, who was Mr. Simitis' rival in the race to be chosen the new premier by PASOK deputies on Thursday, left open the possibility of his participation in the new government.

He said that, if asked, all party officials should participate in the new government and support the government's work. He clarified, however, that the composition of the new government was not a topic he discussed with Mr. Simitis, adding that this was the sole responsibility of the prime minister.

Mr. Tsohatzopoulos said he briefed Mr. Simitis on all major domestic and foreign issues which he had dealt with during the time he deputized for Mr. Papandreou.

Mr. Simitis, 59, was elected Thursday by the ruling PASOK party's Parliamentary Group to replace Mr. Papandreou.

Government spokesman Telemahos Hytiris did not rule out the possibility of the new government list being announced late Sunday afternoon.

The spokesman described as "impeccable" the manner in which Mr. Simitis was elected by the ruling PASOK party's parliamentary group on Thursday.

[2] Economy ministers

On tendering his resignation, Finance Minister Alekos Papadopoulos predicted that the economy would go "very well" and said the climate was "very positive" while his under-secretary at the ministry, Dimitris Georgakopoulos, forecast that both the economy and the new premier would "go very well."

National Economy Under-secretary Ioannis Anthopoulos said it appeared that the economic policy of stabilization and development which has been followed by the two ministries would be continued, adding there was a widespread impression that both ministries would remain "untouched."

Meanwhile, Sports Under-secretary George Lianis quit his post saying: "...I resign from the government for reasons of morality and consciousness."

"I can not go on here. I did not vote for Mr. Simitis, as I have already stated, but I will support with all my strength his government," he said.

[3] Simitis, PASOK Executive Bureau discuss relations

Mr. Simitis met with the ruling party's Executive Bureau for two hours yesterday and examined various ways to reinforce co-operation between the party and government. "This is the time for a new beginning, but it is also the time for continuity," Mr. Simitis told reporters after the meeting.

Mr. Simitis said the meeting focused on "how the party could reinforce the government and how the government could be an effective organ for implementation of the party's ideas and positions."

The German- and British-educated premier-designate said "today's message, and all messages that will follow, will stress the need for more coordinated operation, hard effort, efficiency and meritocracy.

"There are many problems which require immediate solutions," he said. "Difficulties may be overcome if PASOK mobilizes all its forces". "What we must achieve and guarantee is a united and renewed PASOK, a PASOK that will be the definite winner in t he next elections."

PASOK Secretary Costas Skandalidis said he had assured Mr. Simitis that "he will have full support in his work from all party officials, organs and organizations."

"We have an able and powerful prime minister who can personify unity, renewal and victory."

[4] ND calls for policy statements next week

The main opposition New Democracy (ND) party said yesterday that it would await the formation of the new government and its policy statements before making any comment on Mr. Simitis' election.

It called on Mr. Simitis to present the policy statements next week "so that the lack of government does not continue for a further 15 days."

ND deputy president Ioannis Varvitsiotis said that the result of Thursday's election was "of no concern" to the main opposition party. "ND does not fear anyone and does not formulate its tactics with any particular person in mind," Mr. Varvitsiotis said.

In a written statement, honorary ND president and former premier Constantine Mitsotakis congratulated Mr. Simitis on his election and wished him every success in his task.

[5] Papandreou's health unchanged

A medical bulletin issued by the Onassion Hospital yesterday said that the condition of PASOK leader Andreas Papandreou's health remained stable and his renal and breathing function continued to be periodically supported by a kidney machine and respirator .

It added that the patient was continuing to undergo physiotherapy and motion therapy.

Mr. Papandreou's doctors were expected yesterday to repeat efforts to remove a small volume of pleuretic fluid from his right lung with the puncture method.

[6] Clinton, Santer among Simitis' many well-wishers

Messages of congratulation and best wishes for the job ahead continued to pour into Athens yesterday after Thursday's election of Costas Simitis as the new Greek prime minister.

Both President Bill Clinton and the US State Department welcomed Mr. Simitis' election.

In a letter addressed personally to the new prime minister, Mr. Clinton said:

"On behalf of the government and people of the United States, I congratulate you on your election. For many years, our countries have enjoyed a fruitful relationship based on common ideals and objectives, and special ties of kinship. We have been steadfast allies through war and peace, and have worked together to advance stability in Southern Europe. We look forward to working with you, and building on the legacy of good relations established by your predecessor."

The State Department statement read: "We congratulate Costas Simitis on his election as new prime minister of Greece. Our relations with Greece, important NATO ally and diplomatic partner, are excellent... We are looking forward to working together wit h Mr. Simitis to build upon this legacy in the coming years".

[7] European partners react favorably

From Brussels, European Commission President Jacques Santer addressed the following message of congratulations:

"At a time you are assuming the lofty duties of prime minister of the Greek government, allow me to convey my warmest congratulations to you as well as those of the European Commission. We express our best wishes to you for success in your new duties an d we are convinced that you will continue the task of your predecessors to build a European edifice, to which your country and your people are committed."

Also in Brussels, NATO Secretary-General Javier Solana said he was looking forward to working closely with Mr. Simitis.

"I look forward to close co-operation with you in the many and miscellaneous issues facing the alliance," his message read.

Mr. Solana expressed his "best wishes" to Greece and Mr. Simitis personally.

Political reactions in Paris to the election of Costas Simitis as prime minister were particularly favorable so far, while the attitude of the French mass media was similar, an ANA dispatch from the French capital reported.

French foreign ministry spokesman Jacques Rummelhardt, clarifying that he did not want to comment on domestic politics in Greece, said:

"We have no doubts whatsoever about the will of the new prime minister and the future Greek government to continue the ties of friendship and co-operation between the two countries. We also have no doubts about the commitment of the new prime minister to the building of Europe and we are pleased that we will be able to work in this direction with him and the new government cabinet he will form."

Bonn reacted positively to the election of Costas Simitis as Greece's new prime minister. Although the sending of an expected message of congratulations by Chancellor Helmut Kohl was officially referred to Monday, unofficially a Chancellery spokesman ex pressed "particular satisfaction."

Foreign Minister Klaus Kinkel told Greek journalists that "we have special interest in improving our good relations with Greece and cooperating well with the new prime minister who, by a fortunate coincidence, also has special relations with Germany. I wish him every success in his task."

Social Democrats Party (SPD) President Oscar Lafontaine addressed the following message to Mr. Simitis:

"I heartily congratulate you on your election and I convey the congratulations of the German Social Democrats party to you. Your election is proof of confidence in your political experience, a recognition of bold defense for real democracy and an expression of will for reform and renewal. I wish you the best of luck and success in your office which is rife with responsibilities."

Earlier, German Parliament Vice-President and Social Democrat deputy Otto Schilly stressed the significance of Mr. Simitis' election in improving Greek-German relations, saying "he enjoys special esteem" in Germany as well as of Greece's course in the European Union.

On behalf of the Christian Democrat party, deputy and Vice-President of the German-Greek Parliamentary Group Friedbert Pfluger confirmed that Costas Simitis "will find doors open everywhere in Bonn", terming his election "a new start for Greek politics. "

Meanwhile, Belgian Prime Minister Jean-Luc Dehaene addressed the following message of congratulations to Mr. Simitis:

"I wish to express my very warm and cordial congratulations to you on the occasion of your election as prime minister of Greece. I wish you every success in exercising your important duties at the leadership of a friendly country, an associate of Belgium in the European Union and NATO, and I look forward to developing relations of friendship and co-operation with you soon to promote our common target for a united and prospering Europe."

[8] Patriarch welcomes Simitis

Ecumenical Patriarch Vartholomeos addressed the following message of congratulations to premier-designate Costas Simitis:

"The Great Church... was informed with special happiness and satisfaction of the worthy election of your very dear Excellency as prime minister of the country, in succession to statesman Andreas Papandreou, who offered many services, and congratulates you warmly and gladly."

Vartholomeos said he wished Mr. Simitis "every support from above and success in the fulfillment of the favorable assumption of your lofty duties. "With love and, in the name of the Lord, profound and exceptional honor and cordial wishes."

[9] Albania welcomes Simitis as Greek prime minister

Albanian Prime Minister Aleksander Meksi yesterday welcomed the election of Costas Simitis as Greece's new prime minister and said he hoped the two Balkan neighbors could strengthen ties.

"Your election... gives me the chance to confirm the will and readiness of the Albanian government to strengthen our friendly relations," Mr. Meksi said in a telegram sent to Athens.

Good relations between the two countries would contribute to peace in the troubled Balkan region, he said.

"I hope that Albanian-Greek relations will be a model for co-operation in the region and benefit peace and stability," Mr. Meksi said.

Ties between the two countries began improving following a ground-breaking visit by Greek Foreign Minister Karolos Papoulias to Tirana last March. Albanian President Sali Berisha earlier this month issued a decree lifting visa requirements for Greeks.

[10] Reaction in Ankara

Ankara appears to desire better bilateral relations with Athens in light of Costas Simitis' selection by the ruling PASOK party's Parliament Group, Turkish political circles said yesterday.

Ankara reportedly considers the 59-year-old premier-designate "mild-mannered" in relation to Greek-Turkish relations, adding that Mr. Simitis has "repeatedly come out in favor of a Greek-Turkish dialogue."

Turkish officials believe that the new prime minister believes a recently ratified EU-Turkey customs union will contribute to solutions on a number of issues.

Turkish political analysts also noted that Mr. Simitis has asked for a re-examination of bilateral relations, adding that the one-time law professor is concerned with intense nationalistic currents appearing in both countries.

In addition, Turkish Foreign Minister Deniz Baykal Thursday requested "a new beginning" in Greek-Turkish relations.

[11] Clerides welcomes Simitis, hopes joint efforts to resolve Cyprus issue will continue

Cyprus President Glafcos Clerides sent a congratulatory message yesterday to Costas Simitis, Greece's premier-designate, expressing the conviction that joint efforts to settle the Cyprus problem would be strengthened.

"Cypriot Hellenism hopes that co-operation between the governments of Cyprus and Greece in all fields, in the new era that emerges in Greece, will be enhanced and strengthened," the president's message read, government spokesman Yiannakis Cassoulides told his daily press briefing.

"We are convinced that our co-operation to solve the Cyprus question, the first national issue, will be particularly strengthened to help Cyprus' course for membership of the European Union and conclude the joint Greco-Cypriot defense pact," the message added.

Mr. Cassoulides said President Clerides will visit Athens once Mr. Simitis receives a vote of confidence from Parliament, unless the need for an earlier meeting arises.

Former Cypriot president and president of the Democratic Party Spyros Kyprianou also sent a congratulatory message to Mr. Simitis yesterday.

He wished the new prime minister "every success, ... for the good of Greece and of Cyprus, and in general for all Hellenism fighting for a brighter future."

Communist Party (AKEL) leader Dimitris Christofias also congratulated Mr. Simitis, and expressed his party's belief that "under your premiership, the close relations of co-operation and mutual help between Greece and Cyprus will continue with the aim of the ridding of Turkish occupation in Cyprus."

In his congratulatory telegram, Socialist Party (EDEK) president Vassos Lyssaridis expressed his certainty that "the whole of PASOK, united, undivided ... will continue with conscientiousness the completion of its work and will completely justify the expectations of the Greek people."

President of the Liberal party Nikos Rolandis wished the new prime minister success in his difficult task, particularly in the resolution of serious problems surrounding the finding of a solution to the Cyprus problem.

Cypriot Archbishop Chrysostomos stated that "Greek Cypriots foresee decisive and wholehearted support in their fight for freedom and the repossession of all occupied ancestral homes."

[12] Trading reaches new high as business world welcomes new premier

President of the Federation of Greek Industries (SEB) Jason Stratos said yesterday he expected the prime minister-designate, Costas Simitis to maintain efforts to stabilize the economy, adding that this was the only way to achieve growth.

"We want to believe that the new prime minister will continue efforts to stabilize the economy, since stabilization is the only way to growth," he told reporters.

"Mr. Simitis had realized the difficulties our country is going through during PASOK's first mandate, when the party implemented the first stabilization policy in 1986," Mr. Stratos said. "We believe that he will contribute to the continuation of the stabilization policy, which constitutes a condition for the country's stable course."

Mr. Stratos said he believes the prime minister would aim towards streamlining the public sector, a project based on the completion of the programmed denationalization and privatizations.

Stock prices soared to a new high at the Athens Stock Exchange following the news of Costas Simitis' election as prime minister by PASOK's Parliamentary Group Thursday evening.

Stock prices had also gone up during trading Thursday as investors anticipated a Simitis win.

Dimitris Karangounis, chairman of the Athens Stock Exchange's Shareholders Association, told the ANA that the market expects that the new prime minister will speed up the privatization process as well as procedures for major projects "in order to set the economy on the development orbit."

President of the Athens Stock Exchange, K.E. Xanthakis said the election of the new prime minister would create the appropriate market conditions which would allow stock prices to increase over a long period of time.

The general price index closed at 988.47 points, a rise of 3.73 per cent.

Trading was heavy, totaling 14.2 billion drachmas.

Business circles generally welcomed Mr. Simitis' election win. Mr. Simitis is viewed by business circles as "able to solve the economy's structural problems."

According to business circles, Mr. Simitis' policy is also regarded as "aiming at bringing together the government and the businesses."

But reservation was expressed as to whether Mr. Simitis would prove powerful within his own party and would not succumb to internal party pressures to compromise his economic policy, especially in the sectors of privatization and the decrease in the public deficit.

[13] Unions welcome news

President of the General Confederation of Workers of Greece Christos Protopapas hailed the election of the new prime minister, saying it put an end to all outstanding political issues.

Mr. Protopapas called on the government "to speed up the pace of work," adding that "employees demand deep reform in the economy," as well as "protection and reinforcement measures for the vulnerable social groups."

Mr. Protopapas said the draft bills for health, unemployment, seasonal workers and increases in pensions could prove to be the first steps in this direction.

He added that the trade unions' policy would be determined according to the actions and decisions of the government, reiterating that "trade unions should not be taken for granted."

President of the Athens Labor Centre, Chr. Polyzogopoulos said he expected the government to give emphasis to growth as a solution to unemployment, welfare, modernization of the public sector and rationalization of public finance.

[14] Evert chairs meeting on Gov't economic performance

Main opposition New Democracy party leader Miltiades Evert chaired a meeting of party cadres and university professors on the state of the economy and budget indicators yesterday.

ND spokesman for economic affairs Anastasios Papaligouras said afterwards the finance ministry had "missed out" on its predictions of revenues by 295 billion drachmas, "since revenues increased 14.2 per cent instead of 18.5 per cent as predicted. The deviation exists despite the fact that new taxes, both direct and indirect, were imposed."

Mr. Papaligouras said government policy was a failure and predicted that "no matter how many new taxes are imposed, revenues will not increase at corresponding rates due to the great economic recession."

Mr. Papaligouras said that in less than a month it was proved that the government tabled in Parliament "an insincere budget and ND's predictions were vindicated absolutely."

ND agricultural policy spokesman Evangelos Basiakos accused the government of lacking an agricultural policy, adding that Greek farmers' incomes decreased by 1.7 per cent while increasing 2.6 per cent in the European Union.

[15] Greek industrialists visit Turkey

Members of the Northern Greek Union of Fleece and Knitwear Industries (SEPBE) are visiting Istanbul in order to meet with the Turkish-German Union of Textile and Readywear Industries (TUDET).

SEPBE members visited the TUDET factories yesterday and are scheduled to meet today to discuss matters of common investment.

The 13-member Greek delegation is headed by Theophilos Aslanides, while the 16-member Turkish-German delegation is headed by TUDET president Ahmet Aintin. The Greek delegation is to return on January 21.

[16] Cotton, textiles exports increase 22.9 per cent

Greek exports of cotton, cotton thread and textiles increased by 22.9 per cent in 1994 over figures for the previous year, the Institute of Export Research and Studies revealed yesterday.

The exports reached a total value of 418 million ECU, and constituted 5.29 per cent of total Greek exports. The greatest importer of Greek cotton products was Italy, with goods worth 81 million ECU, followed by Germany with 59.75 million ECU, France wit h 33.26 ECU, Britain with 30.48 million ECU and Bulgaria with 23 million ECU.

Sixty per cent of Greek exports went to European Union countries, while a considerable percentage was sent to Middle Eastern and north African countries.

In comparison to similar world-wide exports of other European Union countries, Greece held fifth place in 1994. Italy was in first place, exporting cotton products of a total value of 1.44 billion ECU. Germany followed with 1.42 billion ECU, France with

1.03 billion ECU, Belgium and Luxembourg with 761.5 million ECU and Britain with 425.6 million ECU.

[17] Bonn rejects any reparations claims, in official response to German MP

The German government rejected once again yesterday any responsibility for compensating victims of the 1941-1944 Nazi occupation, submission of war reparations or repayment of a forced wartime "loan," in a written answer to a Parliament question tabled in the Bundestag last November.

Germany's federal government repeated its claim that "50 years after the end of the war, the issue has declined." The official response to Democratic Socialist Party deputy Ula Gelpke's November 23 tabled question was signed by German Finance Under-secretary Irmgaard Karvatski.

The finance under-secretary adds that Germany has paid its debt through contributions to European Union funds allocated to Greece. He also claimed a payment of DM115 million following a March 18, 1960 agreement between Bonn and Athens was a "final settlement."

Over the past few months an effort on the part of private Greek citizens to claim reparations from the now unified German state has intensified.

Germany has not recognized the fact that a Greek ambassador to Bonn issued a written reservation during the '60s concerning the 1960 agreement.

Furthermore, Germany does not recognize an assurance by former German Chancellor Ludwig Eckhardt in 1965 toward Athens that Germany would repay the forced occupation loan when the German problem (division) was solved.

[18] House of Lords discuss Elgin Marbles

The House of Lords held a discussion on the Elgin Marbles on Thursday after Lord Jenkins submitted a question.

Lord Jenkins asked the British government whether, during the 1960s, the Foreign Office was in favor of returning the Elgin Marbles to Greece despite the objections of the British Museum, and whether it is now willing to override any objections of the museum.

Lord Inglewood replied on behalf of the British government, saying that the government's wish is that the Elgin Marbles should remain in the British Museum, which has legal possession over them.

[19] Greece, FYROM review developments in UN talks

Representatives of Greece and the Former Yugoslav Republic of Macedonia (FYROM), along with the UN's special mediator on the Skopje issue Cyrus Vance, will review results next month of comprehensive and lengthy talks held between both sides last Friday.

According to diplomatic circles in New York, both sides made it clear that they will seek a name for the one-time Yugoslav republic that can be used in all occasions, thus precluding adoption of a double or triple name for the landlocked Balkan state.

The same sources claimed Mr. Vance was apparently satisfied with the course of negotiations so far, and prefers at this stage to let both parties extensively develop their positions before putting "certain ideas" on the negotiation table.

They also note that FYROM representative Ivan Tosevski continues to show a "moderate and open mind," adding that Skopje gives the impression that it realizes the value of the total normalization of relations with Greece, which it admits is impossible to ensure with application of only the September 13 interim agreement.

End of English language section.