Athens News Agency: News in English (AM), 97-10-31

Athens News Agency: News in English Directory - Previous Article - Next Article

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

NEWS IN ENGLISH

Athens, Greece, 31/10/1997 (ANA)

MAIN HEADLINES

• Greek drachma again comes under pressure
• Greek bourse plunge leaves government unfazed
• Greece to see higher growth, aiding employment
• Greek stocks shed 3.37 pct in high turnover
• Greek tourism shows signs of upturn
• Modernisation programme for post offices announced
• Delta eyes purchase of Elassona unit, Bulgarian plant
• Speculation over Milosevic-Nano meeting
• Greece, FYROM to begin granting entry visas
• Possible major Turkish provocation seen before Cyprus elections
• Local court orders Germany to pay war reparations
• School of National Security inaugurated
• U.S. Senate confirms Burns as new ambassador to Greece
• Balkan architecture exhibition in Thessaloniki
• Bourse decisions for Altec, Data Information Systems
• Weather
• Foreign exchange

NEWS IN DETAIL

The drachma again came under pressure in morning and early afternoon trade yesterday with short-term interbank quotes reaching 22 percent, and deals 17.5 percent. Outflows of 720 million Ecu and 175 million dollars were reported at the central bank's daily fix. The Ecu closed steady at 310.30 drachmas after rising to a day's high of 311.30 drachmas.

Greek bourse plunge leaves government unfazed

Government spokesman Dimitris Reppas said yesterday a plunge by the Athens Stock Exchange lasting several sessions was temporary, reflecting turmoil in international markets.

He said the crisis was not linked to the course of the economy, which was marking steady growth.

Mr. Reppas stressed that the pressure on stocks would not lead to a deadlock and current losses were well within the economy's tolerance limits.

He acknowledged that money market rates were pushing higher and predicted that interbank rates would increase by 1.1 percent.

Greece to see higher growth, aiding employment

Greece is likely to see a 3.7 percent rate of growth in 1998 and 4.1 percent in 1999, a rise that would help to bring down unemployment, National Economy and Finance Minister Yiannos Papantoniou said yesterday.

The government, which backed a more flexible labour market, would contribute to lowering non-payroll labour costs to act as an incentive to employers to hire new staff, Mr. Papantoniou told a conference held by the General Confederation of Workers of Gr eece (GSEE).

Funds for employment in the 1998 budget, details of which have yet to be released, would be higher this year, boosted by income expected from privatisation, Mr. Papantoniou said.

GSEE president Christos Polyzogopoulos told delegates that unions backed a 35-hour week to be phased in by 2001, beginning with capital intensive enterprises.

Unions had asked Prime Minister Costas Simitis to raise the proposal at the European Union's summit in Luxembourg in November, Mr. Polyzogopoulos said.

Labour Minister Miltiades Papaioannou told the conference introduction of a 35-hour week was premature but Greece would follow if the EU took the first step. GSEE also called on employers to set up a solidarity fund in order to help the unemployed.

Greek stocks shed 3.37 pct in high turnover

Greek equities remained under heavy pressure for the third consecutive session on the Athens Stock Exchange to end sharply lower in record turnover boosted by two block trades.

The general index closed 3.37 percent down at 1,550.85 points and off the day's lows, after plunging 7.90 percent early in the session.

A concerted intervention by brokerages belonging to state banks helped the market to a partial recovery at the end of the session.

Trading hit a new all-time record with turnover at 97.5 billion drachmas, including block trades of two million shares in Mortgage Bank and 1.8 million shares in ETEBA together worth 60 billion drachmas. All sector indices plunged. Banks fell 3.53 perce nt, Insurance eased 3.16 percent, Leasing was 3.76 percent off, Investment dropped 5.57 percent, Construction fell 5.19 percent, Industrials were 5.67 percent down, Miscellaneous eased 3.71 percent and Holding was 1.72 off.

The parallel market index for small cap companies fell 3.61 percent. Broadly, decliners led advancers by 212 to 16 with another 10 issues unchanged.

Alco, Sarandopoulos Mills, Aemet, and Sato scored the biggest percentage gains, while Mailis, Pouliades, Sanyo, Altec, Keranis, Alcatel and Sysware suffered the heaviest losses.

National Bank of Greece ended at 29,350 drachmas, Ergobank at 17,000, Alpha Credit Bank at 18,600, Delta Dairy at 3,675, Titan Cement at 14,195, Intracom at 12,865 and Hellenic Telecommunications Organisation at 6, 055.

Greek tourism shows signs of upturn

Greek tourism showed signs of recovery in January-September compared with the previous two years, the National Statistics Service (NSS) said on Wednesday.

Tourist overnight stays were 10.34 percent higher in April-September, according to figures based on a survey of 298 hotels throughout the country with a total of 88,472 beds.

The hotels surveyed were in Athens, Thessaloniki, Corfu, Rhodes, Halkidiki and Crete and accounted for around 60 percent of hotels in those areas. Registered overnight stays in April-September totalled 12,550,517 from 11, 374,421 in the corresponding period last year. The sample of Greek hotels also reported an increase in occupancy rates to 79.43 percent from 71.98 percent last year. September was by far the best month of the period with 2, 300,088 overnight stays from 2,069,004 in 1996, an increase of 11.17 percent. Charter flights were also higher, with total passenger numbers rising by 7.1 percent in April-September.

Hellenic Tourism Organisation Secretary-General Nikos Skoulas, speaking at a press conference in Thessaloniki for the Philoxenia international tourism fair, said the results were encouraging but more efforts were needed to sustain the recovery trend. He said the main point was that prices had remained stable at last year's low levels.

Mr. Skoulas said that the organisation's target was to promote both quality and theme tourism in Greece following successful examples set by Italy and Spain.

Modernisation programme for post offices announced

A restructuring and modernisation programme for the Greek Post Offices (ELTA) was announced yesterday by Transport and Communications Minister Tassos Mantelis.

The process, according to the minister, will be completed in three stages: the first relates to the required institutional changes, which should have been made by the end of the year; the second includes reorganisation of services, decentralisation and selection of a development consultant. Finally, the third stage - of an eight-month duration - comprises a programme for the improvement of quality and an increase in productivity. He said productivity will improve by the opening of 30 new post offices in Attica and the introduction of new technology in a number of services.

Delta eyes purchase of Elassona unit, Bulgarian plant

Dairy producer Delta has signed a draft agreement to buy a cheese-producing unit in Elassona, while obtaining the majority share of a dairy company in Bulgaria.

In signing a draft agreement to buy out the Vigla unit, Delta is taking the first step towards entering the cheese market.

The second development concerns the purchase of 73 per cent of the Bulgaria- based Vitalact dairy company for US$1.3 million, while it also undertook to implement a five-year modernisation programme for the company amounting to US$3.4 million.

Vitalact is already a partner of Delta since it possessed 34 per cent of Delvi-P, the company through which Delta is active in Bulgaria.

As a result of the purchase, Delta increases its participation in Delvi-P to 57 per cent.

Speculation over Milosevic-Nano meeting

Just a few days before the southeast European countries summit on Crete, Albanian Prime Minister Fatos Nano appears determined to meet with Federal Yugoslav President Slobodan Milosevic on the sidelines of the meeting.

According to Albanian press reports, details of the meeting between Mr. Nano and Mr. Milosevic had already been finalised on the part of the Albanian premier, while according to press sources, Mr. Milosevic's reply was positive.

In a related development, Mr. Reppas was asked yesterday about the possibility of Athens undertaking an initiative aimed at securing the normalisation of relations between Yugoslavia and Albania with respect to the Kosovo issue.

Mr. Reppas replied that Greece was always ready to undertake any initiative aiming at the normalisation and upgrading of relations between Balkan countries.

He stressed, however, that nothing had so far been planned in this respect.

Greece, FYROM to begin granting entry visas

The liaison offices of Greece and the Former Yugoslav Republic of Macedonia (FYROM) in Athens and Skopje, respectively, will as of tomorrow (Nov. 1) grant entry visas to citizens of their respective countries, the foreign ministry announced yesterday.

The measure is envisaged in the Memorandum of Practical Measures signed by the two countries on Oct. 13, 1995.

Businessmen from northern Greece will thus be able to obtain one-year visas.

Possible major Turkish provocation seen before Cyprus elections

National Defence Minister Akis Tsohatzopoulos said yesterday that he could not rule out the possibility of Turkey causing a serious incident in the Aegean, adding that it may oc cur before February or March, prior to general elections in Cyprus.

The Greek defence minister made the statements before Parliament's foreign affairs committee. According to sources, Mr. Tsohatzopoulos was replying to questions from committee members on the possibility of a serious incident.

He said the Turkish leadership apparently believed that by creating such an incident Ankara would be weakening Greece's role in the region as a force for stability and security.

Mr. Tsohatzopoulos said an upsurge in Turkey's aggressiveness had been observed since 1995, noting that Ankara was annually spending some two billion dollars to further its aggressivness with airspace violations and FIR infringe-ments.

He also said Ankara's defence doctrine had changed since 1995 and was now based on the so-called "two-and-a-half wars" strategy, which Turkey hoped would enable it to simultaneously fight two wars, one with Greece and one against the Kurds, while retain ing an adequate number of forces for any other eventuality.

Local court orders Germany to pay war reparations

A First Instance court in Livadeia, north of Athens,yesterday ruled in favour of a lawsuit filed by the local prefecture of Viotia against the Federal Republic of Germany for payment of wartime reparations.

The lawsuit was filed on behalf of victims by prefect Ioannis Stamoulis in 1995.

The ruling, the first such decision issued by a Greek court, orders the German state to pay 9.45 billion drachmas (US$35 million) in reparations, and is expected to be followed by similar rulings on lawsuits filed in many other parts of Greece.

"The judges have signalled the actions that must be undertaken in the whole of Greece, but also in Europe in general, for claims on reparations owed as a result of the criminal acts of the Nazi regime," Mr. Stamoulis said.

School of National Security inaugurated

The newly established School of National Security of the Greek Police (EL.AS) was officially inaugurated yesterday.

The new school's aim is to offer post-graduate and further training cources to high-ranking officers, as well as the armed forces, port police, the fire brigade and political employees with ministries and services in positions related to national security.

U.S. Senate confirms Burns as new ambassador to Greece

The U.S. Senate on Wednesday confirmed President Bill Clinton's nominees for the posts of U.S. ambassador to Greece, Turkey and Zimbabwe.

The Senate confirmed Nicholas Burns as ambassador to Greece, Mark Robert Parris as ambassador to Turkey and Tom McDonald as ambassador to Zimbabwe.

Balkan architecture exhibition in Thessaloniki

"Secular architecture in the Balkans 1300-1500 and its conservation" is the title of a major exhibition and conference beginning Saturday in Thessaloniki.

It is being held by the Thessaloniki Cultural Capital Organisation in conjunction with the Hemos Association for the Study of Medieval Balkan Architecture.

More than 40 experts from Albania, Turkey, Romania, the Former Yugoslav Republic of Macedonia, Bulgaria and Greece will give presentations on secular architecture of cities, bridges, castles and public buildings of the period.

The exhibition will be open until December 12 at the renovated Paradisos Baths, a building dating from 1444.

Bourse decisions for Altec, Data Information Systems

The Athens Stock Exchange's administrative council convened yesterday and ratified information bulletins for an increase in share capital with public registration for the company Altec, an informatics and communications systems manufacturer, with the purp ose of its transfer to the main market of the bourse.

In addition, the council ratified a request by Data Information Systems for introducing its shares in the parallel market of the Athens Stock Exchange.

Altec will proceed with an increase in its share capital, issuing 1,065,000 new common name shares which will be provided for the investing public with public registration.

Data Information Systems will increase its share capital, issuing 360,000 new common anonymous shares which will be provided for the investing public with public registration.

WEATHER

FOREIGN EXCHANGE

(C.E.)

Athens News Agency: News in English Directory - Previous Article - Next Article