A.N.A. Bulletin, 11/05/96

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

Athens News Agency Directory

ATHENS NEWS AGENCY BULLETIN (No 883), May 11, 1996

Greek Press & Information Office

Ottawa, Canada

E-Mail Address: grnewsca@sympatico.ca

CONTENTS

[1] Stephanopoulos ends Washington visit

Greek President Kostis Stephanopoulos yesterday said his talks in Washington with President Bill Clinton and high-ranking US administration officials had been "useful and beneficial".

Mr. Stephanopoulos' contacts during his state visit included Vice President Al Gore, Secretary of State Warren Christopher, Defense Secretary William Perry and leading members of the Senate.

Mr. Stephanopoulos told a press conference that he had reiterated Greece's positions on national issues, saying: "I did not hear any objections, without this meaning that our positions are accepted in their entirety."

"I explained to the Americans why dialogue with Turkey is not easy, but I ascertained that there is complete understanding of Greece's positions, although the US finds it difficult to take a position in favor of one or the other side," Mr. Stephanopoulos said.

The president said he had spoken to Mr. Perry about Turkey's major armaments programme which "drags Greece along with it", stressing that Ankara's amphibious forces can be used only against Greece.

Mr. Stephanopoulos said he had also drawn the attention of the US leadership to Turkey's illegitimate claims against Greece, underlining that the US side understood Greece's position that Ankara hoped, by creating new issues, to gain something.

Replying to other questions, Mr. Stephanopoulos said he had not discussed with Mr. Perry the issue of confidence-building measures (CBMs) between Greece and Turkey in the Aegean.

Asked how the US would react if Turkey carried out its threat to review international treaties, Mr. Stephanopoulos said that, as stated by Mr. Clinton, Washington was firmly opposed to any attempt to change the status quo and treaties pertaining to the region.

On the Skopje issue, the president said he had asked Mr. Clinton to exercise pressure on the Former Yugoslav Republic of Macedonia (FYROM) so that a settlement of the name issue may be attained.

"A new expression of US interest would be useful," Mr. Stephanopoulos said, adding that Mr. Clinton had indicated he understood the Greek position.

Mr. Stephanopoulos expressed optimism that the issue created by the US Transportation Department's warning about security arrangements at Athens international airport would be resolved.

[2] President in Atlanta

President of the Republic Kostis Stephanopoulos arrived in Atlanta late last night, after ending his official meetings in Washington during his visit to the United States.

Mr. Stephanopoulos visited the Carter Center, the foundation formed by the former US president, and attended a dinner held in his honor by President of the Atlanta Olympic Games Committee William Pane, which was also attended by Jimmy Carter.

During a short speech, Mr. Stephanopoulos said the former US president was highly regarded in Greece for his initiatives in the field of human rights and for his efforts in the name of peace.

Mr. Stephanopoulos also spoke of the Olympic Games, and stressed that, although Athens was not successful in its bid to host the centennial Games, it will be present in the form of the ideals which the event represents.

The Greek president visited the Olympic stadium, which is still under construction. He is to leave for San Francisco today.

[3] Samaras approves

In Athens, Political Spring party leader Antonis Samaras said Mr. Stephanopoulos' trip was "useful in all aspects" and that Mr. Stephanopoulos had conveyed the message that "Greece does not negotiate its sovereign rights." Mr. Samaras made the statement in Kastoria, during a tour of the region.

[4] Evert threatens extraordinary congress if internal dissent continues

Main opposition New Democracy (ND) party leader Miltiades Evert said yesterday that he would not hesitate to convene an extraordinary party congress if dissent within the party continued.

The comments, quoted by sources, came after a request for party deputies to discuss the agenda for the party's national conference in June, signed by 24 ND deputies considered to be supporters of honorary party president and former premier Constantine Mitsotakis, was submitted to ND's Political Council on Thursday.

The sources said Mr. Evert told a meeting of the party's Executive Committee that he would not hesitate to convene an extraordinary congress "if this situation continues."

According to the same sources, Mr. Evert said he was determined to protect the unity of the party and lead ND to victory in the next general elections which, he added, might be held as early as October. In Hania, Crete, Mr. Mitsotakis said the letter from the 24 deputies was "a natural development".

"ND is a big democratic party," Mr. Mitsotakis said. "What is more natural than certain deputies asking that the highest party organ convene to discuss existing, great problems?"

[5] Arsenis: PASOK's unity must be safeguarded

National Defense Minister Gerassimos Arsenis highlighted the need for PASOK's unity to be safeguarded within a framework of various views and opinions, during a press conference yesterday in Patra.

Mr. Arsenis was invited to Patra by the area's PASOK youth organization in order to speak at a political event.

The national defense minister declined to make known his positions for the upcoming PASOK congress before the next central committee meeting.

In reference to his recent meeting with Premier Costas Simitis, he said no mystery exists.

"It is natural and necessary for discussions to take place as the congress approaches," he said, adding that issues to be discussed at the congress should be reviewed before hand.

"With Mr. Simitis, as well as with others, I never stop highlighting one thing: that our responsibility is to ensure the unity and fighting spirit of PASOK. And that will not happen with appeals but with a rallying of the (PASOK) movement's cadres around specific political positions," he added.

[6] Simitis briefs Kouris ahead of meetings with US defense officials

Prime Minister Costas Simitis held a meeting yesterday with National Defense Under-secretary Nikos Kouris in view of the under-secretary's trip to the United States on Monday.

Mr. Kouris' visit to the US is being held within the framework of 1990 Greek-US agreement on the US bases, which formed two high-level committees under the aegis of the defense undersecretaries of both countries to discuss issues of mutual interest.

According to sources, Mr. Simitis and Mr. Kouris discussed the Greek response to the possibility of the US side raising the issue of confidence-building measures (CBMs) between Greece and Turkey in the Aegean.

Before the meeting, government spokesman Dimitris Reppas said the only CBMs acceptable to Greece were those referred to in the 1988 memorandum signed by the then Greek and Turkish foreign ministers

Mr. Reppas said Greece's policy on the issue of Greek-Turkish relations was clear, adding that there was no need at present to discuss confidence-building measures (CBMs) with Turkey concerning the Aegean.

According to Mr. Reppas, however, the defense under-secretary and the prime minister were to discuss the gamut of Greek-Turkish relations.

He added that Foreign Minister Theodoros Pangalos did not discuss the issue of CBMs during his trip to the United States.

[7] Turkish fighters infringe Athens FIR again

Turkish warplanes again violated Athens FIR flight regulations and Greek airspace on six separate instances yesterday in the eastern Aegean, according to reports.

Greek fighters intercepted the Turkish aircraft in each case.

[8] George Papandreou proposes joint 'Center for Democracy' in Balkans to Clinton

During a meeting with President Clinton in the White House yesterday, Education Minister George Papandreou, who is accompanying President Kostis Stephanopoulos on his visit, proposed the setting up in northern Greece of Center for Democracy, with the aim of training cadres and young politicians in the Balkan countries in issues of democracy, conflict resolution, and peaceful coexistence.

Mr. Papandreou also proposed that this institution could be set up in co-operation with the US National Endowment for Democracy, presided over by former Senator John Brademas.

The center could also be involved in the exchange of experience on educational systems in sectors such as multicultural education, and the application of modern technology in schools, subjects which have received considerable interest in the US.

The proposal was received with much interest by the US side, and it was decided that experts will work on it further.

Mr. Papandreou also held a meeting with his US counterpart Richard Riley.

Mr. Papandreou and Mr. Riley discussed issues of mutual interest and agreed on the production of a videotape on Ancient Greece to be shown in high schools in the United States.

[9] EU moves to link Cyprus entry to EU with MEDA moneys for Turkey

A statement yesterday by Italy's permanent representative to the Commission seemed to confirm reports that Greece's EU partners would force Athens to lift its veto on EU moneys for Turkey at Monday's General Affairs Council by referring to Cyprus's chances for EU membership.

In the Council of Ministers session on Monday, Italy's permanent representative in Brussels, Ambassador Cavalkini said yesterday, "the single character of the package of March 6, 1995, concerning the decision for the customs union with Turkey and the starting of the procedure for Cyprus' entry will be confirmed".

Greek Foreign Minister Theodoros Pangalos warned in Washington on Thursday that Greece would cause an unprecedented crisis in the European Union if its EU partners continued to insist in attempts to link an anticipated EU-Cyprus accession to Greece's veto on the flow of EU funds to Turkey as part of the EU-Turkey customs union.

Mr. Pangalos said the French and German representatives would try to link the Cyprus-EU accession to Greece's vetoing of the flow of funds to Turkey, with the tacit approval of the Italian presidency.

"This will signal a major crisis in the Community in its entirety and in its function," he said.

The text of the position, adopted at Wednesday's session of the Permanent Representatives Council (COREPER), speaks of the "comprehensive compromise of March 6, 1995," whereas until now, it was being implied that they were two independent decisions made in the "framework of an comprehensive debate".

The Greek view is that the two issues were linked during the negotiations leading to the March 6 agreement, but the implementation of the two decisions was subject to special and distinct terms for each. Regarding Turkey's customs union with the EU and the financial arrangements accompanying it, one of the terms was Ankara's respect for the principle of good neighborliness with adjoining EU countries, a principle which was violated during the Imia incidents.

Diplomatic sources described the linking of the two issues as "reprisals on the part of EU partners for the stand adopted by Athens on the MEDA programme," through which Turkey hopes to obtain up to 800 million ECU until 1999.

Greece, without formally linking MEDA with its recent stand-off with Turkey, has blocked its adoption, asking that three conditions be met: the precise determination of the sums corresponding to each country, and especially Turkey; their granting on the basis of each country's real needs; and the granting to the Council of Ministers of the power to decide with a special majority (and not unanimously) on the suspension of financing when a country violates human rights.

In contrast, the other EU countries hold the view that no decision must be reached on the unanimity issue until July 1997, when the difference of opinion will, hopefully, by superseded by the inter-governmental conference.

The same diplomatic sources said that the Italian presidency appeared determined to solve the impasse before the end of its term, and is planning to bring the issue up for discussion at the EU summit in Florence on June 21 and 22.

[10] Conflicting reports from Rome

Italy will not give its approval to any attempt to link a Cyprus-EU accession with funding for Turkey, despite pressure by EU partners, sources said here yesterday.

ANA information said this would be the Italian EU presidency's official position on Monday when EU foreign ministers meet for the General Affairs Council in Brussels.

Sources here said Rome would not assume any initiative to postpone the Cyprus Association Council slated for Tuesday in Brussels.

Italian foreign ministry sources said, however, that Greece would be faced with a very difficult situation at Monday's meeting and might find itself isolated.

"If Athens is faced with a majority, the Italian presidency has no other option but to follow," the sources said, adding that Italy has received many complaints from Mediterranean countries whose EU funding has been held up by the Greek veto.

The foreign ministers of Malta, Egypt, Morocco and Turkey - in Ravello for the 11-member Mediterranean Forum's two-day annual meeting - called on Italian Foreign Minister Susanna Agnelli to pressure Greece to lift its veto on the MEDA funds.

[11] Turkey denies threats, expansionist designs

Turkey said yesterday that it neither threatened or held expansionist designs on any nation but would not surrender its "legal rights". "Turkey desires the development of friendly relations with neighboring countries," Turkish foreign ministry spokesman Nurettin Nurkan said, while responding to questions regarding Greek Foreign Minister Theodoros Pangalos' statements in Washington.

Meanwhile, the Turkish press said the White House had given the Greek head of state a "magnificent" welcome, following state protocol to the letter.

Commentators said the US have "diverged" from their neutral stance on the Greek-Turkish crisis to proposing a referral of the issue to the International Court at The Hague and ignoring Turkey's appeal for dialogue.

Commentators in their majority attribute "this divergence" to the run-up to the US presidential elections.

[12] Reports say Gonensay to visit US next week

According to information from Turkish diplomatic circles in Washington, Turkey's Foreign Minister Emre Gonensay will visit the US, possibly next week.

Tension in Greek-Turkish relations and ways to normalize relations between the two countries is expected to be a priority issue on Mr. Gonensay's agenda in talks with US officials.

Turkish Prime Minister Mesut Yilmaz's visit to Washington has not yet been finalized.

[13] EU contingency plan for nuclear, chemical accidents comes to Greece

The European Union 'Rodos' computer programme for the prevention and treatment of accidental nuclear or chemical leaks has been installed in the 'Dimocritos' nuclear research center.

In its initial phase, the programme will deal with accidents at nuclear reactors, creating models of natural phenomena, preventative measures and measures to deal with the crisis, such as the duties of nuclear reactor staff, rescue crews and hospitals. Greek data is installed into the programme run by the Dimocritos center, in order for them to be constantly available to the authorities. The system has been programmed for a nuclear accident outside Greek borders, and coordinates actions in real time.

The Rodos programme, which was begun three years ago, concerns the whole of Europe. However, the entire programme has only been installed in Athens, Karlsruhe in Germany and Warsaw in Poland. Its form is expected to be finalized in 1999.

[14] Fury greets committee proposal to increase pensions by 5,800 drachmas

There was a sharp response from workers, pensioners and opposition parties yesterday to a national economy ministry committee proposal that low pensions be increased by some 5,800 drachmas.

The committee, formed under the aegis of the national economy ministry to discuss the issue of pensions, proposed that low pensions be increased by the equivalent of one daily wage of an unskilled laborer (roughly 5,800 drachmas) and suggested that pensions be increased in line with the cost of living. The increases would be effective as of July 1.

The proposal angered Spiros Koletsis, the workers' representative on the committee, who walked out of the meeting, following in the steps of the pensioners' representative, Diamantis Mavrodoglou, who had walked out of the committee a few days ago.

The government is not bound by the decision, as the final decision in the pensions issue will be taken by the prime minister.

Despite the economic difficulties presented by the proposal, reliable sources said the government will give it serious consideration, and will also consider the proposal made by the labor and social security ministry and the Social Security Foundation (IKA), for lower pensions to be gradually brought into line with 20 daily wages of an unskilled laborer.

It has been estimated that the IKA proposal will cost, in terms of IKA pensions only, 18 billion drachmas in 1996, 99 billion drachmas in 1997 and 123-127 billion drachmas in 1998.

The General Confederation of Workers of Greece (GSEE) and pensioner representative bodies are calling for pensions to be made equivalent to 20 daily wages from July 1, 1996.

GSEE President Christos Protopappas characterized yesterday's proposal as "unacceptable", adding that the solutions suggested by the committee will lead to a reduction in pensions. Mr. Protopapas said the GSEE proposal was "the only socially just and dignified solution" to the issue.

The GSEE president warned that if the government does not reject the proposal, "we will reply ... with new mobilizations."

The main opposition New Democracy party said that after "repeated uncoordinated handling, the deceitfulness of the prime minister and the relevant ministers has been revealed."

New Democracy repeated its proposals on the issue and stressed it will stand firm on its positions.

Political Spring party spokesman Notis Martakis accused the government of "insensitivity towards the anxiety and the drama of pensioners" and said they were being offered "a pittance" and were shouldering the weight of the government's austerity policy.

Political Spring suggested low pensions be brought into line with 20 daily wages of an unskilled laborer, all pensions be made equivalent to 80 per cent of workers' salaries, an increase of farmers' pensions to 30,000 drachmas per month and the lower pensions of the TEVE, NAT and TSA pension funds to be brought into line with those of IKA.

In its announcement, the Communist Party of Greece (KKE) said the proposal was unacceptable but compatible with the anti-popular policy being implemented by the government. The KKE added that the proposal confirmed the party's position that the committee meeting was only called in order to buy time and to pacify the understandably angry pensioners.

The national economy ministry's proposal was characterized by the Coalition of the Left and Progress party as "crumbs which insult the endurance and intelligence of those on low pensions."

The Coalition called on the government to honor its pre-election promises and to adopt the demands of pensioner organizations and the GSEE.

[15] Kaklamanis meets new Polish president in Warsaw

Parliament President Apostolos Kaklamanis received a warm and friendly welcome in Poland yesterday where he had a series of important contacts ending with a meeting with recently-elected Polish President Aleksander Kwasniewski.

Mr. Kaklamanis also held talks with Senate President Mr. Struzik and Parliament President Mr. Zich on issues of mutual interest and closer co-operation between the Parliaments of the two countries.

Other interlocutors were deputy prime minister Mr. Pietrewicz and Foreign Minister Daziusz Rosati who discussed general foreign policy issues with him with special reference to Turkey's expansionist policy and the need to have the Cyprus problem resolve d and occupation forces withdrawn from Cyprus.

[16] Italy to undertake initiatives to safeguard peace in the Mediterranean

Massimo D' Alema, leader of the Italian Democratic Left Party, part of the governing Olive Tree coalition, stated during his meeting with Interior Minister Akis Tsohatzopoulos yesterday that the new Italian government intends to undertake initiatives for peace and security in the Mediterranean.

"Our government will no doubt undertake a serious initiative for peace and stability in the Mediterranean. Naturally, we are opposed to any aggressive acts. We would like to promote a balance and calmness in the Mediterranean, especially the eastern Mediterranean... The Aegean is the heart of the Mediterranean, the nucleus of this sea, and, for this reason, peace in the Aegean is peace in the Mediterranean," he said.

He also expressed the view that co-operation between Turkey and Europe would help and improve relations with Greece.

[17] Balkan foreign ministers expected in Sofia early June

A meeting of Balkan foreign ministers is expected to take place within the first 10 days of June, according to a Bulgarian foreign ministry official yesterday. The gathering is part of an initiative by Bulgarian Premier Zhan Videnov to renew inter-Balkan dialogue, which was interrupted by the civil war in Yugoslavia. All the Balkan nations, except Slovenia, will take part, while Croatia is participating as an observer.

[18] Egypt grateful for Greek response following Cairo massacre

Egypt yesterday expressed its gratitude to Greece for not issuing a travel advisory against the Arab state following the terrorist attack which left 18 Greek tourists in Cairo dead.

Egypt's Tourism Minister M. Beltagmi and Epyptian National Tourist Board President Adel Abdel Aziz met with Greek National Tourism Organization (EOT) President Yiannis Stefanidis yesterday.

Egypt said it was a matter of time before the murderers were found and punished, adding that relations between the two countries should not take a bad turn because of the tragic incident.

Mr. Beltagmi and Mr. Aziz told Mr. Stefanidis, who concluded his visit to Egypt yesterday, that there should be no reason for concern by Greek tourists visiting the country since all the places visited or resided by tourists were under constant patrol.

The Egyptian government also said it was considering in a positive light Greece's request for easier landings for Olympic Airways aircraft in Cairo.

[19] Talks at Elefsina shipyards look hopeful

Negotiations between the government and workers at the Elefsina Shipyard appear to be headed toward an agreement.

In back-to-back meetings held under the auspices of the labor ministry, several measures were agreed upon, including:

- Continuation of funding the shipyard until its sale.

- Continuation of a ship-building programme for the Hellenic Navy; demolition of illegally erected buildings on the yard's coastline and further investment.

- A reduction of 500 jobs of the total of 1,780, with 200 early retirements, 200 employee transfers and 100 voluntary severance packages.

[20] Neorion returns first shipyards' profit in 15 years

Neorion Shipyards, on the island of Syros, was the first Greek firm in the sector to record profits in 15 years last year, president N. Tavoularis announced yesterday.

Turnover was nearly 7 billion drachmas, with net pre-tax profits reaching one billion, he said, adding that over 173,000 workdays were realized up to December 31, 1995, compared to the target of 84,660.

Neorion was privatized 18 months ago, and the results are considered especially encouraging at a time of shrinkage of the world shipbuilding industry.

[21] Central bank to look to restricting foreign exchange loans

The Bank of Greece will announce measures at the end of May aimed primarily at restricting loans in foreign exchange, while no decision has yet been taken on consumer loans.

Bank of Greece Governor Lucas Papademos made the disclosures after holding talks with National Economy Minister Yiannos Papantoniou at noon yesterday.

Mr. Papademos said talks with Mr. Papantoniou did not focus on the measures but on issues concerning Greece's relations with the European Union.

[22] Current accounts balance shrinks

The Bank of Greece announced yesterday that January's current accounts surplus totaled 366 million dollars, some 354 million dollars less than the January 1995 figure of 720 million.

According to bank figures, the decline is due to an increase in the nation's trade deficit and a decrease in net receipts from the European Union.

Specifically, imports totaled 1.94 billion in January, an increase of 7.4 per cent from the corresponding period last year, while exports earned 535 million dollars, up 12.1 per cent.

The ensuing 1.406 billion dollars trade deficit for January 1996 marks a 5.6 per cent increase from the corresponding period last year. Investment capital totaled 792 million, an increase of 108.4 per cent, while public debt servicing reached 371 million dollars, an increase of 115.6 per cent.

In addition, foreign currency reserves at the end of January totaled 17.25 billion, compared to 16.61 billion dollars at the end of January 1995.

[23] Contract signed for Elefsina-Lavrion natural gas line

An agreement for construction of a 97 kilometer natural gas pipeline section from the Elefsina area to Lavrion was signed yesterday by the Greek Public Gas Corporation (DEPA) and the Russian-Greek consortium supplying the gas.

Construction of the high-pressure auxiliary line is budgeted at 21.8 billion drachmas, with completion projected to take 20 months. The pipeline will connect several northeastern Attica municipalities, the new international airport at Spata as well as a power plant in Lavrio.

Russia and Greece have already signed an agreement for the supply of 50 billion cubic meters of Russian natural gas over a 25-year period and creation of the Prometheas consortium.

Gas quantities will move through a central pipeline being constructed by DEPA.

[24] Greek aircraft participate in Cypriot exercise

The Cyprus Radio and TV Corporation (RIK) reported yesterday that Greek air force jets were taking part in exercises in Cyprus air space within the framework of the Greece-Cyprus joint defense doctrine.

A Cyprus defense ministry spokesman said that the aircraft were flying over the area of Pentakomo near Limassol.

Later information in Nicosia said that the Greek aircraft were taking part in the air and naval exercise 'Toxotis' together with Cypriot forces.

The aircraft flew over Paphos, Larnaca and Limassol, approaching the airports of the first two cities, the dispatch said, adding that the jets attacked dummy targets in the area.

The Cyprus defense ministry spokesman said that the exercise also included naval exercises but declined to provide further information.

He also declined to say whether the exercise would continue over the weekend.

End of English language section.