Corfu police make major drug haul
NEWS IN DETAIL
Greece's foreign policy guided by prudence and calm, Simitis says
''Our strength lies in our remaining calm, our insistence on international
law and international treaties and the strengthening of our armed forces,
which is continuing so that it constitutes a strong deterrent force against
any threat,'' Prime Minister Costas Simitis said.
Speaking shortly after a government meeting on foreign policy, Simitis
advised ''coolheadedness, prudence'' and warned against ''worry and
fear''.
''The government is aware of these developments and knows how to handle
them,'' the premier added.
Commenting on Greek-Turkish relations and the latest threats from Ankara,
Simitis said ''what is happening is neither new nor unknown'', adding that
Greece would be playing into Turkey's hands if on each occasion it
displayed particular concern.
''If we blow (the Turkish threats) out of proportion, we shall be dragged
into an atmosphere of crisis,'' Simitis said.
The prime minister said 1997 would be a ''year of developments'' for
Greece's national issues and the European Union, while 1998 was associated
with the commencement of crucial negotiations for Cyprus' accession to the
Community.
Greece, he said, must be ready not only to deal with developments and react,
but also to contribute constructively with positions and views to
developments which serve its interests.
Within the month, he added, Cyprus President Glafcos Clerides will visit
Athens for a joint examination of the positions of the two sides.
Asked by reporters to comment on Nicosia's decision to purchase anti-
aircraft missiles, Simitis said the Cyprus government had not only the
right but also the obligation to take the measures it considers necessary
for its defence.
He noted also that by taking such measures, Nicosia was strengthening its
negotiating position, adding that Greece fully supported Cyprus in these
efforts.
Replying to other questions concerning the visit to the region this weekend
of the State Department official responsible for southern Europe, Carey
Cavanaugh, Simitis said the Greek government, ''as always'' would listen to
the US proposals.
Cavanaugh is scheduled to visit Nicosia, Athens and Ankara in an effort to
smooth relations following the signing of the multi-million dollar missile
deal between Cyprus and Russia last weekend.
Simitis clarified however that Athens had already adopted positions with
respect to the various proposals put forward by the US and in meetings
between Cavanaugh and foreign ministry officials would examine ''if there
is anything new in order to see whether we should change these positions''.
The premier expressed the view that he did not consider such an eventuality
likely at the present time.
Reppas: Turkish threats are nothing new
Greece has taken all the necessary measures and continuously ensures that
the country's deterrent force is at a high level so as to confront any
designs, government spokesman Dimitris Reppas said today, commenting on the
latest threats from Ankara.
The Turkish threats have become repetitive, Reppas said, adding that
although Greece could not ignore them, ''we must not give to these
statements and positions a dimension which they may no longer have''.
Replying to questions, Reppas said Greek-Turkish relations had worsened
recently, solely due to Ankara ''which systematically undermines efforts
for ways to be found to communicate in the region''.
Tension has mounted particularly following Cyprus' decision to purchase
Russian-made S-300 anti-aircraft missiles to bolster its defence capability.
Turkish Defence Minister Turhan Tayan said yesterday that Turkey would
attack Cyprus if it had to protect the Turkish Cypriot community in the
north of the island.
In a related development, Reppas rejected intimations by German Foreign
Minister Klaus Kinkel that Greece was responsible for Turkey's estrangement
from Europe.
''Turkey's opponent is not Greece but international law, international
order and itself. It is Turkey's own policy which does not allow it to
approach Europe and Ankara has only itself to blame for this,'' Reppas
said.
Defence minister comments
Asked later to comment on his Turkish counterpart's threats, National
Defence Minister Akis Tsohatzopoulos said ''no threat can stop the course
towards the consolidation of peace in the region, the perspective of
Cyprus' accession to the EU and the strengthening of our defence capability.
''Greece is strong. Cyprus is becoming stronger. We have right on our side
and I am certain that all organisations will support a just, peaceful,
comprehensive democratic settlement of the Cyprus problem. I am not afraid
of anything,'' Tsohatzopoulos said.
Replying to questions, Tsohatzopoulos said international law could not be
adapted to suit one side or the other.
Greece, he stressed, relies on international treaties and agreements, on UN
commitments and specific rulings of international law which predetermine
the course of the Cyprus problem and ensure ''a road of no return''.
Echoing Simitis' views, Tsohatzopoulos said Greece would ''with one mind,
calm and determination'' try to attain its targets.
Turkish jets violate Athens FIR
Meanwhile, defence ministry sources said that five pairs of Turkish F-16
jets and two RF-4 aircraft had today infringed Athens Flight Information
Region (FIR) regulations in the area of the northern and central Aegean
presently being used by Turkey for a military exercise.
The sources said the Turkish warplanes had also violated Greek airspace in
the same region.
In all cases, they added, the Turkish aircraft were identified and
intercepted by Greek Mirage-2000 and F-16 fighter planes.
Opposition leader calls for end to in-house bickering
New Democracy (ND) leader Miltiades Evert today called on party cadres to
put party in-fighting behind them prior to the forthcoming congress and
concentrate on its role as the main opposition party.
''We must not, because of problems in the party and our introversion,
provide a crutch to (Prime Minister) Costas Simitis. We do not have the
luxury to continue our introversion. Public opinion is watching us and the
people are looking to the main opposition party for a prop,'' Evert said,
addressing a joint meeting of the ND parliamentary group and central
committee.
Evert accused what he described as ''various interests'' of trying to
weaken or even break up New Democracy so that they could ''impose
illegitimate solutions to national issues'' and ensure the continuation of
the government's ''callous'' economic policy.
The ND executive committee yesterday unanimously ratified an agreement
reached on the framework and terms for the holding of the party's
congress.
The agreement was reached on Tuesday at a meeting between Evert, Vice-
President Ioannis Varvitsiotis and main leadership contender George
Souflias.
The congress will be held from March 28-30 -- one month later than
initially planned.
Israeli air force in Greece
National Defence Minister Akis Tsohatzopoulos yesterday met with Israel's
Chief of Israeli Air Force Major-General Eytan Ben Eliahu, who is on an
official visit to Greece.
Maj.-Gen. Eliahu also had talks yesterday with his counterpart, Lt.-General
George Antonetsis, which focused, according to informed sources, on
relations between the two countries' air forces.
The Israeli air force chief was briefed on Greek positions concerning Greek-
Turkish problems in the light of Ankara's continuous provocations in the
Aegean and Turkish threats following Cyprus' decision to purchase Russian-
made S-300 anti-aircraft missiles. He is scheduled to visit air force units
today.
Measures for unemployed announced
Five government decisions to be promoted after the next meeting of the
board of the Organisation for the Employment of Human Resources (OAED) are
expected to streamline measures against unemployment.
Under the decisions, the longterm unemployed over the age of 55 (provided
they have completed 3000 days of work) will maintain the right to medical
and pharmaceutical care from their social security fund.
Roughly 30,000 work positions are being funded for the jobless, mainly for
the young, women and residents of high-unemployment rate areas.
Premier to inaugurate natural gas network
Prime Minister Costas Simitis will inaugurate the operation of the national
natural gas transport network on Jan. 14 at installations of the Public
Natural Gas Enterprise (DEPA) at Patima, Elefsina.
The event will also be attended by Mr. Radionov, Russia's energy minister,
and the president of Russia's Gazprom, Rem Viachirev.
Works already planned and being carried out are budgeted at 700 billion
drachmas.
The entry of natural gas into the country's energy balance is expected to
contribute decisively towards saving valuable natural resources and
protecting the environment.
The operation of the natural gas system and its distribution network will
provide new jobs and contribute to a substantive combatting of unemployment.
In its completed form, the natural gas project will include:
- A main pipeline for transporting high-pressure natural gas from the Greek-
Bulgarian border to Attica, along a distance of 511 km.
- Branches for the transfer of high-pressure natural gas on the pipeline to
eastern Macedonia-Thrace-Thessaloniki-Volos-Attiki.
- A low-pressure distribution network to Athens-Piraeus- Thessaloniki-
Larisa-Volos, having a totallength of 6,500 km.
- Three control and maintenance centres in Attica, Larisa and Thessaloniki.
- A station for liquefied natural gas on the Revythousa isle off Elefsina,
where liquefied natural gas from Algeria will be stored and then turned
into gas.
Taxation bill amendments tabled
Time deposits in foreign exchange will remain tax-free up to the expiry of
their time limit according to a series of amendments to a draft tax bill
submitted in parliament.
Whatever percentage of shares of companies not registered at the Athens
Stock Exchange will be taxed on transfer. The taxation exemption from the 2
.4 per cent stamp tax on maritime companies concluding loans with overseas
banks will not be abolished. A 2 per cent discount will be granted for
export enterprises having a turnover of up to 750 million drachmas, 1 per
cent for a turnover from 750 millio n drachmas until three billion drachmas
and 0.5 per cent for a turnover more than three billion drachmas.
National Bank governor unveils 1997 policy
Issuance of a new subordinated bond loan primarily in international markets
and amounting to US$150-200 million, increased share capital, selective
extension to international markets and a series of important moves,
constitute the main axes of an aggressi ve policy being promoted by the
National Bank of Greece's administration.
The bank's governor Theodoros Karatzas gave an account of works in 1996 and
primarily outlined prospects for the National Bank group in 1997. The event
was attended by all the bank's deputy governors.
Mr. Karatzas said National Bank's strategy is aimed at tackling new
challenges created with the intensification of competition in the local and
international markets.
The bank's administration is considering issuing a subordinated bond loan,
primarily in international markets, amounting to US$150-200 in the first
four months in 1997.
Mr. Karatzas said that the National Bank will look forward to international
capital markets and domestic markets with the planned capital increase.
The Bank will also reinforce its presence in the local and international
markets, especially in the fields where it holds the competitive edge," he
said.
Regarding the local market, the bank will emphasise the promotion of
subsidies, as well as consumer credit, trade, international lending
services, shipping, middle-size businesses and major works.
In international markets, National Bank will emphasise its presence in
large financial markets and the possibilities offered by the bank's
extensive network which is estimated to have yielded some 10,5 billion
drachmas in pre-tax profits.
The National Bank of Greece has six million savings accounts, 900,000
Ethnocards (cash cards) and has extended consumer credit to 300,000 credit
card holders. It also has 1.5 million insurance contracts from subsidiary
companies.
Electrolux Hellas, AEG to merge
A merging of Thessaloniki-based Electrolux Hellas S.A. with Athens-based
AEG S.A. is expected to be completed in the next two months. Electrolux
managing director Christos Sarantopoulos presented merger plans in
Thessaloniki yesterday, stressing that Elec trolux is absorbing AEG. He
added that the total share capital of the company formed will be 2.8
billion drachmas, and featuring products under the Electrolux, AEG and
Zanussi brand names.
In 1996, the two companies had a turnover of about nine billion drachmas
and the aim for 1997 is to increase their turnover to 11.5 billion
drachmas. In 1996, Electrolux had a turnover totalling 5.2 billion as
against four billion in 1995 and profits amounting to roughly 400 million
drachmas.
Corfu police make major drug haul
Police on the island of Corfu made one of their biggest narcotics busts in
recent years when they arrested an Albanian man in possession of 16.5 kilos
of top quality hashish.
Aleko Prifti, 22, from Avlona, Albania was arrested after Corfu police
received a tip off. The hashish was found in two travel bags he was
carrying.
According to the police, the hashish, wrapped airtight in 10 balls, is of
Albanian origin. They believe Prifti is responsible for smuggling large
quantities of the narcotic into northwest Greece for eventual sale in
Attica.
Prifti was arrested the moment he was about to board a coach for Athens. He
was due to appear later today before a public prosecutor on Corfu when he
is expected to be formally charged with possession and trafficking of
narcotics.
WEATHER
Fair weather in most parts of Greece. Cloudy in the eastern Aegean islands
to become heavier bringing rain at night mostly in the west. Scattered
rains in central and northern Greece and snowfalls in the mountainous
areas. Athens will be overcast with temperatures between 8-16c. Same in
Thessaloniki with temperatures between 1-11C.
FOREIGN EXCHANGE
(closing rates - buying) US dlr. 243.566
Pound sterling 412.672 Cyprus pd 519.967
French franc 46.158 Swiss franc 180.132
German mark 156.012 Italian lira (100) 15.872
Yen (100) 210.969 Canadian dlr. 178.957
Australian dlr. 192.289 Irish Punt 407.117
Belgian franc 7.572 Finnish mark 51.991
Dutch guilder 139.009 Swedish kr. 34.954
Norwegian kr. 37.726 Austrian sh. 22.178
Spanish peseta 1.855 Portuguese escudo 1.557
(M.P.)
