Athens News Agency: Daily News Bulletin in English, 03-10-07

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

CONTENTS

[01] Gov’t tables 2004 draft budget plan to parliament

[02] DM in US this week for NATO meeting

[03] Greece to ask US to correct report on terrorism listing N17 as active

[04] Elections will take place in spring, PM says

[05] Communist party leader calls for social and political alliance in next election

[06] PM to chair cabinet meeting on IGC, PASOK National Council this week

[07] Athens stresses concern over Mideast crisis, condemns hostilities

[08] Interior minister meets Cyprus president

[09] FM Papandreou sends message to Cyprus president in light of Independence Day

[10] Greek Parliamentary delegation visits Bucharest

[11] Deputy FM refers to work of NGOs financed by the foreign ministry

[12] ND deputy tables Parliament question over tank purchase contract

[13] Gov't again rules out higher pay for striking public-sector workers

[14] Main opposition calls for off-the-agenda debate on economy

[15] Government development bill ready for parliament

[16] Greek-Turkish trade to set new record this year

[17] CESR seeks unified form of information bulletins in EU

[18] Prosecutor orders inquiry in meat storage conditions at customs

[19] Professors and teachers rally in downtown Athens, demand pay hikes

[20] Majority of Greek households pessimistic over their finances

[21] Greek tourism authorities defend ad campaign strategy

[22] 'Target' T-shirt sales raise funds for breast cancer centre in Athens

[23] Greek consumers increasingly complain over product-services

[24] Football Pools Organization expands in Cyprus

[25] Greek stocks end sharply higher on Monday

[26] IOC press commission president lauds progress made

[27] German Parliamentary delegation stresses progress in Olympic Games preparations

[28] ATHOC managing director discusses Athens Olympic Games security with CIA chief

[29] Public works minister visits Rio-Antirrio bridge project

[30] Christodoulos meets with EU Commissioner Barnier

[31] Defense attorney says N17 defendant Savvas Xiros mistreated following arrest

[32] ESHEA condemns persecution of Turkish Cypriot journalists

[33] Gov't on arrest of 2 fishermen by Turkish authorities

[34] 'Olympic' program for Greek fire brigade launched on Monday

[35] Greece demands release of Greek seamen held in Pakistan

[36] Fulbright Foundation sponsors US universities fair this month

[37] Wide-ranging history conference begins on Lesvos

[38] Dutch Premier arrives in Cyprus for two-day official visit

[39] National Council says Turkish Cypriots must vote in Euro elections

[01] Gov’t tables 2004 draft budget plan to parliament

Athens, 07/10/2003 (ANA)

According to the draft budget, unveiled last week, the government seeks to combine fiscal stability with economic development, with growth rates expected to reach 4.2 percent in 2004 (up from 4.0 percent this year), unemployment rates to fall to 8.0 percent of the country's workforce (from 9.0 percent in 2003) and inflation to be contained around 3.0 percent.

Next year's budget also envisages a 7.9 percent increase in net revenues and a 7.7 percent rise in spending, with the Internal Affairs, Development and Aegean ministries expected to see the biggest percentage spending increases in 2004 (13.6 percent, 11.2 percent and 15.7 percent, respectively).

Spending in the Health and Labor ministries are also expected to rise by 7.2 percent and 12.1 percent, respectively.

Public investments are expected to increase by 7.0 percent in 2004 to 9.25 billion euros, up from 8.6 billion this year.

The draft budget plan also aims to contain the general government's deficit to 1.2 percent of the country's Gross Domestic Product (GDP), to further reduce public debt, to maintain a growth environment and to support economic activity.

Mr Christodoulakis, in his introductory note to the parliament stressed that the 2004 budget integrated all strategic choices related with growth, productivity rise, unemployment reduction and a more fair distribution of wealth.

The budget's targets are feasible and necessary to create the preconditions needed to ensure the Greek economy's competitiveness.

Next year's public debt is forecast to fall to 98.5 percent of GDP from 101.7 percent in 2003, with state borrowing to focus on three-, five-, 10- and 20-year issues.

The budget also envisages a 2.661 billion euros rise in tax revenues in 2004 compared with the current year, with tax revenues expected to increase by 7.0 percent to 40.726 billion euros from 38.054 billion euros in 2003.

Net revenues are forecast to rise by 6.2 percent to 41.420 billion euros next year from 39 billion euros in 2003, reflecting a 6.0 percent increase in direct tax revenues and a 7.7 percent increase in indirect taxes, to 16.385 billion euros and 24.341 billion euros, respectively.

Next year's budget does not include any new taxes. On the contrary it embodies a provision to cut fuel taxes for farmers, a reduction in car registration duties and more favorable procedures to fund new businesses.

ND's Evert alleges major deviations from 2003 budget targets: Main opposition New Democracy MP Miltiades Evert, a former leader of his party, on Monday called on Finance Minister Nikos Christodoulakis to immediately commission a report on the implementation of the 2003 budget by economists specializing in public finances, to be prepared within two months.

According to Evert, there were major deviations from targets set in the 2003 budget and it was vital to obtain an objective picture of the situation.

Quoting figures, the MP said that net revenue for the regular state budget had only risen by 3.7 per cent instead of the budget target of 4.9 per cent. At the same time, primary spending had risen by 12.5 per cent in the last eight months instead of a projected 6 per cent, while spending for the Public Investments Program had gone up by 27.1 per cent instead of 25.3 per cent, Evert said.

Overall, Evert claimed that the state budget deficit for the first eight months of 2003 came to 7,222 million euros instead of an estimated 6,205 million euros for the whole of 2003.

Communist Party of Greece slams 2004 budget: The Communist Party of Greece said on Monday that the government's budget for 2004 would hurt the public while supporting big capital.

In a statement, the party called on young people and wage earners to oppose the package, which boosted large companies in the year that Athens would host the Olympics.

[02] DM in US this week for NATO meeting

WASHINGTON 07/10/2003 (ANA)

Papantoniou, a former national economy minister, will first deliver a keynote address on Tuesday at a Washington D.C. conference on the subject of Greek-American relations, an event organized by the Hellenic American Heritage Council.

Several other officials and dignitaries, including Athens’ ambassador to Washington and the US envoy in Greece, are also scheduled to speak at the conference.

Others speakers include ex-US secretary of defense William Cohen, US Sen. and former vice-presidential candidate Joe Lieberman (D-Conn.), as well as Athens 2004 Organizing Committee (ATHOC) Managing Director Yiannis Spanoudakis.

[03] Greece to ask US to correct report on terrorism listing N17 as active

Athens, 07/10/2003 (ANA)

Beglitis said that Athens wanted the report to record the true events that led to the arrest of 'N17'.

Nineteen people are currently on trial in Athens as alleged members of N17, while authorities believe that the leaders and main operatives of the group have been brought to justice.

US State Department spokesman comments on foreign terrorist groups and N17: US State Department spokesman Richard Boucher said on Monday at least two years are usually required from the last appearance of a terrorist group as an essential condition for an end to its activities to be decided with relative certainty and for it to be removed from the list of ''foreign terrorist groups'' prepared by the State Department every two years.

Boucher was commenting on a decision by US government officials to include the November 17 group in this year's list.

He pointed out that the trial of the N17 group is underway, while referring a questioner to the Greek government for a reply to his question on whether Athens made a demarche to Washington over the issue.

It is reminded that the last ''effective'' attack by N17 occurred in June, 2000, with the assassination of British military attache Steven Saunders and, therefore, more than three years have passed.

What is most probable, however, is that the operation in Piraeus in June, 2002, which was not completed due to the explosion of a bomb in the hands of Savvas Xiros, was the reason that the group was considered as continuing to be active over the past two years.

[04] Elections will take place in spring, PM says

Athens, 07/10/2003 (ANA)

He also stressed that they should explain to the Greek people the policy of the government, so that it may be understood. During the meeting issues concerning the better coordination and cooperation between government ministers and PASOK party deputies was also discussed.

''We agreed that from now on we need to intensify our efforts, so that the government's work may yield fruit and become better known to the Greek people,'' presidium Secretary Nikos Levogiannis said.

According to Levogiannis, Simitis also noted that the Parliamentary group of PASOK is operating very well, while the presidium requested the more active participation of deputies in meetings that take place in the country's regions.

[05] Communist party leader calls for social and political alliance in next election

Athens, 07/10/2003 (ANA)

Papariga said condemnation of the PASOK and New Democracy parties will change the political atmosphere in the country from the aspect of an alternative prospect.

She added that there is no place in such an alliance of social and political forces for forces expressing the interests of capital and the logic of incorporation.

The secretary general further said the alliance envisaged by KKE will be preceded by a nationwide agreement on policy positions, a type of ''new political map'', adding that participants will enjoy independence and participation will take place with those believing that there is value in cooperation with KKE.

[06] PM to chair cabinet meeting on IGC, PASOK National Council this week

Athens, 07/10/2003 (ANA)

On Tuesday at 10:00 the prime minister is to meet PASOK Central Committee Secretary Mihalis Chrysohoidis and at 11:30 he will visit the Manpower Employment Organization (OAED) Centre for Individualized Intervention.

On Wednesday at 10:00, Simitis will meet Environment Minister Vasso Papandreou and at noon he will receive Parliament President Apostolos Kaklamanis, while at 13:15 he will attend a UNICEF event at the Athens Concert Hall.

On Thursday at 10:00 the premier will chair a cabinet meeting focusing on the Intergovernmental Conference, while at 18:00 he is scheduled to speak at PASOK's National Council.

On Friday at 10:00, Simitis will visit the Nikea Olympic Weight-Lifting Centre.

According to Protopapas, the prime minister will visit a school for the blind in Kallithea on Monday next week and chair a government meeting on tourism the same day, while the following day he will chair a meeting of PASOK's Parliamentary group.

[07] Athens stresses concern over Mideast crisis, condemns hostilities

Athens, 07/10/2003 (ANA)

The spokesman also condemned the latest suicide bombing targeting an Israeli restaurant in Haifa, while describing a retaliatory air raid by Israel against targets in Syria as ''unacceptable''.

KKE, Synaspismos condemn Israeli strike in Syria: The Communist Party of Greece (KKE) and the Coalition of the Left (Synaspismos) on Monday both issued condemnations over the recent Israeli air attack against a camp north of Damascus, Syria.

“The attack and the bombing are an imperialist and crude terrorist action ... they express the standing will and decision on the part of Israel not to accept the creation of a Palestinian state,” the KKE announcement read.

Finally, KKE also criticized the Greek government and the main opposition for not condemning the attack.

Meanwhile, a Synaspismos spokesman said the Israeli government was using a deadly suicide attack in Haifa recently as an excuse and reason to act as a “state terrorist against the Palestinians and other neighboring countries.” He also referred to a “Bush dogma” of pre-emptive strikes.

[08] Interior minister meets Cyprus president

NICOSIA 07/10/2003 (ANA - G. Leonidas)

Emerging from the meeting, Skandalidis stressed the need for a "steady course" with regard to the Cyprus issue and intense, systematic effort to achieve a solution as quickly as possible.

He said that Papadopoulos appeared ready and determined to return to negotiations that aimed at Cyprus' reunification before May 1, 2004 and the island republic's formal accession to the EU.

Skandalidis also noted that Cyprus would have to meet the challenges that would arise from its EU accession, stressing that the country would have to adapt to difficult and complex obligations arising from EU membership but also "carve its own niche" within the Union.

Referring to the results of his visit and his talks with his Cypriot counterpart Andreas Christou, the Greek minister said he had been pleased by the "fertile and close" cooperation with Cypriot officials and pleasantly surprised to find Greece and Cyprus shared a "common approach on adapting to European structures and developmental considerations," during a seminar on local government organized by the Cypriot ministry.

He stressed the importance of preparing local government to be effective in applying for EU funds.

[09] FM Papandreou sends message to Cyprus president in light of Independence Day

Athens, 07/10/2003 (ANA)

''In light of the celebration of the 43rd anniversary of the independence of the Republic of Cyprus, I would like to convey to you our most warm wishes for prosperity and progress and to reassure you that Greece will not cease to walk on the same path with you in Cyprus' struggle for the victory of the principles of international law on the island,'' Papandreou said in his message.

He underlined that the common efforts for Cyprus accession to the European Union were successful, achieving one of the two national goals of Greece, adding ''we hope that this will contribute to the success of the other goal, which is the solution of the Cyprus problem and the reunification of the island''.

[10] Greek Parliamentary delegation visits Bucharest

BUCHAREST 07/10/2003 (ANA)

The seminar is entitled "From the Council of Europe to the European Union" and marks the 10th anniversary since Romania joined the CoE.

[11] Deputy FM refers to work of NGOs financed by the foreign ministry

Athens, 07/10/2003 (ANA)

One of the most important humanitarian activities being financed by the foreign ministry is the task of removing mines from the region of Nabatiya in southern Lebanon.

The non-governmental organization ''International Centre for the Removal of Mines'' is responsible for the work's course and progress.

Loverdos said Greece has been congratulated for supporting this work by UN Secretary General Kofi Annan, through the UN's special representative for southern Lebanon De Mistura, and Lebanese President Emile Lahud, in a letter to President Kostis Stephanopoulos.

In addition, this work was recently referred to in the UN secretary general's report on the Temporary Force in Lebanon (UNIFIL), which has been tabled and is being examined by the UN Security Council.

[12] ND deputy tables Parliament question over tank purchase contract

Athens, 07/10/2003 (ANA)

Achaia Prefecture MP Spilios Spiliotopoulos also charges that the contract – for the purchase of the “Leopard” 2HEL model – does not include related ordnance or spare parts.

Moreover, he cited recent local press reports claiming that a contract between two off-shore companies – German tank-maker IBOS and the Evanston Group Ltd. – foresees a 60-million-euro commission for the sale.

Finally, he demanded an investigation into the ownership of the latter firm and the possibility that criminal improprieties were committed.

[13] Gov't again rules out higher pay for striking public-sector workers

Athens, 07/10/2003 (ANA)

Noting that the strikes all concerned disputes over pay within the public sector, Protopapas said that the government had discussed the issue with the civil servants' union ADEDY and other trade unions involved and had arrived at final decisions on salary scales that fully exhausted the margins of what the economy could endure.

Noting additional burdens under the government's economic program for the coming year, such as 2.3 billion euros earmarked for the social package worth 2.3 billion euros, and significant increases in spending on other areas -such as in education - Protopapas explained that there was simply no leeway for higher pay rises.

"If we exceed these margins we will create more problems and our restraint is not so much about choice but about reality," he added.

He stressed that the government considered the demands of workers with "care, attention and responsibility".

[14] Main opposition calls for off-the-agenda debate on economy

Athens, 07/10/2003 (ANA)

According to Karamanlis, there has been a spectacular deterioration in basic economic indices, with public spending running at roughly double the initial targets and a "dangerous enlargement" of public debt.

ND's leader also spoke of problems in absorbing 3rd Community Support Framework (CSF) funds, rates of inflation almost double the eurozone average and high prices for basic goods that were driving one in five Greek families below the poverty line.

An off-the-agenda debate on the economy's performance within the framework of the EU has already been scheduled at the government's initiative for October 22.

[15] Government development bill ready for parliament

Athens, 07/10/2003 (ANA)

The bill contains a clause allowing companies to form a tax-exempt reserve from earnings for use in productive investments, Christodoulakis told parliament.

The reserve can be created from earnings between 2004 and 2008, totalling up to 35 percent of undistributed profits. The time limit for use of the reserve is three years from its creation.

In addition, the corporate tax bracket will be lowered to 25 percent from 35 percent for companies that make investments totalling more than 30 million euros, the minister said.

Other provisions of the bill include incentives for major investments and investments by firms with international operations; incentives to recruitment; investments in high technology products; and greater assistance for firms in regions lagging in development.

Finally, the bill also offers capital incentives to firms over five years old to help boost their growth, Christodoulakis said.

[16] Greek-Turkish trade to set new record this year

Athens, 07/10/2003 (ANA)

According to data released by Turkey's statistics agency, Greek exports to Turkey totalled 233.473 million US dollars in the January-August period (up 19.2 percent from the same period in 2002).

The same report said that Greek exports to Turkey accounted for 51.2 percent of imports in the first eight months of 2003, down from 69.2 percent last year.

Total volume of trade was 689.873 million dollars, up from 477.629 million last year, with analysts expecting that total trade transactions would surpass a previous record of 942.4 million US dollars set in 2000.

This year is also going to be a record year for the number of Greek tourists visiting Turkey. A total of 243,660 Greeks visited the neighboring country in the first eight months of the year, up 41.2 percent from the previous year.

[17] CESR seeks unified form of information bulletins in EU

Athens, 07/10/2003 (ANA)

CESR recently submitted its final recommendations on the issue with the European Commission, asking that every information bulletin issued in the European Union should ensure minimum information on all securities' activities and measures to promote transparency.

CESR also recommended that annual information to investors could be published in paper or in paperless form both by the issuing company or the regulatory authorities.

[18] Prosecutor orders inquiry in meat storage conditions at customs

Athens, 07/10/2003 (ANA)

The prosecutor ordered the Unified Foodstuffs Control Agency (EFET) to carry out extensive checks at customs houses and investigate whether there was any risk to public health.

[19] Professors and teachers rally in downtown Athens, demand pay hikes

Athens, 07/10/2003 (ANA)

Holding placards and shouting slogans, the teachers and professors of elementary, junior and senior high schools, universities and technical institutes gathered near the Athens University campus.

After listening to speeches by representatives of organizations, demonstrators marched to Syntagma square, while a delegation met with Education Minister Petros Efthymiou at the ministry and called on him to accept their economic demands.

The minister reiterated that the government has exhausted the limits of the budget, but underlined that expenditures for education will be increased this year.

University professors are demanding increases amounting to 20 percent for the next two years and the incorporation of their benefits in their main salaries and, consequently, in their pensions.

The government is giving seven percent this year and a political commitment for seven percent next year for university and technical institute professors and a total increase of 9.8 percent for teachers.

Meanwhile, kindergarden teachers ended their 24-hour strike on Monday with participation amounting to 60 percent, according to information by the education ministry, while the 48-hour strike called by professors, whose participation amounted to 47.5 percent on Monday, will end on Tuesday.

[20] Majority of Greek households pessimistic over their finances

Athens, 07/10/2003 (ANA)

The survey on Greek households showed that the Greek economy continued growing rapidly in the first half of 2003, with unemployment rates falling slightly and employment rising in the country. During the same period, however, inflationary pressures increased combined with a negative trend in the stock market, the survey stressed.

Greek households said that the cost of increased inflationary pressures was more significant compared with the benefits from a rapid economic growth and made consumers more gloomy over future prospects.

The percentage of Greek households that do not expect any significant change in their finances was unchanged compared with the previous year figure. Pessimism is stronger among pensioners, with around two-thirds of them expecting a worsening of their finances.

This pessimistic trends continues rising steadily in the last three years, with the percentage of pessimistic households rising from 34.5 percent in 2001 to 50.5 percent this year, mainly reflecting a negative impact of a high inflation rate in the country.

The survey also showed that the percentage of optimistic households fell significantly from 14.9 percent in 2001 to 13.2 percent this year, while uncertainty has fallen dramatically from 16.9 percent to 6.2 percent, over the same period.

The main source of pessimism is a rising cost of living in the country, particularly in the last three years after the introduction of the euro currency. The spread between the percentage of optimistic and pessimistic households forecasting inflation rises and falls, respectively, widened to -61.5 percent in 2003 from -49.1 percent in 2001.

Forecasts over the trend of disposable income were stable, with positive and negative opinions equally distributed in the survey, reversing a negative balance recorded in 2001.

On the other hand, the only strong factor of optimism is the prospect of finding new sources of income from labor and additional work, a development possibly connected with the fact that 2003 is a pre-election year.

This year's survey did not show significant changes with plans for consumer spending compared with 2002, reflecting stable economic fundamentals in the country.

ICAP's survey, however, showed that a gap was widening between those households expecting increased spending on food and those expecting a decline, or those expecting higher or lower spending on vacations.

A 10.7 percent of Greek households said they planned to buy real estate assets or durable consumer goods, a percentage slightly lower compared with the previous year's survey.

ICAP's survey focused on the urban area, with a sample of 600 households. The survey was conducted May 28-June 30, 2003.

[21] Greek tourism authorities defend ad campaign strategy

Athens, 07/10/2003 (ANA)

A GNTO announcement said that according to figures collected from foreign institutes in Germany, UK, Netherlands, France, Belgium from Greece, Spain, Turkey and Italy, showed that Greek total advertising investment by Greece, Spain, Turkey and Italy was distributed to 14.8 percent in the first quarter and 85.2 percent in the second quarter of 2003.

More analytically: - in Germany: Greece, Turkey, Spain and Italy spent 15 percent of the ad funds in the first quarter of the year and 85 percent in the second quarter (source: Der Spiegel/Marketing), - in the UK: Turkey and Italy refrained from the market in January, February and March and only Spain had advertising campaigns (source: Media Monitoring System), - in the Netherlands: Turkey and Italy refrained from the market in the first quarter, Spain spent 9.0 percent of its total ad campaign, while Greece, Turkey, Italy and Spain covered 91 percent of their ad campaign in the second quarter (source: BBC National Verkeersbureau), - in France: all four countries spent 8.0 percent of their ad accounts in the first quarter with the remaining 92 percent spent in the second quarter (source: Juin 2003 - vl Plurimedia), and

in Belgium: Spain, Turkey and Italy refrained from the market in January, February and March (source: RMG).

"These figures speak for themselves as they showed that during the war in Iraq no one was spending on advertisting campaigns," GNTO said.

[22] 'Target' T-shirt sales raise funds for breast cancer centre in Athens

Athens, 07/10/2003 (ANA)

The FTBC is sponsored in Greece by the Eureka group and has been operating since July 2001.

The money handed over on Monday will be used to fund the operation of a Prototype Centre for the Prevention of Breast Cancer in Ano Patissia.

The aim of the program, which will operate through the electoral roll, is to ensure free screening to pre-symptomatic Greek women that will reduce mortality through breast cancer and radically change the way the disease is dealt with.

The FTBC campaign was initiated in the early 1990s by Ralph Lauren and US fashion designer associations, becoming an international symbol of hope, while raising awareness of the disease.

[23] Greek consumers increasingly complain over product-services

Athens, 07/10/2003 (ANA)

A ministry report said that Greek consumers' complaints focused on slimming centers' services, home rentals, super markets and insurance companies.

[24] Football Pools Organization expands in Cyprus

Athens, 07/10/2003 (ANA)

OPAP has bought 90 percent of Glory Leisure Holdings Ltd for 16.0 million euros, the Greek firm said in a statement on Monday.

In addition, OPAP has acquired 20 percent of share capital in Glory Technology Ltd for 10 million euros, the statement said.

[25] Greek stocks end sharply higher on Monday

Athens, 07/10/2003 (ANA)

Buying interest focused in blue chip stocks like Alpha Bank, National Bank and Hellenic Telecommunications Organization.

The general index ended 1.94 percent higher at 2,130.54 points with turnover an improved 157.5 million euros.

All sector indices ended with gains of more than 1.0 percent. The Textile (8.26 percent), IT Solutions (6.47 percent) and Insurance (3.89 percent) sectors scored the biggest percentage gains of the day.

The FTSE/ASE 20 index for blue chip and heavy traded stocks rose 2.35 percent, the FTSE/ASE MID 40 index jumped 2.51 percent and the FTSE/ASE SmallCap 80 index soared 4.02 percent.

Broadly, advancers led decliners by 307 to 34 with another 20 issues unchanged.

Derivatives Market Close: Turnover at 147.3 mln euros Monday

Equity Index Futures: