Athens News Agency: Daily News Bulletin in English, 04-07-02

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

CONTENTS

[01] Greece beats Czech Republic 1-0, qualifies for final of Euro 2004

[02] PM Karamanlis briefs President Stephanopoulos on recent NATO, EU summits

[03] Foreign ministry: Greece encourages Cyprus reunification, will face problems jointly with Nicosia

[04] Barroso election to EU Commission helm seen as "positive" by Greece

[05] Reconciliation of Balkan peoples a condition for the region's security and economic growth

[06] Tadic election a 'message' of Serbia's unwavering course to EU, NATO

[07] Defense Minister holds talks with visiting Cypriot counterpart

[08] Education ministry-funded actions under investigation by Special Management Service

[09] Parliament speaker at The Hague for EU Parliament presidents' conference

[10] French FM Barnier due in Athens next week

[11] Bulgarian armed forces chief sees good prospects for Greek-Bulgarian cooperation in defense

[12] European Ombudsman has meeting with main opposition PASOK leader

[13] Ecumenical Patriarch inaugurates Orthodox church in Rome

[14] Indirect taxation the largest source of revenue for Greek government, Eurostat reports

[15] Finance ministry to hold tenders for firms to audit EU-funded projects

[16] National Bank says new investments necessary in electric power sector

[17] Agriculture minister meets Italian Ambassador to Greece

[18] Greece names new OECD ambassador

[19] Xafa appointed deputy executive director at IMF

[20] Athens Bourse Close: Stocks close lower as high cap shares slump

[21] Massive security system for Athens 2004 Olympics enters into effect

[22] Gala in Athens on Saturday evening on the Olympic Games

[23] House President calls on London to respect international law

[01] Greece beats Czech Republic 1-0, qualifies for final of Euro 2004

Athens, 2/7/2004 (ANA)

The match was played at Porto's Dragao Stadium.

Greece's goal came in the first half of extra time with the silver goal scored in the 105th minute by defender Traianos Dellas with a header from a corner with just seconds remaining in the first half.

It is the first time in its history that the Greek national team reaches a final in an international soccer tournament.

Prime Minister Costas Karamanlis in a statement congratulated the national team and its German coach Otto Rehhagel.

"Our team, the team of all Greeks, today made the dream come true. It showed that where there is faith, method and collective effort everything is feasible," he said, announcing at the same time that he will be present at the final in Lisbon.

Main opposition PASOK leader George Papandreou also made a statement, saying that "we will be at the side of our team in the big final."

Similar statements were made by government officials and other politicians.

[02] PM Karamanlis briefs President Stephanopoulos on recent NATO, EU summits

Athens, 2/7/2004 (ANA)

"The EU is determined to proceed at a quicker pace, following the agreement on the Union's new Constitutional Treaty," Karamanlis told reporters after the meeting.

With respect to the election of Portuguese prime minister Jose Manuel Durao Barroso as the new European Commission president -- to succeed Romano Prodi as of November 1 -- by EU leaders at an extraordinary summit on Tuesday, Karamanlis said Barroso is "deeply knowledgeable of the particularities of the European south and the problems of cohesion and convergence".

The premier further said that Greece was actively participating in European affairs, demanding and working for higher levels of security and prosperity for all the citizens.

Karamanlis also met separately with environment, town planning and public works minister George Souflias and with development minister Dimitris Sioufas.

Souflias made no comments to the press after the 90-minute meeting, but sources said he briefed the premier on the course of projects falling under the ministry's responsibility.

After his own meeting with the premier, Sioufas told reporters that the government was proceeding at a rapid pace with the implementation of the government program, tackling problems and formulating a new prospect for the country.

Asked to comment on reports of price increases in staple consumer goods, Sioufas said that "at this time, there are no increases".

He said the ministry was treating the entire issue "with exceptional care", adding that all the measures that were in force and those that would be announced in the next few days "will enable a satisfactory function of the market".

In this way, Sioufas added, Greece would at the same time be able to capitalize on the major event of the Olympic Games, proving in tandem that Greece is an inexpensive country.

Karamanlis was due to meet Friday morning with visiting European Ombudsman Nikiforos Diamantouros.

[03] Foreign ministry: Greece encourages Cyprus reunification, will face problems jointly with Nicosia

Athens, 2/7/2004 (ANA)

Referring to reports about the draft regulation being prepared by the European Commission, foreign ministry spokesman George Koumoutsakos pointed out that the ministry had not been officially notified as to its contents as yet.

He said the Greek side's position would be determined by its decision to encourage reunification based on the principle of compatibility with the legal framework and decisions of a legal nature that govern relations between the Cyprus Republic and the EU and the resolutions of the United Nations.

Koumoutsakos said that both sides desired reunification based on the plan of United Nations Secretary-General Kofi Annan but stressed that demands made by the illegal Turkish-Cypriot regime for the recognition of the occupied territories in the north by the EU were legally impossible, both on the level of primary law and on the level of political decisions.

"Reunification and recognition are two incompatible meanings," he added.

[04] Barroso election to EU Commission helm seen as "positive" by Greece

Athens, 2/7/2004 (ANA)

The president of the European Commission "is the guardian of the interests and lawful order of the European Union, must (find) compromise of (conflicting) views, and represent the Union in its entirety", Greek foreign ministry spokesman George Koumoutsakos told a regular press briefing.

"The fact that Mr. Barroso comes from a medium-size country, such as Greece, and from a country of the European south, such as Greece, with knowledge of and sensitivity to the structural, cohesion and Common Agricultural Policy (CAP) problems, which are also of concern to Greece, is very positive," Koumoutsakos said.

He further noted the friendly relations between Barroso and Greek prime minister Costas Karamanlis, adding, however, that "there is always the framework of the role and authorities of the present of the European Commission".

[05] Reconciliation of Balkan peoples a condition for the region's security and economic growth

SOFIA 2/7/2004 (ANA/B.Borisov)

Michaloliakos told ANA that this was the chief message he addressed, on behalf of the Greek government, to an international conference on the prospects for expanding the trade and investments created in SE Europe by the recent expansion of NATO with seven new member countries, which opened in Sofia on Thursday.

The forum, organized by the American, Greek-American and Bulgarian-American Chambers of Commerce and Industry, is being attended by political authorities and high-ranking officials from Bulgaria, Greece, Romania, FYROM and Turkey, as well as administrative officials of US and European companies specializing in defense equipment, including the US-based Lockheed, Northrop and Raytheon, and the Greek-based Intracom.

Greece has every reason to be happy with the recent entry of Bulgaria and Romania since, as a NATO member state, it had from the outset warmly and determinedly supported the balanced expansion of the Alliance also towards SE Europe, Michaloliakos told the conference.

"We fully support the 'open doors' policy adopted by the North Atlantic Alliance in Prague, which Greece is actively backing and promoting," he said, adding that Greece endorsed a process of continuous expansion.

"We accept that every country has the right to freely choose its alliances, in accordance with the fundamental principles of international law. We support the accession of those countries that want, and are in a position, to contribute to a safe and stable Europe, without exclusions, because we believe that, with the creation of a single Security Organization, the last remnants of bipolarity will be formally lifted," he said.

Michaloliakos said the membership of Balkan countries in NATO and their anticipated European integration created the conditions necessary for balanced growth and stability, which was to the benefit of all the countries of the region.

He called on the government's of the countries of the region to proceed with the structural changes that would enable the unobstructed inflow of foreign investments. "Bureaucracy, corruption, interventionism on the free market, excessive taxation serve as a brake to progress and growth," the Greek official warned, adding that the time had come for the Balkan countries to once and for all put aside their prejudices and inhibitions of the past, to overcome the "chauvinistic obstinacies, pointless arguments, the intolerance of fanatics, and the irrational and groundless positions and demands that create or nurture tension".

"The new government of Greece, although it believes that it is necessary for more steps to be made in that direction, nevertheless recognizes the progress that has been achieved to date in the friendly neighbor countries and the momentum presented by all the economies of the region. For these reasons, it unreservedly encourages the Greek businessmen to invest in the wider region, thus contributing further to the cooperation and mutual understanding among our peoples," Michaloliakos said.

He said that this Greek position had been embraced, and that was why the Greek investments in the region of SE Europe were especially significant and presented a dynamic that guaranteed their continuation and steady upward course.

[06] Tadic election a 'message' of Serbia's unwavering course to EU, NATO

Athens, 2/7/2004 (ANA)

The Greek government assesses the election of Boris Tadic to the presidency of Serbia as "a strong message that the country's course towards the goal of integration into Europe and the 'Partnership for Peace" program will be firm and unwavering", Koumoutsakos told a regular press briefing.

Greece, he added, will assist in the efforts for accelerating the necessary reforms in the direction of further reinforcement of the democratic institution and economic development in Serbia, as well as the strengthening of regional cooperation "with the ultimate, but not distant, goal of the country's (Serbia's) incorporation into the North Atlantic institutions".

He clarified that the Greek government's support would be forthcoming within the framework set out by the European Union and NATO.

The newly-elected Tadic, a former defense minister, is expected to formally take office next week.

[07] Defense Minister holds talks with visiting Cypriot counterpart

Athens, 2/7/2004 (ANA)

A defense ministry announcement said the meeting took place in "a climate of close defense cooperation that characterizes relations between Athens and Nicosia".

Mavronikolas used the occasion to extend an invitation to Spiliotopoulos to carry out an official visit to Cyprus, which was warmly accepted.

The two ministers then paid a visit to President of the Republic Kostis Stephanopoulos at the presidential mansion and afterward attended a dinner given by the Greek defense minister in honor of his visiting Cypriot counterpart.

[08] Education ministry-funded actions under investigation by Special Management Service

Athens, 2/7/2004 (ANA)

The investigation had so far revealed signs of irregularities in a number of projects, while funding for some has been frozen so that on-the-spot inspections can be carried out.

According to the announcement, Education Minister Marietta Yiannakou has already approved the hiring of additional staff for the service and has said that the entire process aims to ensure transparency and protect the public interest with respect to funds spent on education.

[09] Parliament speaker at The Hague for EU Parliament presidents' conference

Athens, 2/7/2004 (ANA)

The conference is due to begin on Friday, one day after the Netherlands take over the rotating EU presidency, and will end on Saturday.

[10] French FM Barnier due in Athens next week

Athens, 2/7/2004 (ANA)

The spokesman, George Koumoutsakos, said that, while in Athens, Barnier would hold talks with prime minister Costas Karamanlis and foreign minister Petros Molyviatis.

[11] Bulgarian armed forces chief sees good prospects for Greek-Bulgarian cooperation in defense

Athens, 2/7/2004 (ANA)

"We hope our Greek partners, who have great experience in the defense industry, will find their place in the process for the modernization of the Bulgarian army, in cooperation with Bulgarian and foreign defense industries," he said.

He also noted that Greek organizations were already quite knowledgeable on the capability of Bulgaria's defense industry in the areas of assembly, light weaponry and ammunition, electronics, telecommunications and radar and in the production of mobile artillery systems and guided missiles for the needs of the land army.

"There are very extensive margins for cooperation but making use of these depends on the initiatives undertaken by the leadership of specialist firms in both countries. We, as military leadership, confront the development of regional cooperation with great seriousness and responsibility, since it has far-reaching results and consequences, both in terms of developing traditional ties of friendship between peoples and the armed forces but also for economic development, the application of new technologies and in creating new jobs," he said.

The forum, organized by the American, Greek-American and Bulgarian-American Chambers of Commerce and Industry, is being attended by political authorities and high-ranking officials from Bulgaria, Greece, Romania, Former Yugoslav Republic of Macedonia (FYROM) and Turkey, as well as administrative officials of US and European companies specializing in defense equipment, including the US-based Lockheed, Northrop and Raytheon, and the Greek-based Intracom.

[12] European Ombudsman has meeting with main opposition PASOK leader

Athens, 2/7/2004 (ANA)

After the meeting, Papandreou said it was an honor for Greece that Diamantouros occupied the post of European Ombudsman and that he was helping it emerge as an important institution for European citizens, who were being informed of their rights that were constantly increasing and which supported the society of citizens.

He said it was vital for PASOK to support this institution.

Diamantouros said that he had begun a campaign to inform the 25 EU member-states on the role of the European Ombudsman that will be completed in September.

Greece is the 23rd country that he has visited and is his first official visit to the country since his election.

On Thursday afternoon, Diamantouros is due to meet President of the Republic Kostis Stephanopoulos, while on Friday he is to meet Prime Minister Costas Karamanlis.

European Ombudsman underlines importance of the institution: European ombudsman Nikiforos Diamantouros, speaking at a press conference on Thursday, underlined the importance of the institution as a mechanism for serving the citizen and promoting a state of law.

According to data contained in the European Ombudsman's annual report, in the year 2003 he received a total of 2,436 reports. However, according to Diamantouros, 70 percent of reports submitted every year do not fall under his jurisdiction, since they should have been forwarded first to the citizen's national ombudsman who exists in every European country.

Out of all reports forwarded to the European Ombudsman, the highest percentage (67-75 percent) concern the European Com-mission, followed by the European Parliament, the European Union's Council and the European Communities Staff Selection Service.

The average time required to handle cases brought before the European Ombudsman is six to eight months, while the percentage of settlement is in the region of 95-96.

Diamantouros also addressed an in camera event organized by the Greek Foundation of European and Foreign Policy (ELIAMEP), once again stressing the significance of the institution of European Ombudsman in the direction of creating a smooth and effective European public administration to better serve the European citizen.

[13] Ecumenical Patriarch inaugurates Orthodox church in Rome

ROME 2/7/2004 (ANA/L. Hatzikyriakos)

The Ecumenical patriarch is currently on an official visit to the Vatican.

Present at the service, among others, were Greek Ambassador in Italy An. Mitsialis, Ambassador of the Holy Seat Ch. Botzios and Metropolitan Gennadios.

The church was offered by the Pope to the Orthodox and constitutes yet another example of the good relations between the Fanar and the Vatican.

[14] Indirect taxation the largest source of revenue for Greek government, Eurostat reports

Athens, 2/7/2004 (ANA)

Based on figures for 2002, the report said that indirect taxation accounted for 40.5 per cent of total taxes levied, while direct taxation represented just 26.9 per cent of the total and insurance contributions accounted for 32.5 per cent.

By contrast, the averages among the 25 EU member-states were 34.8 per cent for indirect taxation, 33.1 per cent for direct taxes and 32.1 per cent for insurance contributions.

In spite of this, rates of indirect taxation on consumption and capital were actually lower in Greece than the EU average. Indirect taxation on consumption in Greece was 18.1 per cent, compared to 19.5 per cent average among the 25 EU member-states, indirect taxation on capital was 18.1 per cent compared to 28.4 per cent among the EU '25', while indirect taxation on work was marginally higher at 37.8 per cent, compared to 36.3 per cent among the EU '25'.

The total tax burden in Greece was reduced from 37 per cent of GDP in 2001 to 36.2 per cent of GDP in 2002. Among the 25 EU member-states, the tax burden was reduced from 41.1 per cent on average to 40.4 per cent while among the 15 EU member-states before enlargement the tax burden fell from 41.2 per cent of GDP on average to 40.5 per cent.

Within the EU, the total tax burden in 2002 was highest in Sweden at 50.6 per cent of GDP, Denmark with 48.9 per cent of GDP and Belgium with 46.6 per cent of GDP. The tax burden was lowest in Ireland at just 28.6 per cent of GDP, Lithuania at 26.8 per cent of GDP, Latvia and Malta with 31.3 per cent of GDP and Cyprus with 32.5 per cent of GDP.

[15] Finance ministry to hold tenders for firms to audit EU-funded projects

Athens, 2/7/2004 (ANA)

The tenders are expected to begin in September and the winning bid will be announced by the end of the year, while the total budget comes to 24.25 million euros.

Folias said the government remained steadfast regarding its targets for quality, transparency and efficiency.

[16] National Bank says new investments necessary in electric power sector

Athens, 2/7/2004 (ANA)

An analysis by the National Bank says the rate of increase in the consumption of electric power considerably outstrips the rate of GDP increase over the past five years (increasing annually by an average of 4.8 percent compared to 3.7 which is the annual GDP increase), making Greece one of the fastest developing electric power markets in the eurozone, a reasonable development given the high growth rate of the Greek economy.

The per capita consumption of electric power in the country is one of the two lowest among eurozone countries, indicating that demand will continue to increase at a speedy pace.

Demand will continue to increase in the years to come at a rate of more than double the eurozone's average due to higher growth rates expected in the Greek economy and to the considerably lower per capita consumption of electric power.

[17] Agriculture minister meets Italian Ambassador to Greece

Athens, 2/7/2004 (ANA)

Tsitouridis said they also discussed the course of negotiations within the framework of the World Trade Organization (WTO), where he ascertained the common interest of both countries to promote issues appertaining to Europe and CAP in particular within a framework of mutual understanding.

The Italian ambassador praised the high levels of cooperation between Greece and Italy in agricultural policy issues over the past 20 years, particularly regarding the support of Mediterranean products with emphasis on wine, olive oil and tobacco.

[18] Greece names new OECD ambassador

Athens, 2/7/2004 (ANA)

Kourakis is a professor of economics and a board member of Brasenose College in Oxford, UK. He is a member of the teaching staff in Oxford University since 1971.

He was served as a consultant with the Bank of Greece, and a member of the Interest Rates Commission.

Kourakis will replace Evaggelos Kribas at the Paris-based organization.

[19] Xafa appointed deputy executive director at IMF

Athens, 2/7/2004 (ANA)

Mrs Xafa was born in Athens and studied economics at the American College of Greece and the University of Pennsylvania in the US. She has worked at the IMF again in the past (1980-1990), initially at the European department and later at the Policy Development and Review department where she focused on planning and monitoring of stability programs in the Latin America.

She served as head of the Prime Minister's economic team from 1991 to 1993 and later as an analyst for Salomon Brothers in London and Athens.

She was currently working as a management consultant in Piraeus Bank.

[20] Athens Bourse Close: Stocks close lower as high cap shares slump

Athens, 2/7/2004 (ANA)

The Athens general share index closed at 2,337.03 points, showing a 0.52 per cent decrease. Turnover was 89.7 million euros.

The FTSE/ASE-20 index for high capitalization shares ended 0.73 per cent down; the FTSE/ASE-40 for medium cap stocks closed 0.21 per cent up; and the FTSE/ASE-80 for small cap shares finished 0.32 per cent higher.

Of stocks traded, declines led advances at 157 to 129 with 71 remaining unchanged.

[21] Massive security system for Athens 2004 Olympics enters into effect

Athens, 2/7/2004 (ANA)

"For the Greek police and other security forces, the Olympic period begins today," public order minister George Voulgarakis said during an early-morning visit to central Omonoia Square, pointing to the seriousness with which the Greek government was facing the immense challenge of the Olympic Games, the first Games to be held after the September 11, 2001 terrorist attacks in the US.

Under the unprecedented security umbrella put in place by Greece for the Games, full-scale policing of Olympics areas went into effect on Thursday, together with the policing plan for the urban regions that includes increased patrols of squares, transport sites (stations, ports and airports) and other sites where large numbers of individuals circulate.

Regular patrols are being carried out by uniformed police officers as well as plainclothesmen, while teams of bomb disposal experts with specially-trained sniffer dogs.

After an inspection and discussions with the patrolling police officers, Voulgarakis said: "Today is a very important day for the police but also for all the forces that have undertaken the difficult task of Olympics security. The implementation of the operational planning we have so systematically drawn up over the last few years and throughout this period essentially begins today."

The minister said that, as of Thursday, the security personnel were gradually taking up their positions "by name and in accordance with the plan", while the positioning of all the personnel at the installations was due for completion by mid-July.

Voulgarakis thanked all the personnel "contributing to this titanic effort" and called for the citizens' understanding and support.

The minister was scheduled to give a press conference to the Greek and foreign media in mid-July to brief them on progress in the "security lock-down" of the Olympics installations, and what remained to be done.

Olympics security matters were also high on the agenda of talks Voulgarakis was scheduled to hold later Thursday with NATO SACEUR (Supreme Allied Commander) for Europe Gen. James L. Jones of the US Marine Corps.

Olympic Games security exercise to take place on Monday: An Olympic Games security exercise codenamed "Poseidonos Triaina", organized by the Olympic Games Security Department, will take place on Monday.

The exercise will be carried out in the port of Piraeus and in no way will it be interfering with citizens' daily lives.

It will be conducted in a simulated Olympic Games environment and will include multiple regular operations by the special forces of the Greek police and the harbor corps, with the support of the armed forces and the participation of the Fire Brigade, the National Emergency Centre and the Piraeus Harbor Authority.

The purpose of the exercise is to promote the performance of special forces, as well as cooperation and coordination under a unified command in tackling a crucial incident.

Gov't spokesman on Olympic security measures: "The constitution and the laws of the land ensure civil rights" was the response given by the government spokesman on Thursday when asked about the special security measures implemented, as of July 1, ahead of the 2004 Olympic Games of Athens.

Government spokesman Theodoris Roussopoulos again emphasized that security for the Games is a priority, "we have spent a great deal of money for it (security)," he added.

Finally, he said all the measures will cease after the end of the Olympic and Paralympic Games.

[22] Gala in Athens on Saturday evening on the Olympic Games

Athens, 2/7/2004 (ANA)

The host of the evening will be singer Vicky Leandros who in cooperation with the first and second German channels has already made eight mini documentaries in the roads of Athens aimed at foreigners becoming acquainted with the Greek capital and to ascertain how much the city has changed for the better and has become a modern European city.

During the gala, Greek and foreign singers will send the message of the Olympic Games throughout the world.

[23] House President calls on London to respect international law

LARNACA 2/7/2004 (CNA/ANA)

His comments come as British Foreign Secretary Jack Straw prepared to meet later Thursday in London Turkish Cypriot party leader Mehmet Ali Talat, the self-styled prime minister in occupied Cyprus.

''We do not oppose meetings between Talat or other party leaders with officials interested in a Cyprus settlement and Britain is one of the key players in the question of Cyprus in general, but such meetings and any talks on the matter must respect international law and order,'' Christofias said.

He added it was obvious that Britain and the US had undertaken a campaign to upgrade the status of the illegal Turkish Cypriot regime.

At the same time, he noted that London had said the Talat-Straw meeting was one with a Turkish Cypriot politician. ''In reality, London would have wished it to be different,'' Christofias remarked.

Speaking on departure for The Hague to attend a meeting of parliamentary speakers of European Union members, Christofias, who is also General Secretary of the leftwing AKEL party, dismissed suggestions that there are conflicting views between Cyprus President Tassos Papadopoulos and Minister of Interior Andreas Christou, who comes from AKEL, on granting Cypriot nationality to children who have one Turkish Cypriot parent and one alien parent (Turkish settler).

Responding to questions, he said if anybody had any complaints about the granting of Cypriot nationality to children with one Turkish Cypriot and one alien (Turkish settler) parents they could address their complain either to the Cabinet or the National Council (top advisory body to the president).

He said that it was an exaggeration to claim that masses of applications for citizenship had been approved.

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