Athens News Agency: Daily News Bulletin in English, 99-09-25

Athens News Agency: Daily News Bulletin in English Directory - Previous Article - Next Article

From: The Athens News Agency at <http://www.ana.gr/>

CONTENTS

[01] FM Papandreou cites 'progress' in Greek-Turkish dialogue, decision to expand contacts

[02] G. Papandreou responds to ND criticism over remarks on Greek-Turkish relations

[03] Tsohatzopoulow to CNN: Greece isn't the obstacle of Turkey's EU prospects

[04] Greek American aid for quake victims reaches 1 million dollars

[05] Simitis: No issue of early elections

[06] Spanish PM's wife, Anna, attends opening of Picasso-related exhibition in Athens

[07] BSEC meeting focuses on the environment

[08] Greek fisheries cite expanded business role

[09] Development of biological stockbreeding promoted at exhibition

[10] Gov't confident of meeting economic targets

[11] Stocks slump again in sell-off

[12] EIB donates 1 million euros in quake aid

[13] Lambrakis forges Internet alliances

[14] Athens Foreign Exchange

[01] FM Papandreou cites 'progress' in Greek-Turkish dialogue, decision to expand contacts

"Some months ago we began a process of discussions on issues of common interest between Greece and Turkey. It is a tedious and systematic process which has a long-term goal and is proceeding step-by-step.

"Today, we confirmed this process and had the opportunity to assess the steps made so far. We consider that these are initially positive and that the two rounds have made satisfactory progress," he said.

"We have decided that within this framework we shall expand the goals of this dialogue in the following sectors: First, cooperation in issues of energy, and more specifically, the transfer of energy from one country to the otherISecond, in scientific co operation in anti-seismic protection, followed by the joint Greek-Turkish proposal which we have announced at the UN.

"We also decided to promote a broader dialogue between academics, intellectuals, research centres, possibly political figures and diplomats, mainly in order to contribute to the the discussion between the society of citizens of the two countries, of non-g overnmental organisations on promoting peace in our region," Mr. Papandreou said.

Questioned on the Cyprus issue, he said, "what we are asking is substantive discussion, at last".

"Yesterday's statement by the foreign ministers of the five permanent members of the Security Council, describing the current situation unacceptable, was particularly satisfactory," he added.

Asked whaat Greece would do if Turkey persisted with its intransigent stand over Cyprus, Mr. Papandreou said: "First, we stand by our positions and hope that the recent improvement in relations P without this meaning that problems have been overcome P a llows us to proceed to a step-by-step process which will lead to further improvement and the solution to the Cyprus problem, as well as, of course, to substance in Turkey's European orientation."

Mr. Papandreou also reported that he discussed with his Turkish counterpart regional issues, such as Kosovo, the Black Sea area, the Middle East and the Caucasus. -- Cem adamant over 'two states on Cyprus' policy: -- In his address to the UN General Assembly on Thursday afternoon, Mr. Cem said a just and permanent compromise solution in Cyprus should be based on the existing reality.

"It is not possible for the Turkish Cypriots to return to the black days before 1974 with the lack of protection for their legal rights and interests. A just and permanent compromise solution in Cyprus should be based on the existing reality. There are two separate peoples and two separate states in Cyprus. These two states should be given the possibility of resolving their differences freely,"he said.

"Meanwhile, measures should be taken to improve the climate between the two sides with the lifting of the unfair embargo against the Turkish Cypriots and the taking of de-escalation measures, as the Secretary General proposed, " he added.

Mr. Cem said the proposal for a confederation provides the basis for a realistic and viable solution to the Cyprus issue.

He said Turkey is determined to continue dialogue with Greece to promote cooperation between the two countries on tourism, environmental, trade and culture issues, as well as on combatting organised crime, illegal immigration, drugs and terrorism and, i ndeed, to pursue an expansion of dialogue to other sectors.

Mr. Cem also spoke of the spirit of solidarity and friendship shown by the two peoples during the recent earthquakes.

"It is a message which will help our governments to forge ahead with greater determination," he said. Athens News Agency

[02] G. Papandreou responds to ND criticism over remarks on Greek-Turkish relations

"The concern expressed by Mr. Spiliotopoulos, in his statement, is curious indeed. Mr. Spiliotopoulos knows full well that Greek positions are permanent. May I remind that a few days ago I briefed New Democracy president Costas Karamanlis, who did not e xpress any disagreement regarding our approach on the issue of European Union relations with Turkey. I would like to repeat that the land, sea and air borders are fully respected and indisputable," he said.

"The Greek government does not aim at eliciting symbolic gestures but at achieving substantive progress on all issues, including the Cyprus issue," he added.

The ND spokesman has charged that Mr. Papandreou's statement in the interview, namely, that Athens in the framework of the European Union had made "a unilateral gesture and did not expect anything in return" was astounding. He also charged that the stat ement citing that "differences between Greece and Turkey over borders and the sea are not so significant" was provocative. Athens News Agency

[03] Tsohatzopoulow to CNN: Greece isn't the obstacle of Turkey's EU prospects

Asked whether Greece, following a recent thaw in Greek-Turkish relations after the two countries rushed to each other's assistance when deadly earthquakes struck both recently, would obstruct Turkey's EU prospects, Mr. Tsohatzopoulos replied:

"I wouldn't say that Greece is the force that is obstructing Turkey's candidacy for membership in the European Union. Quite the opposite, I would say, Greece is open to Turkey's prospect for inclusion among the candidates for EU membership, which it see s as a positive prospect. We can say that with certainty."

"Of course, together with the other EU member-states, we follow some crystal-clear conditions, which must be the same for all countries. In other words, respect for international law, human rights, etc. And this is something that must be respected by al l the members of the EU," he added.

Questioned on whether the "new, noteworthy atmosphere of solidarity" could help in resolving the Cyprus problem, Mr. Tsohatzopoulos replied that he hoped so, "because now is the appropriate moment to take advantage of the climate that has been created b etween the two countries".

He expressed a hope that Turkish Cypriot leader Rauf Denktash "will be ready to respond" to UN Secretary General Kofi Annan's invitation for negotiations between Cyprus President Glafcos Clerides and Mr. Denktash and that the talks could commence in the immediate future.

"The time is right, because the climate in the relations between the two countries (Greece and Turkey) is positive, the disposition of the international community is positive, and the US have made it clear that President Clinton is reinvigorating his ef forts for finding a solution as quickly as possible, perhaps even by the end of the year," Mr. Tsohatzopoulos said.

"For that reason, it is necessary that we try again now," he added. Asked whether Greece no longer saw Turkey as an "enemy", Mr. Tsohatzopoulos said "we are not enemies. We have some antagonism, without doubt".

"Turkey sometimes has claims against Greece, which we do not recognise. We propose that the issue be taken before the International Court of Justice at The Hague for resolution," he stressed.

"At any rate, I believe that if the climate is possible and if the principles of international law are respected by all countries, then we can open up a road of rapprochement," Mr. Tsohatzopoulos said. Athens News Agency

[04] Greek American aid for quake victims reaches 1 million dollars

Specifically, he urged the opening of a single account to prevent donations from becoming fragmented.

Greek Americans have already gathered 700,000 dollars to which the Greek Orthodox Church of America added 100,000 and a televison station 200,000 dollars.

In New Jersey, meanwhile, members of the Greek American cultural association stressed the importance of maintaining and spreading the Greek language to the new generations of Greeks abroad. They also called for the upgrading of the secretariat for Gree ks abroad into a ministry.

Athens News Agency

[05] Simitis: No issue of early elections

Mr. Reppas was speaking after the premier chaired a cabinet meeting on economic policy.

"The government will continue with the same economic policy with seriousness and responsibility as the results so far justify all optimism," Mr. Reppas said. Athens News Agency

[06] Spanish PM's wife, Anna, attends opening of Picasso-related exhibition in Athens

The exhibition comprises a number of pencil drawings made by Picasso in a space of a few weeks between May and June 1937 that led to the creation of his best-known masterpiece, Guernica.

On April 27, 1937, the small Basque town of Guernica was razed to the ground by German aircraft in fierce bombing, and Picasso's drawings, as well as the painting itself, reflect the horror and pain suffered by the people, and the futility of warfare.

The exhibition is on loan from the collection of the Queen Sophia National Art Centre Museum in Madrid, and includes a replica painting of Guernica 10 per cent smaller than the original in size, eight photographs from the various stages of the project, and works by surrealist photographer Dora Maar, Picasso's companion during the war years.

The exhibition will run through Dec. 31.

At the opening, Greek Culture Minister Elizabeth Papazoi called the work 'unique' in terms of 20th century art and a distinct anti-war symbol.

Archbishop of Athens and All Greece Christodoulos along with Spanish ambassador to Athens, Javier Jimenez Ugarte, were also in attendance. In a related development, it was announced that an exhibition featuring the works of 'El Greco' will open at the N ational Art Gallery in Athens on Oct. 18.

Earlier in the day, Ms Aznar visited the Acropolis accompanied by Daphne Simitis, the wife of the Greek premier. Athens News Agency

[07] BSEC meeting focuses on the environment

"Environmental issues of mutual concern in our region are the management of natural resources, keeping pollution in check, management of coastal areas, tourist areas and the protection of the Black Sea," Deputy Environment Minister Theodoros Koliopanos said, opening the session.

Mr. Koliopanos said the meeting was an opportunity for discussion and an exchange of views and experiences on critical issues related to the environment.

Conclusions reached at the meeting, attended by environment ministers from 14 BSEC countries, include the ascertainment that the Black Sea is one of the most downgraded seas environmentally due to its being polluted by the waters of rivers, and those of the Danube in particular, industrial refuse, as well as of cities in countries surrounding it.

The ministers agreed to the need to strengthen their countries' development effort, as well as to the need for more systematic cooperation in tackling environmental dangers stemming from possible industrial accidents and natural disasters.

Lastly, it was agreed that the next meeting be held in Moldova.

Greece and Turkey are determined to promote dialogue on environmental issues and in this framework a visit to Ankara by Mr. Koliopanos is being discussed.

Mr. Koliopanos and Turkish Environment Minister Fevzi Aytekin stressed this at the press conference which followed the end of the meeting.

The two ministers said the dialogue concerns issues relating to earthquakes, sea pollution and others, while Mr. Koliopanos said there is no agenda for his visit to Ankara.

Asked whether his government intends to revise the decision to build a nuclear plant at Akkuyu after the recent earthquakes, Mr. Aytekin let it be understood that there is no such issue and that what will happen is a reconsideration of its building plans. Athens News Agency

[08] Greek fisheries cite expanded business role

These businesses employ 10,000 people and their total production exceeds 400,000 tons annually. The sector's annual exports yield exchange amounting to over 50 billion drachmas for the economy.

The data was disclosed at a conference jointly organised yesterday by the administration of the Federation of Greek Fisheries and the Thessaloniki International Fair's (TIF) conference department in the framework of the 7th ALIIA.

It was stressed that technological development is rapidly transforming fishing activities in the country. As a result sea products of commercial interest are passing one after the other from traditional collective fishing to fisheries. Athens News Agency

[09] Development of biological stockbreeding promoted at exhibition

The imbalance is due to the significant quantities of imported meat and dairy products, since the Greek stockbreeding sector is only able to meet 50 per cent of demand in the local market.

The information was disclosed at the 13th Stockbreeding Conference within the framework of a trade sector exhibition taking place in Thessaloniki.

According to organisers, the animal feed systems applied in many regions in the country come close to the requirements of biological stockbreeding, since Greek livestock owners have not followed international trends of production intensification. Athens News Agency

[10] Gov't confident of meeting economic targets

Mr. Simitis chaired a cabinet meeting that agreed the budget for 2000 should be submitted to parliament by the end of October, leaving a long stretch for debate before a vote at the end of December.

The constitutional deadline for the budget's dispatch to parliament is November 30.

Speaking after the three-hour meeting, National Economy and Finance Minister Yiannos Papantoniou said the chance of meeting economic targets by the end of the year was "certain or at least extremely likely." As planned, Greece would apply to the Euro pean Union for entry into the euro zone in the first ten days of March 2000 with a decision expected early in June, Mr. Papantoniou said.

He also announced that the government would devise a package of measures to assist small and medium-sized enterprises.

In addition, the minister said the September 7 earthquake that hit Athens had caused damage of 200 to 250 billion drachmas.

Paying for reconstruction was feasible as the cost would be spread over two or three years.

Turning to EU funds, Mr. Papantoniou estimated that Greece would have absorbed some 80 percent of financing under the Second Community Support Framework by the end of 1999, when the programme ends.

The remaining 20 percent would be absorbed in 2000 during the first phase of the Third Community Support Framework.

The minister said the rate of absorption would serve to silence critics who claimed that EU monies were going to waste.

"Not even one euro is being lost," he said.

Referring to a 470 billion drachma package of tax cuts introduced to aid lower income earners, the minister said it was the first time a government had provided such a large sum for more vulnerable social groups.

He added that it was proportionally the largest in Europe for several years.

"We were able to give what we owe to the public due to the great effort it has made (Cont. page 6) (Continued from page 5) all those years," Mr. Papantoniou said.

He pledged that the ruling PASOK party would provide further tax breaks and social spending for lower income groups in future budgets.

The economy was growing at a rate of 3.5 percent this year, among the highest rates in the European Union, Mr. Papantoniou said.

The rate would have been higher if interest rates had not been kept by necessity at relatively high levels as part of counter-inflationary policy.

Growth would be bolstered by a decline in interest rates over the next few months, he added.

The public deficit this year would total 1.6 percent of gross domestic product due to a major increase in tax revenue combined with a lower rate of public spending.

Inflation, currently at 2.0 percent, would fall further over the next few months, matching the criterion for euro zone entry by the end of the year, Mr. Papantoniou forecast.

-- ND questions rate of EU fund absorption -- The opposition New Democracy party yesterday forecast that 50 percent of funds from the EU's Second Community Support Framework would be absorbed by the end of the year.

Countering Mr. Papantoniou's estimate of an 80 percent rate of absorption accompanied by a 100 percent release of funds, ND spokesman Aris Spiliotopoulos said: "It is inconceivable that Mr. Papantoniou is unaware of the difference between the absorption and disbursement of EU funds.

In his statements today, he is trying to mislead the Greek public."

-- Papantoniou, Reppas on the bourse -- The performance of the Athens Stock Exchange was not discussed at the cabinet meeting, Mr. Papantoniou said.

"The stock exchange is not a political issue. It is a market, and for this reason nothing related was discussed at today's cabinet meeting."

The minister said the government believed that the medium-term trend on the bourse was rising, but it was impossible to rule out fluctuations that were part and parcel of normal trading.

Government spokesman Dimitris Reppas, faced with persistent questions from reporters, said the stock market had its own momentum, fuelled by market dynamics. Share price fluctuations were a normal phenomenon.

The market slumped this week in what many analysts have called a normal downward correction.

However, some media claim the decline was fuelled by statements of senior monetary authorities.

A public prosecutor on Thursday called officials, including the central bank governor, to give evidence in an ongoing preliminary enquiry into claims of share manipulation and insider trading on the bourse.

The enquiry took a fresh turn on Wednesday when the prosecutor turned to the statements by monetary authorities that some media alleged could steer investors away from a certain category of stocks and towards another.

Athens News Agency

[11] Stocks slump again in sell-off

The general index ended 5.41 percent lower on the heels of a 3.90 percent drop in the previous session to finish at 5,503.47 points.

Turnover was around 362 billion drachmas from 406.410 billion drachmas a day earlier on 37,605,000 shares traded.

The index had dived 7.44 percent in a mass sell-off only to recoup some of its losses in the last 30 minutes on bank-led buying.

Sector indices ended as follows: Banking (-4.38 pct), Construction (-7.58 pct), Insurance (-7.32 pct), Miscellaneous (-6.02 pct), Leasing (-8.00 pct), Investment (-6.86 pct), Industrials (-5.73 pct) and Holding (-5.34 pct).

The parallel market index for smaller capitalisation stocks plunged 7.07 percent while the FTSE/ASE 20 index for blue chip and heavily traded stocks eased 4.65 percent to finish at 2,883.57 points.

Of 305 stocks traded, declines outpaced advances at 292 to 13 with no shares remaining unchanged.

A total of three shares ended at the daily 8.0 percent upper volatility limit and another 192 ended at the daily limit down, which is also 8.0 percent.

The day's most heavily traded stocks were Atermon, Avax and Ergo Invest.

National Bank of Greece ended at 24,180 drachmas, Commercial Bank at 27,100, Alpha Credit Bank at 24,795, Minoan Lines at 7,500, Intracom (common) at 26, 000, Titan Cement (common) at 34,750, Hellenic Petroleum at 5,796, Hellenic Telecommunications Organ isation at 6,750 and Panafon at 8,470 drachmas.

-- Bonds stay low, drachma under pressure -- Secondary bond market prices stuck to current low levels in moderate trade despite signs of a revival in interest in bonds in markets abroad.

Electronic trade totalled 39 billion drachmas from 17 billion drachmas in the previous session and 4.0 billion drachmas on Wednesday.

The benchmark 10-year bond, which was still trading below par, showed a yield of around 6.59 percent, the same as a day earlier, from 6.65 percent on Wednesday. The 10-year paper's yield spread over German bunds ranged between 151 and 152 basis points a gainst 152 basis points in the previous session and 158 basis points on Wednesday.

In the foreign exchange market, the drachma came under minor attack from speculators trying to take advantage of the Athens bourse's decline.

In the last three sessions of the week, the central bank sold around 300 million euros to curb attacks on the national currency by investors at home and abroad.

At the central bank's daily fix, the euro rose against the drachma. The euro was set at 327.600 drachmas from 327.250 drachmas in the previous session and 327.030 drachmas on Wednesday.

The dollar dropped versus the drachma.

At the fix, it was set at 312.350 drachmas from 313.250 drachmas a day earlier and 310.910 drachmas on Wednesday. Athens News Agency

[12] EIB donates 1 million euros in quake aid

The funds are to be allocated to rebuilding schools damaged in the temblor to coincide with the start of the academic year.

-- Citibank opens donations account -- Citibank in Athens has opened an account for quake relief donations in which the bank has already deposited 50 million drachmas of its own funds, it said in a statement yesterday.

The number of the account is 0504036456.

In addition, Citibank has set up collection boxes at its branches. Athens News Agency

[13] Lambrakis forges Internet alliances

The alliances aimed at the electronic trade of informatics technology were made with Altec, InfoQuest, Pouliadis and Plesio Computers.

Under the terms of the separate deals, four independent companies will be set up with Lambrakis holding a 50 percent stake in each. Athens News Agency

[14] Athens Foreign Exchange

US Dollar 309.851 317.035 Can.Dollar 210.304 215.180 Australian Dlr 201.054 205.715 Pound Sterling 509.293 521.101 Irish Punt 412.638 422.205 Pound Cyprus 563.218 576.276 Pound Malta 726.465 756.734 Turkish pound (100) 0.061 0.064 French franc 49.542 50.691 Swiss franc 202.993 207.699 Belgian franc 8.056 8.243 German Mark 166.159 170.011 Finnish Mark 54.657 55.924 Dutch Guilder 147.469 150.888 Danish Kr. 43.727 44.741 Swedish Kr. 37.730 38.605 Norwegian Kr. 39.680 40.600 Austrian Sh. 23.618 24.165 Italian lira (100) 16.784 17.173 Yen (100) 296.479 303.353 Spanish Peseta 1.953 1.999 Port. Escudo 1.621 1.659

Foreign Exchange Buying Selling New York 309.851 317.035 Montreal 210.304 215.180 Sydney 201.054 205.715 London 509.293 521.101 Dublin 412.638 422.205 Nicosia 563.218 576.276 Paris 49.542 50.691 Zurich 202.993 207.699 Brussels 8.056 8.243 Frankfurt 166.159 170.011 Helsinki 54.657 55.924 Amsterdam 147.469 150.888 Copenhagen 43.727 44.741 Stockholm 37.730 38.605 Oslo 39.680 40.600 Vienna 23.618 24.165 Milan 16.784 17.173 Tokyo 296.479 303.353 Madrid 1.953 1.999 Lisbon 1.621 1.659 Athens News Agency/END

Athens News Agency: Daily News Bulletin in English Directory - Previous Article - Next Article