Athens News Agency: Daily News Bulletin in English, 00-02-29

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

CONTENTS

[01] Greek and Portuguese PMs discuss employment ahead of EU summit

[02] EU's 15 defense ministers discuss joint policies, Kosovo

[03] Gov't on situation in Kosovo

[04] Greek delegation begins contacts in Ankara on Turkey's EU accession course

[05] Government says release of three Kurdish mayors by Turkey a positive development

[06] Alternate foreign minister and EU Justice and Internal Affairs Commissioner discuss illegal immigration

[07] Tsohatzopoulos expresses confidence in PASOK election victory

[08] ND leader and Union of Greek Ship-owners discuss problems facing national register

[09] Souflias says he will not be a candidate in April 9 elections

[10] Chinese delegation visits Greece to gain know-how on finance for agriculture

[11] EU welcomes Greek fiscal deficit cut in 1993-1999

[12] Greece's trade deficit decreased by 2.6 billion euros in 1999

[13] Bank of Greece governor discusses latest economic developments with Union of Greek Banks

[14] Greek economy minister on EU future social model

[15] EU's SE European reconstruction agency's new offices to open by end of March

[16] Development minister announces technology research program

[17] OA manager: Decisions on Australia routes not yet finalized

[18] Greek stocks end sharply lower, hit by international markets' woes

[19] ETBAbank reports 1999 profit surge

[20] Ergobank reports 71 pct rise in 1999 profits

[21] Author-psychiatrist George Cheimonas dies in Paris

[22] London Museum official says Parthenon Marbles would not have existed... had it not been for Elgin

[23] European Commission sends avis to Greece on directive for environment

[24] 'Generous moves' can be made toward Turkish Cypriots in economic matters, Nicosia says

[25] Slovenian Prime Minister concludes talks on EU accession

[01] Greek and Portuguese PMs discuss employment ahead of EU summit

Athens, 29/02/2000 (ANA)

"I wish to express my gratitude and my appreciation, not only for the excellent meeting, but primarily on the excellent contribution of the Greek government to our presidency's work to prepare the Lisbon summit," Guteres said, who is visiting Athens as part of his tour of EU capitals to pave the way for the summit.

Simitis has addressed a letter to Guteres containing the Greek government's proposals on employment, underlining the need to strengthen the rate of the European economy's growth. It also proposes the implementation of policies limiting risks emanating from technological and social changes.

"The text submitted to the Portuguese presidency by the Greek government is extremely useful and I think it touches on the most crucial points which we are discussing...We have an economy and a society based on increased know-how and we do not want this to be a precondition for an even more unfair society, but we want it to be an economy and a society of know-how, which gives opportunities to all," Guteres said.

On his part, Simitis expressed Greece's support for the Portuguese presidency's proposals on employment issues and termed his discussion with Guteres "very friendly and cordial."

The Portuguese delegation participating in the talks included Guteres' employment adviser Maria Joao Rodriguez and his diplomatic adviser Freitas Ferraz. Foreign Minister George Papandreou, Alternate Foreign Minister Christos Rokofyllos also participated on the Greek side.

Simitis said the Lisbon summit will be a success and will signal a new important period.

"We are leaving a past of individual action and we are proceeding along a course of common direction to shape a new social model in Europe," Simitis said, adding that over the next four years Greece will concentrate on combatting unemployment and inequalities and supporting growth and cohesion.

"Therefore, we are at a very good point, because efforts being made in our country coincide with the efforts being made at EU level," he added.

Referring to other issues, Guteres said "I am grateful for the Greek government's contribution to the EU's policy on sectors outside the EU. Also for the Greek government's cooperation and action on all developments in the Balkans and, moreover, on the difficult and laborious dialogue with Turkey which, in our opinion, constitutes a key contribution offered by Greece for stability on our continent and in our region."

Commenting on the crisis in Kosovo, Guteres expressed reserved optimism, saying he was very determined to continue with EU aims. He added that UN decisions and resolutions should be taken into consideration, "namely that we should respect existing borders."

"We should make every effort to create a multinational community and society in Kosovo. In addition, we should coordinate our efforts. The international community's efforts did not have adequate coordination in the past. This should take place to facilitate a suitable environment for the functioning of democratic institutions and to enable economic prosperity," Guteres said, adding that "these are the two main conditions if we wish for a solution in Kosovo."

On his part, Simitis said he discussed the issue of Kosovo at length with Guteres and ascertained increased consciousness of the need for effective coordination.

"There are many bodies preoccupied with the issue," Simitis said and added that "we want a result quickly and work is being done at the moment to facilitate greater effectiveness."

[02] EU's 15 defense ministers discuss joint policies, Kosovo

SINTRA, Portugal, 29/02/2000 (ANA)

This unofficial Council of Defense Ministers of the 15 member-states was hosted by the Portuguese government, which holds the six-month rotating presidency of the Union.

Greek Defense Minister Akis Tsohatzopoulos said that the new Union military force will initially number 60,000 troops, will be able to mobilize within 24 hours and be on the field for six months.

"During an initial phase, until 2003 there will be 60,000 troops, who will be able to mobilize within 24 hours and remain unassisted in the field for six months," he said, adding, "Greece's interest is that everybody understands that the European force has the ability to intervene".

There should be "convergence criteria among the European countries in formulating the terms of participation, similar to those of the European Monetary Union, which should take into account the performance and ability of the Armed Forces, as well as the cost invested," he said.

Tsohatzopoulos also said that the new force will utilize NATO infrastructures but will be independent from the existing command centers of the alliance.

"A central issue discussed by my colleagues was whether the defense capability of the Union will be formulated along with NATO's or independently of NATO ... the basic direction chosen was to utilize existing infrastructures and capabilities of NATO by the European force, which, however, will be independent," he stressed.

The Greek minister said several of the 15 ministers argued that the six candidate-member states that are already NATO members should also be included in the decision making process for the military force, an issue of disagreement in the council.

He added that Greece, along with the majority of the council members, argued for the participation of those countries in the force, but not in the decision making process, which remains the sole responsibility of the European Union Council.

[03] Gov't on situation in Kosovo

Athens, 29/02/2000 (ANA)

In a related development, a Greek army mechanized infantry company participating in the KFOR contingent controlling Kosovo was set to transfer to the Mitrovica region in the province's north, the scene of violence in recent days between French peacekeeping troops and ethnic Albanians.

Greece's national defense general staff announced that the company's tour of duty was part of a normal rotation of units serving in the multinational KFOR contingent. Greek troops are expected to stay in the area until March 5.

[04] Greek delegation begins contacts in Ankara on Turkey's EU accession course

ISTANBUL, 29/02/2000 (ANA - A. Kourkoulas)

Greek Foreign Minister George Papandreou had unveiled this specific bilateral initiative during an official visit to Ankara in January, part of a recent thaw in Greek-Turkish relations following last summer's "seismic rapprochement" between the two sides. At the time, Turkish FM Ismail Cem noted that Turkish leadership hopes to gain from Athens' experience in the European Union in order to best prepare its own accession course.

"Greece will continue to regularly brief Ankara over EU developments," the head of the Greek delegation, Stelios Perrakis, said prior to meeting with Cem in the afternoon.

"The accession of candidate states in the European Union is a difficult and time-consuming process," he said, adding that Turkey has made some steps in order to adapt to the EU's rules.

"The positive climate which exists between Greece and Turkey will continue," he added.

Besides Perrakis, the Greek foreign ministry's general secretary for European affairs, another four Greek diplomats will meet with their Turkish counterparts, including Athens' ambassador to Ankara Ioannis Korantis.

Assistant Foreign Undersecretary Ulut Ozulker will head the corresponding Turkish delegation.

Topics of discussion include methods of gaining Turkey's participation in Union programs, exploiting various EU credit lines and adoption of the 15-member bloc's acquis communautaire. The Copenhagen criteria and EU programs were discussed on Monday.

Perrakis also stressed that cooperation could also expand to issues dealing with the Schengen pact, the EU-Turkey customs union and the creation of institutions to promote European models.

[05] Government says release of three Kurdish mayors by Turkey a positive development

Athens, 29/02/2000 (ANA)

"It is a positive development despite the fact that it is the result of pressure exerted by the international factor on Turkey for this choice by government and other state authorities in the neighboring country," government spokesman Dimitris said.

"We believe that this attitude should be shown in all sectors in similar cases to enable all of us to be sure that in Turkey human rights are respected, the expression of citizens' beliefs is free and democratic institutions function in the fullest degree. This is a prerequisite which Turkey should handle and fulfill," Reppas concluded.

[06] Alternate foreign minister and EU Justice and Internal Affairs Commissioner discuss illegal immigration

Athens, 29/02/2000 (ANA)

Vitorino said his presence in Athens is part of the European Commission's initiative to prepare the EU's five-year action plan on issues concerning freedom, security and justice.

"Our object is to determine a common position by all 15 member-states on such sectors as asylum, immigration and, even more specifically, the handling of illegal immigration and the admission of legal immigrants in the 15 member-states," Vitorino said.

"We should be in a position to guarantee internal security. Namely, we should be able to handle organized crime, the white flesh trade, drug smuggling and money laundering," he added.

Commenting on external borders and their guarding, Vitorino said in order to create this zone of freedom and free movement without internal borders, it is self-evident that the EU's external borders should be strengthened.

On his part, Rokofyllos said the Greek border is extensive and guarding it with its own means is very difficult. He said support with materials and other means is necessary for the quick detection of boats used by illegal immigrants to enable EU policy to be exercised speedily in this sector.

[07] Tsohatzopoulos expresses confidence in PASOK election victory

Athens, 29/02/2000 (ANA)

General elections are scheduled for April 9 in Greece.

Tsohatzopoulos also dismissed the likelihood of main opposition New Democracy substantially increasing its share of voters through a recent deal to cooperate with Stephanos Manos' small Liberals Party, rumored cooperation with one-time ND minister Andreas Andrianopoulos or a decision by the out-of-Parliament rightist Political Spring party not to field candidates.

The interview with Tsohatzopoulos was published by the Athens daily "Exousia".

[08] ND leader and Union of Greek Ship-owners discuss problems facing national register

Athens, 29/02/2000 (ANA)

ND's official on maritime affairs Ioannis Tzoanos said "ND considers the tactic of avoiding to take bold decisions, followed by the government over the past three years, unacceptable since it has led to a great loss of jobs due to the national register's tragic shrinking".

Evert charges gov't responsibility in politicizing stock market: Former main opposition New Democracy leader Miltiades Evert on Monday sternly criticized the government over what he called its responsibility in politicizing the Athens Stock Market.

Evert was responding to recent statements by National Economy Minister Yiannos Papantoniou, namely, that "we must depoliticize the stock market and let the rules of the market operate."

"During the summer they advised and lured unsuspecting retail investors to place their money in the stock market, promising an increase; while now, as Pontius Pilatus, they watch its (bourse) drop and do nothing, thereby damaging 300,000 retail investors..." Evert charged.

He also called for immediate measures by the government to create a positive climate for the bourse's stabilization and increase.

[09] Souflias says he will not be a candidate in April 9 elections

Athens, 29/02/2000 (ANA)

Afterwards, Souflias reiterated that he will not be a candidate for Parliament during the April 9 general elections.

The former education minister was expelled from main opposition New Democracy in February 1998 for not toeing the party line on a bill regarding public utilities and enterprises.

[10] Chinese delegation visits Greece to gain know-how on finance for agriculture

Athens, 29/02/2000 (ANA)

Youcai heads a delegation on an official visit to Greece seeking to gain information on Greece's finance schemes for the agricultural sector and especially on issues regarding farmers' social security, crop damage compensations and policies for young farmers.

Christodoulakis and Youcai also discussed the Greek government's plans for the privatization of the Agricultural Bank of Greece (ATE) via the Athens Stock Exchange.

The Chinese delegation later met with Agriculture Minister George Anomeritis.

The delegation expressed interest in studying the European Union support mechanisms for farmers, in light of China's efforts to comply with World Trade Organization (WTO) directives. China has been engaged in discussions to enter the WTO.

On a different note, Youcai invited Anomeritis to visit China. China's farmers make up 75 per cent of its active population compared to Greece's 19 per cent.

[11] EU welcomes Greek fiscal deficit cut in 1993-1999

BRUSSELS, 29/02/2000 (ANA-M. Spinthoura kis)

The EU's executive Commission said in a statement that the decline was the greatest among the bloc's member states.

The Commission was outlining the achievements of its cohesion fund in helping to finance transport and environmental projects.

Since the cohesion fund was created in 1993, EU member states Greece, Spain, Portugal and Ireland had received a total of 16.7 billion euros in financing for the projects, the statement said.

[12] Greece's trade deficit decreased by 2.6 billion euros in 1999

BRUSSELS, 29/02/2000 (ANA - V. Demiris)

The country's trade deficit decreased to 12.9 billion euros in 1999 from 15.5 billion euros in 1998. The decrease is primarily due to a decrease in Greek imports by 13 percent. Greek imports amounted to 24.3 billion euros in 1998, while in 1999 they did not exceed 21.1 billion euros in value.

However, the course of Greek exports is alarming since they decreased by 6 percent. They totalled 8.8 billion euros in 1998, but in 1999 they dropped to 8.2 billion euros in value.

Among the 15 EU member-states, Germany has the biggest trade surplus amounting to 62.9 billion euros, while Britain has the biggest trade deficit totalling 46.2 billion euros.

[13] Bank of Greece governor discusses latest economic developments with Union of Greek Banks

Athens, 29/02/2000 (ANA)

Papademos stressed the need for self-restraint regarding interest rates, noting that at the present stage he discerns no possibilities for the considerable readjustment of interest rates.

The speedier de-escalation of interest rates is expected in the second half of the year when an overall slackening in monetary policy will unavoidably take place. The Bank of Greece will also be taking a series of measures to harmonize the fiscal market with what is applicable in the euro zone.

Papademos promised bankers that from the second half of the year the central bank will allow a gradual decrease of national reserve deposits amounts, which now stand at 12 per cent of every bank's total deposits.

Deregulation of consumer credit will also start from the end of March, while as Papademos said on Sunday as of April banks will be free to provide consumer loans.

[14] Greek economy minister on EU future social model

BRUSSELS, 29/02/2000 (ANA/M.Spinthoura kis)

Speaking after a meeting of the European Union Economic and Monetary affairs council, Papantoniou said "the summit of Lisbon should be a social Maastricht, which will integrate the successful characteristics of the American economic model, which produces social wealth, with elements of justice and cohesion of the European social model".

He stressed that the Union achieved high rates of economic development, which allow for the ability to formulate social policies and specific aims in support of the financially weaker classes.

[15] EU's SE European reconstruction agency's new offices to open by end of March

Athens, 29/02/2000 (ANA)

The offices of the organization will be located in the renovated neo-classical building of the one time "Vienna" hotel in central Thessaloniki, they added, following a meeting of the ERO board of directors at the CEDEFOP offices here.

They also said that the next meeting of ERO is scheduled for March 24.

The ERO budget for 2000 stands at 150 million euro and will be spent toward the reconstruction of countries in region.

[16] Development minister announces technology research program

Athens, 29/02/2000 (ANA)

EPET III is part of the Development Plan of Greece for the same period and will be open to private sector participation, which is expected to reach 40 billion drachmas, the minister added, during the one-day conference at the Aristotelion University of Thessaloniki.

The northern Greek city will become the center of such activities Venizelos said, adding that for this purpose the National Center for Technological Development will be based in Thessaloniki.

[17] OA manager: Decisions on Australia routes not yet finalized

Melbourne, 29/02/2000 (ANA - S. Hadjimanolis)

During a press conference in Sydney, OA's British manager pledged that the airline would maintain its air link to Australia, and said he was there to discuss the future of its Sydney and Melbourne routes.

Lynch arrived in Australia on Saturday amid a flurry of protests sparked by OA's recent decision to discontinue its connection to Melbourne, the capital of Victoria State -- which hosts one of the largest overseas Greek communities in the world -- citing cost factors.

Lynch told ANA that Australia would remain on OA's itinerary, but said in the long-term the airline would fly to only one Australian city, but it was as yet unclear whether that would be Melbourne or Sydney.

OA would possibly continue its route to both Melbourne and Sydney until the Sydney Olympics this summer, he said.

OA had tentatively announced a reorganization of its flights to Australia as of March 26, scheduling three flights a week to Sydney, via Bangkok. Passengers headed for Melbourne would board frequent flights scheduled by the Ansett or Qantas companies, with which Olympic was to conclude special agreements.

The changes are aimed at an overall improvement of the flight performance to Australia to enable it to become profit-making from loss-making at present.

The company clarified that the discontinuation of the Melbourne-Sydney section would enable it to decrease expenditures in landing and take-off duties and crew stays, while it would also benefit by saving aircraft flight hours and crew duty time.

Lynch said the final decision on the loss-incurring Australia route would be taken before March 26. He is due to meet Tuesday with Victoria State premier Steve Bracks, whose government has offered incentives to OA to retain the Melbourne route.

Meanwhile, 83 Greek-Australian organizations in Melbourne have called on Greek prime minister Costas Simitis to intervene so as to maintain "the bridge opened by OA" between Greece and the Greeks in Australia.

[18] Greek stocks end sharply lower, hit by international markets' woes

Athens, 29/02/2000 (ANA)

Traders said falls in international stock markets depressed sentiment on the Greek bourse creating massive sell-out orders in the smaller capitalization sector.

Dealers said persistent low liquidity combined with short-term selling ahead of the end of the February trading period also burdened climate in the market.

The general index ended at 5,034.55 points, down 3.24 percent, off the day's lows of 5,008.39 points.

The FTSE/ASE 20 index for blue chip and heavy traded stocks ended 2.41 percent lower at 2,780.04 points, while the FTSE/ASE MID 40 index plunged 5.30 percent to 797.39 points.

Turnover was a low 159.32 billion drachmas.

Sector indices ended as follows: Banks: 9,577.03 -2.50% Leasing: 1,094.74 -4.44% Insurance: ,220.34 -3.20% Investment: 2,472.28 -2.61% Construction: 2,730.63 -8.31% Industrials: 2,938.51 -3.83% Miscellaneous: 6,223.81 -2.51% Holding: 5,403.55 -6.12%

The parallel market index for smaller capitalization stocks ended at 1,179.27 points, off 8.37 percent.

Broadly, decliners led advancers by 334 to nine with another four issues unchanged.

Athinea, Agrinio Metalplastic and Macedonian Plastics ended at the day's 10.0 percent limit up.

Nireas, Xylemporia, Technical Publications, Hadzikraniotis, Daring, Lanacam, Eltrak and Exelixi were among the biggest percentage losers.

Hellenic Telecoms, Commercial Bank and Panafon were the most heavily traded stocks.

Leading shares' closing prices (in Drs): Alpha Credit:

24,900 National Bank: 23,790 Commercial Bank: 22,800 Ergobank: 27,100 Eurobank: 12,490 Heracles Cement: 9,720 Hellenic Petroleum: 4,050 Intracom: 15,260 Minoan Lines: 7,790 Hellenic Telecoms: 10,025 Panafon: 5,690 Titan Cement: 16,000

Equity futures slump in line with Athens bourse: Equity futures on the Athens Derivatives Exchange finished lower on Monday in line with the stock indices on which they are based.

On the Athens bourse, the FTSE/ASE 20 index for blue chip and heavily traded stocks ended 2.41 percent down; and the FTSE/ASE Mid 40 for medium capitalization stocks closed 5.30 percent lower.

Turnover from futures rose to 10.1 billion drachmas from 8.7 billion drachmas a session earlier and 9.4 billion drachmas on Thursday.

A total of 1,081 contracts were traded on the FTSE/ASE 20, showing turnover of 6.1 billion drachmas.

The contracts ended as follows: expiring March at 2,825; expiring April at 2,835; expiring May at 2,878; expiring June at 2,875; and expiring September at 2,950.

Futures traded on the FTSE/ASE Mid 40 numbered 1,110, posting turnover of 4.0 billion drachmas.

Contracts closed as follows: expiring March at 822; expiring April at 835; expiring May at 862; expiring June at 870; and expiring September at 900.

Bonds pick up steam, fuelled by US rate rise hopes: Bonds in the domestic secondary market on Monday traded briskly for a second straight session on expectations of a US interest rate hike, tracking German bunds.

The Greek benchmark 10-year bond showed a yield of 6.43 percent from 6.42 percent a session earlier and 6.41 percent on Thursday.

The paper's yield spread over German bunds was 96 basis points against 98 basis points in the previous session and 100 basis points on Thursday.

No figure was immediately available for Monday's turnover. Trade through the central bank's electronic system on Friday totalled 102 billion drachmas from 45 billion drachmas on Thursday and 36 billion drachmas on Wednesday.

In Monday's trade, buy orders accounted for around 90 percent of turnover and sell orders the remainder.

Analysts said there was little room for the yield spread over bunds to drop below about 96 basis points in the near future, and that even a central bank rate cut of 75-100 basis points, anticipated in March, would have little impact on the market.

The yield spread has been fluctuating between 96 and 100 basis points, usually at the higher end of the range.

Dollar's surge dominates drachma trade: The drachma nosed up against the euro in the domestic foreign exchange market on Monday but plunged against the US dollar, in line with the greenback's jump in world markets.

The Bank of Greece did not intervene in the wake of a sale of almost 230 million euros on Friday in order to meet heavy demand for the European single currency and nudge up the drachma.

The intervention followed a similar move last week when the central bank absorbed cash in order to slow the drachma's depreciation.

As a result, short-term interbank rates had jumped by about 100 basis points, helping to stave off market pressure for a faster depreciation of the drachma than the central bank was willing to allow.

At the central bank's daily fixing on Monday, the euro was set at 334.040 drachmas from 334.050 drachmas in the previous session and 333.840 drachmas on Thursday.

On Friday, the drachma had lost 1.12 percent against the European currency since the start of the year.

Also at the fixing, the US dollar was set at 344.760 drachmas from 338.180 drachmas in the previous session and 335.770 drachmas on Thursday.

[19] ETBAbank reports 1999 profit surge

Athens, 29/02/2000 (ANA)

Consolidated pre-tax profits in 1999 totalled 107 billion drachmas, up from 31.8 billion drachmas a year earlier, showing a 236 percent increase.

In a statement, ETBAbank attributed its performance to an improvement in the range of its activities, especially investment banking.

[20] Ergobank reports 71 pct rise in 1999 profits

Athens, 29/02/2000 (ANA)

The bank's board plans to pay a 260 drachmas per share dividend to shareholders. The plans are expected to be presented at a forthcoming annual general shareholders' meeting.

Ergobank's new shares will begin trading on the Athens Stock Exchange from Tuesday, following a three-for-one exchange.

A bank announcement said that merger procedures following the purchase of its majority stake by Eurobank was not expected to be completed before July.

The two banks' shareholders will have first to approve the merger plans.

[21] Author-psychiatrist George Cheimonas dies in Paris

Athens, 29/02/2000 (ANA)

Cheimonas was born in 1938 in Kavala, and grew up in Thessaloniki, where he studied medicine before going to Paris for post-graduate studies in 1964-68, specializing in neurology.

A well-known neuropsychiatrist in Athens and Paris, Cheimonas had his first book "Peisistratos" published when he was still an undergraduate university student, but he considered his 1964 novel "Ekdromi" (Excursion) as the most important reflection of what he called his "totally solitary" sojourn in literature.

His Greek translations of William Shakespeare's plays "Macbeth" and "Hamlet" were widely acclaimed.

No cause of death was immediately made known.

[22] London Museum official says Parthenon Marbles would not have existed...had it not been for Elgin

MELBOURNE, 29/02/2000 (ANA - S. Hatzimanolis)

"If it hadn't been for Elgin, these marbles would not have existed," Ian Jenkins said.

Over a million Australians watched the commentary prepared by former Victoria State Prime Minister Jeff Kennet, a philhellene and member of the Australian Committee for the return of the Parthenon Marbles to Greece. He recently traveled to Greece and Britain to help prepare footage.

Although trying to present all views during the program, Kennet did not conceal his strong personal support for the Greek bid for the return of the Parthenon Marbles to Greece.

"It is wrong to call them Elgin Marbles. The only relationship Elgin has with the marbles is that he stole them," Kennet said. He included statements by Greek visitors to the Acropolis that "this monument is a symbol of the Greek nation" and that "without the sculptures the Acropolis is like the Mona Lisa without the smile."

On his part, Jenkins reiterated the argument that if the sculptures are returned "a bad precedent will be created and there is the danger of the big museums in the world emptying."

[23] European Commission sends avis to Greece on directive for environment

BRUSSELS, 29/02/2000 (ANA - V. Demiris)

The European Commission claims that Greece, Austria, France, Luxembourg, Germany, Spain and Britain have not included directive 97/11/EK of March 3, 1997 in their legislation.

It concerns repercussions on the environment stemming from public and private projects. The time limit for including the directive was March 14, 1999.

[24] 'Generous moves' can be made toward Turkish Cypriots in economic matters, Nicosia says

NICOSIA, 29/02/2000 (CNA/ANA)

Papapetrou further said he has not detected any sign of change in the Turkish policy on Cyprus but noted that Turkey's Foreign Minister Ismail Cem refrained from referring to his long-standing position for a confederation in Cyprus.

The spokesman's comments come in the wake of Cem's illegal visit to the Turkish occupied part of Cyprus last Saturday and a reference in a US report to a so-called economic embargo the Greek Cypriots are said to be imposing on the Turkish Cypriots.

"If the Turkish side abandons its unacceptable policy on confederation and two separate states in Cyprus and cooperates for a solution, I am sure that some very generous provisions and solutions can be found for the Turkish Cypriots in economic matters," Papapetrou said.

The US State Department annual report on human rights said "the Turkish Cypriot economy, which is handicapped significantly by an economic embargo by the Greek Cypriots, relies heavily on subsidies from Turkey."

"The government does not implement any kind of embargo on the Turkish Cypriots. there are decisions by the Court of Justice of the European Communities (in Luxembourg) which create difficulties in the economic activity of the Turkish Cypriots," the spokesman said.

Ankara and the Turkish Cypriots should seek the causes of these difficulties in the Turkish invasion of Cyprus and the continuing occupation of Cyprus' northern areas, he added.

"They should make moves to lift the roots of these difficulties," he said.

The Court ruled in July 1994 that European Union member states cannot import citrus fruit and potatoes from the occupied part of Cyprus unless they are accompanied by phytosanitary certificates issued by the authorities of the Republic of Cyprus.

[25] Slovenian Prime Minister concludes talks on EU accession

NICOSIA, 29/02/2000 (CNA/ANA)

Vassiliou said all six countries that are in the first wave of states that started accession talks in 1998 agree that they should join the EU in January 2003.

He also underlined the need for these countries, namely Cyprus, Slovenia, Hungary, Poland, Estonia and the Czech Republic, to strengthen their relations.

"The Prime Minister's visit contributes to this end," Vassiliou added, describing their meeting as "very useful".

He said they discussed issues pertaining to the two countries' accession course, "such as the existing concerns as to whether or not we will join the EU in 2003 or if there will be some delay and if some technical problems for our countries may arise".

"Cyprus, Slovenia and the other candidate states take this date seriously and we are doing everything possible to achieve accession by January 1st 2003," the chief negotiator said.

In its conclusions last December the European Council decided that the EU should be ready to receive new member states from the end of 2002.

No statements were made after the Slovenian Prime minister's meeting with Anastasiades, but according to sources they discussed efforts to join the EU, the latest developments in the Cyprus question as well as relations between the two governments and parliaments.

On Monday the Foreign Ministers of the two countries, Ioannis Kasoulides and Dimitrij Rupel, accompanying the Slovenian Premier, had a private meeting.

Government spokesman: Cyprus' and Slovenia's course for accession to the European Union were the center of discussions Slovenian Prime Minister Janez Dronovsek had here, during his two-day official visit to the island.

Speaking at a press conference Government Spokesman Michalis Papapetrou and the Slovenian premier referred to the close relations between the two countries and their common goal for EU accession.

They also referred to Slovenia's participation to the UN Peacekeeping Force in Cyprus (UNFICYP).

"The visit will contribute to the strengthening of the already close relations between the two countries," Papapetrou said, while he described Slovenia's participation in UNFICYP as "a very practical contribution to the preservation of peace in Cyprus".

On his part, the Slovenian premier said his intention is to "strengthen political, economic and other relations", pointing out that "Slovenia and Cyprus are the front-runner candidates for EU".

The two countries, he said, are the "most qualified candidates for membership especially from the economic point of view", adding that the accession process was one of the most important subjects of his discussions here.

Concerning the Cyprus problem, Drnovsek said, "our position has always been close to the Cyprus position", while he pointed out that the Helsinki decision last December made clear that the solution of the Cyprus problem is not linked to the island's European course.

The Slovenian Premier also said that agreements have been prepared and are expected to be signed on trade, investment protection, avoidance of double taxation.

Drnovsek later visited the Slovenian UNFICYP Contingent. He departed in the afternoon.

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