Athens News Agency: Daily News Bulletin in English, 06-12-22

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

CONTENTS

[01] Parliament approves 2007 state budget, PM Karamanlis terms it vote of confidence for reforms

[02] PASOK leader terms 2007 budget 'last' of ruling party

[03] KKE SG Papariga accuses ND and PASOK of 'an anti-popular alliance'

[04] SYN leader Alavanos focuses his speech in Parliament on education

[05] Roussopoulos addresses Parliament on 2007 state budget

[06] Interior Minister Pavlopoulos tells Parliament 'government has done substantial work'

[07] 2007 budget to 'crush' middle classes, PASOK's Arsenis predicts

[08] Athens comments on COREPER decision for EU-Turkey relations

[09] Koumoutsakos on Gul's visit

[10] Koumoutsakos on the Burgas-Alexandroupolis pipeline

[11] Koumoutsakos on Blair's statements in Turkey

[12] Koumoutsakos on the Holocaust conference in Tehran

[13] Greece seeking clarifications on incident at Brussels airport

[14] Deputy finance minister holds talks with Chinese officials in Athens

[15] Justice minister stresses modernisation of Greece's prison system

[16] New director for EU Commission representation in Athens

[17] Athens Bar Association comments on report by committee for the prevention of torture

[18] Tutors, students gather outside Parliament to protest revision of Article 16

[19] Archbishop Christodoulos sends congratulations to Patriarchs of Romania, Bulgaria

[20] Finmin gives parl't stability plan

[21] Gov't welcomes inflation decline

[22] Kefaloyiannis defends port privatisation measures in Parliament

[23] State natgas firm to get more business

[24] Government welcomes arbitration court decision for OA

[25] Redundancy support at fertilizer plant

[26] Aktor, Athena build waste plant in Romania

[27] Athens Bourse Close: Stocks rise

[28] Strong earth tremor registered off Skopelos island

[29] Mass exodus for Christmas period has begun

[30] Culture Minister visits "Ark of the World" in Kolonos

[31] Transport Minister Liapis inaugurates UNICEF's Christmas events

[32] 'Clay and Colour' exhibition at Byzantine and Christian Museum

[33] New SAE president sends holiday message to Greeks abroad

[34] Pensions paid with counterfeit banknotes

[35] Under-35's account for most e-purchases in Greece, survey finds

[36] Iakovos Yosakis to be released on bail

[37] Prosecutor orders the release of three Mount Athos monks

[38] Light snow in northern Greece

[39] Group claims responsibility for arson attacks in Attica

[40] Weather Forecast: Temperatures down on Friday

[41] Greek press review

[42] Papadopoulos:EU 25 to open or close Turkey's negotiating chapters

[01] Parliament approves 2007 state budget, PM Karamanlis terms it vote of confidence for reforms

Prime Minister Costas Karamanlis termed on Thursday night the voting of the 2007 state budget as a vote of confidence for the continuation of reforms in all sectors, adding that elections were a "serious matter".

Addressing Parliament, during the debate on the 2007 state budget just before the vote took place, Karamanlis said that "I understood that even with minced words, you are calling for elections," directing himself to main opposition Panhellenic Socialist Movement (PASOK) leader George Papandreou.

"I would be tempted to answer with a saying which says: Be careful when you advance demands, because sometimes they become acceptable," Karamanlis said.

Commenting on Papandreou's speech earlier on, the prime minister expressed his disappointment because, instead of proposals he heard "insults, outcries and voices of tension and division, which in essence prove poverty of substance and weaknesss of political discourse." The citizens' interest and the quality of public life "are not promoted, neither with aphorisms, neither with extremities, neither with insults, neither of course with building walls of division, which you are attempting to erect," Karamanlis said.

Replying to Papandreou, the prime minister said:"The elections and the institutions are a very serious matter. You can play. I do not play. We have work to do, we have work to advance. The elections will be held at their own time, when we complete this work. And then, really, we will tell the citizens: Judge us by our work and by this they will judge us. However, they will also judge you. And then you will receive the answer you fit."

Karamanlis, who termed 2007 "a year of continuity of reforms, but also a year of preparation for the major institutional reforms, which will follow the 2008 elections," called for Parliament's positive vote "in order for us to continue the cleansing of the economy and to rid the country from the problems and the pathologies, which held it stuck to yesterday, fearful in front of the new. I ask for a vote of continuity of reforms in all sectors, the economy, the structures of the state and the broader public sector, higher public education, health and the environment. I call for a vote of confidence to the road of the future and of responsibility."

The prime minister said that the 2007 budget depicted clearly the way the government was achieving its difficult targets for the reduction of the deficit, the slowing down of the public debt, a growth having at its centre man, and for an economy of opportunities. The budget, he said, "is an example of mild fiscal adjustment and a foundation of a new momentum for development. It is based on realistic forecasts on incomes as well as expenditures. It means credibility, consistency, effectiveness."

"The reform strategy which we are implementing, already yields the first results. The rate of growth has reached 4.4 per cent while the fiscal deficit has decreased by 4 per cent limiting itself to under 3 per cent. Investments are beginning to return to Greece, as the latest EU Commission report notes," the prime minister said.

He said his government opted for dialogue in implementing reformes. "There were cases where we exhausted all time margins. But this cannot go on indefinitely," Karamanlis underlined.

Provisions of the budget

According to the 2007 state budget, the growth rate of the Greek economy is anticipated at approximately 3.8 percent, spurred chiefly by investments. A 6.5 percent increase is also forecast in exports of goods and services while, on the negative side, a 7.0 percent increase is forecast in imports.

The main targets of the 2007 budget are boosting development and gradual reduction of the state deficit, while measures are provided for boosting the growth potential, consolidating the climate of fiscal discipline and stability in the economy, increasing the economy's outwardness, and strengthening social cohesion.

The budget further advances reform in the taxation of natural entitites, while the dialogue between the social partners will also be continued on reforming the country's social insurance system.

The draft budget provides tax reliefs for natural entities, and also foresees an improvement of the existing taxation environment for legal entities with the gradual reduction (by 2008) of the tax rate on corprorate profits, as well as steps to stem tax evasion, corruption, the black economy and smuggling.

Total net revenues will increase by 6.2 per cent compared to 2006. According to this foercast, revenues will be at 25.4 per cent of GDP compared to 25.6 and 24.8 perc netb in 2006 and 2005 respectively.

The central government's deficit will decrease to 4.3 of the GDP.

Revenues from direct taxes are anticipated at 19.450 billion euros, up by 4.8 percent in relation to 2006, while revenues from indirect taxes are anticipated at 28.580 billion euros, up by 8.8 percent over the corresponding revenues in 2006.

A substantial increase of 10.0 percent is further anticipated in revenues from Value Added Tax (VAT), estimated to reach 17.435 billion euros.

Regular budget spending (excluding interest payments) are projected to ease to 25.6 pct of GDP next year from 25.9 pct in 2006, with spending on supporting weaker economically classes totalling 1.2 billion euros.

Expenditure for salaries and pensions will account for 48 percent of the primary expenditure, whereas expenditure for insurance and healthcare will account for 22 percent of the overall primary expenditure.

The Public Investment Programme is forecast to reach 8.75 billion euros next year, of which 6.35 billion euros for projects co-funded with the EU and the remaining 2.4 billion for projects exclusively funded by national money.

Finally, it is anticipated that strong economic activity will boost employment, thus containing the unemployment rate at 8.2 percent.

[02] PASOK leader terms 2007 budget 'last' of ruling party

"It is the last budget tabled by the ND," Papandreou said during the debate on the 2007 state budget.

Papandreou termed as "completely untrustworthy" the depictment of public finances in the draft budget. "You transfer pending expenditures with interest, you eliminate the hospitals' debts, you fabricate the data on unemployment, you find excuses to wipe out jobless from the registration forms," Papandreou added.

He said that the reforms proposed by the government were "in essence clientele arrangements," asking Prime Minister Costas Karamanlis "to name just one reform that has profited the citizens, that has improved their standard of living, that has benefitted the country."

Papandreou also accused the government of "a revival of pockets of parastate conceptions within the police force."

The PASOK leader committed himself on four governmental measures, promising, when in power, to "govern with sincerity and transparency without shadows and dependencies."

The committments concern, as he said, equality of taxation between dividends and salaries, transparency in the distribution of funds, the maintenance of the public sector's strategic role in the Hellenic Telecommunications Organisation (OTE) and the Public Power Corporation (DEH).

He also promised a 5 per cent of the GDP for education, a one per cent for research and innovation and 5 per cent for public investments.

FinMin response

Responding to Papandreou, Finance Minister George Alogoskoufis said that citizens "have memory, they remember who has created the enormous debts and the great economic and social problems of the country."

[03] KKE SG Papariga accuses ND and PASOK of 'an anti-popular alliance'

"Both the ND government and that of PASOK in the past have the same logic for anti-popular laws and the only difference between them is the time conjuction. The bus in essence is moving in the same direction," Papariga said during the debate in Parliament on the 2007 state budget.

She also spoke of an "anti-popular class budget," adding that "as long as economic policy remains in this axis, in no way can it move in a pro-popular orbit or produce a pro-popular dividend."

The KKE leader further spoke about Article 16 of the Constitution, arguing that "the objective is the privatisation of higher education."

She went on to say:"If only there were three parties and have a class difference. We will not become a crutch of any party. Neither of the ND in order for PASOK not to return, neither of PASOK for ND to leave."

[04] SYN leader Alavanos focuses his speech in Parliament on education

"For the New Democracy government, the youth constitute a fiscal difficulty. For Synaspismos, they are a source of great fiscal and social wealth," Alavanos stressed.

He also made particular reference to Article 16 of the Constitution, noting:"We have the least funds for education in relation to other countries of the European Union. The apotheosis of the government's policy are its positions for universities where we see black crows over the body of the public university."

[05] Roussopoulos addresses Parliament on 2007 state budget

Speaking during the debate in Parliament on the 2007 state budget, Roussopoulos said that the budget "marks the passing of the economy into a period of countable economic reality."

[06] Interior Minister Pavlopoulos tells Parliament 'government has done substantial work'

"All the sectors, which in the past years were stable in the first positions of the 'black list' on the part of the citizens' judgements, are henceforth classed by the citizens themselves as positive points and results in the implementation of the government's policy and definitely in those sectors which present fewer problems for them," the interior minister said.

Pavlopoulos gave emphasis to the functioning of the Centres for the Service of Citizens (KEP) "which are gradually being transformed into Centres of Integrated Transactions."

[07] 2007 budget to 'crush' middle classes, PASOK's Arsenis predicts

"Economic and social development is never achieved with a hibernating middle class," he added.

The MP and former PASOK minister emphasised the differential treatment of income from salaried employment and income generated by profits from capital, pointing out that tax paid by private individuals in the last year had increased 6.8% to reach 620 million euros, whereas businesses paid just 120 million euros or 2.7% more. At the same time, GDP had risen by 7.1% and state spending by 6.2%, while income tax by only 4% and indirect taxes, which most heavily burdened those on low incomes, by 8.8 %.

[08] Athens comments on COREPER decision for EU-Turkey relations

Commenting on COREPER's decision on Wednesday, Koumou-tsakos confirmed that the initial idea was to open four chapters in the first phase, to be followed by another three.

Emphasising the pivotal role played by Greece's representative on the Council of Permanent Representatives, the spokesman said that the arguments made at COREPER had stressed that the EU's handling of Turkey's accession bid should not lead to either direct or indirect conclusions that the clear message given by the EU General Affairs Council on December 11 might be modified or weakened.

Regarding the Cyprus issue, Koumoutsakos said that a specific process agreed by the two sides involved was underway.

"We hope that this process will progress and produce results, so as to prepare in the best possible way the possible start of a full negotiation process for resolving the issue," he added.

The spokesman also stated that Greece will support the German presidency of the EU in its basic priorities and especially on that of the European Constitution.

[09] Koumoutsakos on Gul's visit

Koumoutsakos responded negatively to the question on whether he has received a letter by the so-called "Advisory Committee" of the Muslim minority in northern Greece, in view of the planned "pseudo-mufti election", adding that the minority has legally recognized religious leaders who exercise their religious and judicial duties.

"The handling of the Greek minority's rights by Greece is known and clear and I don't think that it is an issue in bilateral relations with Turkey", he added, referring to the mufti issue.

Responding to a question on the likelihood of a visit by Turkish Foreign Minister Abdullah Gul to the region, given the fact that this "election" will be held in the meantime, he stated that the fact that there is no skepticism and concern on behalf of the Greek State in case of foreign visitors to any region of the country is still another way to attest that the Muslim minority, its present and future, is not a bilateral relations issue with any other state.

[10] Koumoutsakos on the Burgas-Alexandroupolis pipeline

Development Minister Dimitris Sioufas said on Wednesday that Greece, Russia and Bulgaria are nearer to agreement on a final pact for the construction of a pipeline to carry Russian oil to Greece through Bulgaria.

[11] Koumoutsakos on Blair's statements in Turkey

Koumoutsakos added that the progress on the Cyprus issue is made within the framework of the UN based on the relevant Security Council resolutions which are in effect and Great Britain, as a permanent member of the Security Council, has contributed toward reaching them.

Bakoyannis had stressed that the EU leaders took a joint decision regarding Turkey that was binding for all EU member-states responding to statements made by Blair during his visit to Ankara last week calling for the immediate opening of new chapters in the accession talks with Turkey.

During a press conference held in Ankara, the British prime minister had called on Ankara to open its ports and airports to ships and planes from Cyprus but also urged the EU to "end the isolation of northern Cyprus".

[12] Koumoutsakos on the Holocaust conference in Tehran

Koumoutsakos stated that the conference aimed at creating doubts over the Holocaust issue and added that the Greek parliament has passed a law declaring January 27 as Holocaust Day, while Greece has participated in the UN Security Council decisions and resolutions reached on the issue.

[13] Greece seeking clarifications on incident at Brussels airport

The incident occurred on Wednesday, when the Piraeus Prefect complained about the delay of a flight and the loss of luggage. He was then accosted by Belgian police, who detained him and hand-cuffed him for one-and-a-half hours. All the members of the Greek delegation and the Greek MEPs travelling with them were also held.

Koumoutsakos said that Greek diplomatic services had mobilised immediately and demanded to be fully briefed on the incident by Belgian authorities, so that they might lodge the appropriate protests, he added.

"Foreign Minister Dora Bakoyannis spoke with Mrs. Gennimata, there was a meeting at the Belgian foreign ministry between ministry staff and a full briefing on the incident was requested. With a clear picture, we will make any protest that is called for," he added.

[14] Deputy finance minister holds talks with Chinese officials in Athens

The two sides also discussed the organisation of a major international conference in Beijing on the contribution of ancient Greek and ancient Chinese philosophy to modern thought.

The minister said that the visit, in additional economic issues, had also covered educational and cultural exchanges to take place before the 2008 Olympic Games in Beijing.

[15] Justice minister stresses modernisation of Greece's prison system

Starting from the improvement of Justice, Papaligouras underlined that "the government helped politically and morally the Justice's leadership in its duty to eliminate the last stain from the corps of honest judges," stressing that the procedure will continue until this target is achieved.

Addressing Parliament during the debate on the 2007 state budget, the minister noted the speeding up of the administering of justice, in the framework of which, from a total of one million pending cases, about half of them were put on file or written-off.

[16] New director for EU Commission representation in Athens

The EU Representation is the official representative of the European Commission in Greece and is responsible for informing the public regarding EU programmes and policies, acting as a contact for Greek media and informing the Commission on political, social and economic developments in Greece.

[17] Athens Bar Association comments on report by committee for the prevention of torture

The Committee's report on Greece was made public on Wednesday.

The Athens Bar Association coincidentally held an event on Tuesday on the theme "The protection of human rights in Europe".

"The Committee's report against torture came to bring us down to earth with a bump. These assessments should concern us directly and intensely, particularly those whom the State as-signed an institutional role in the confrontation of these extreme phenomena," the Association said in its announcement.

[18] Tutors, students gather outside Parliament to protest revision of Article 16

Due to the gathering, Vassilis Sofias Avenue, at the height of Academias Street, remained closed for about an hour.

Meanwhile, unidentified youths at 8:40 p.m. threw fire-bombs at the police station in Athens' suburb of Zographou.

The fire-bombs landed and exploded in the street, without causing any damage.

[19] Archbishop Christodoulos sends congratulations to Patriarchs of Romania, Bulgaria

"For us, Christian Orthodox, the entry into the European Union of other Orthodox States of Europe is of particular importance, as the voice of Orthodoxy is being reinforced for the common handling of the various problems and especially the negative consequences for modern man and peoples of the earth from globalisation and the so called New Era," the Archbishop notes in his letters.

Archbishop Christodoulos also sent similar letters to the heads of state of the two countries.

Financial News

[20] Finmin gives parl't stability plan

Speaking on the house's last day of debate on the 2007 budget before a midnight vote, the minister said the plan contained minor improvements.

The plan demonstrated progress made in the economy, including reduction of the fiscal deficit, high rates of growth, lower unemployment, and an improvement in competitiveness, he added.

[21] Gov't welcomes inflation decline

"The results of our policy have refuted the Cassandras who forecast that after the Athens 2004 Olympics joblessness would surge," the minister told the final day of a parliamentary debate on the government's 2007 budget.

He cited government statistics that showed the unemployment rate at 8.3% in the third quarter of 2006 from 11.3% in 2004.

[22] Kefaloyiannis defends port privatisation measures in Parliament

At the same time, he denied that the plan was a privatisation, pointing out that 75 percent would remain in the state sector.

Justifying the move, Kefaloyiannis pointed out that the payroll accounted for 75% of running costs for the Piraeus Port Organisation.

"There was a risk that, at the end of our four-year term, we would hand over a new, bankrupt "Olympic Airways", where 100% of the costs would be the payroll," he added.

He also claimed that there were distortions and excesses in the present system, with a few privileged employees earning up to 12,000 euros a month, or the payment of 2.5 million euros in overtime to 70 individuals for the maintenance of 12 vessels that were not currently sea-worthy.

[23] State natgas firm to get more business

Also contributing will be an extension of natural gas supplies to another 13 prefectures, the minister told reporters during a visit to a liquified gas station in Revythousa, an islet in the Saronic Gulf.

"In the years to come, DEPA will be excavating in the whole of Greece, from the Peloponnese to Epirus and Thrace," Sioufas noted.

He added that the Revythousa plant, which is currently being upgraded, would become one of the largest and most modern liquified natural gas plants in the Mediterranean and southeastern Europe.

"This is the largest energy investment in Greece at this time that will top 48 million euros," he said.

[24] Government welcomes arbitration court decision for OA

Transport Minister Mihalis Liapis said the decision was a "happy coincidence" that created new possibilities and prospects for OA, since the government now had very strong arguments for offsetting the court-awarded compensation against the money that the European Commission has ordered OA to pay back to the Greek State as illegal state subsidies.

He said that the airline would continue to fly without problems, with the agreement of its staff.

The European Commission in Brussels, meanwhile, said it would await clarifications from Greek authorities regarding the court's decision before the Commission presented its conclusions.

A spokesman for European Commissioner Jacques Barrot stressed that the decision did not put into question Greece's obligation to recover the funds illegal given to OA without delay.

[25] Redundancy support at fertilizer plant

The workers are to lose their jobs under a revitalisation plan for the ailing company.

The amendment, which is destined for parliament in the near future, aims to help staff who fail to meet requirements for a full pension due to redundancy.

On offer will be self-employment schemes, new jobs, retraining, regular unemployment subsidies and a special jobless allowance.

[26] Aktor, Athena build waste plant in Romania

The construction deadline in the state project is three years, the consortium said in a statement on Thursday.

[27] Athens Bourse Close: Stocks rise

The FTSE/ASE-20 index for high capitalisation shares ended 0.29% up; the FTSE/ASE-40 for medium cap stocks 0.35% lower; and the FTSE/ASE-80 for small cap shares finished 0.93% down.

Of stocks traded, declines led advances at 168 to 85 with 56 remaining unchanged.

Sector indices ended as follows:

Insurance: +2.40%

Industrials: +0.90%

Commercial: +0.76%

Construction: +0.11%

Media: -0.39%

Oil & Gas: -0.61%

Personal & Household: -0.31%

Raw Materials: -0.70%

Travel & Leisure: +2.68%

Technology: -0.62%

Telecoms: +0.04%

Banks: -0.09%

Food & Beverages: +0.45%

Health: -0.35%

Utilities: -0.46%

Chemicals: +1.91%

Financial Services: -0.37%

The stocks with the highest turnover were Alpha Bank, Commercial Bank, OTE and OPAP.

Selected shares from the FTSE/ASE-20 index closed in euros as follows:

Alpha Bank: 23.30

ATEbank: 3.90

Public Power Corp (PPC): 19.54

HBC Coca Cola: 30.00

Hellenic Petroleum: 10.28

Emporiki Bank: 23.58

National Bank of Greece: 34.60

EFG Eurobank Ergasias: 27.20

Intralot: 24.52

Cosmote: 23.32

OPAP: 29.34

OTE: 23.62

Titan Cement Company: 40.86

Derivatives Market Close: National Bank top in stock futures trade

Equity Index Futures: