Anadolu Agency: News in English, 98-08-17

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From: The Anadolu Agency Home Page at <http://www.anadoluajansi.gov.tr/>

17 AUG 1998

CONTENTS

[01] DANILIDOU BEATS OTAKEYAMA IN BAYTUR-TED WOMEN'S SATELLITE TENNIS TOURNAMENT FINAL

[02] PRIME MINISTER YILMAZ IN AVANOS

[03] FOREST FIRES IN BURSA AND IZMIR PROVINCES

[04] SPORT-WRESTLING - GRAECO-ROMAN WRESTLING NATIONAL TEAM LEAVES FOR EGYPT

[05] TAR TANK AT COAL PACKAGING FACILITY EXPLODES - NINE INJURIES

[06] EXPORTS OF DRIED FRUITS FROM GAP REGION

[07] KARATEPE APPLIES TO EUROPEAN HUMAN RIGHTS COURT FOR A SECOND TIME

[08] MINISTRY OF NATIONAL DEFENSE PROHIBITS TWO FOREIGN COMPANIES FROM BIDDING IN STATE TENDERS

[09] TURKISH PRESS REVIEW (1)

[10] TURKISH PRESS REVIEW (2)

[11] TREASURY TO SELL ONE YEAR-TERM BONDS ON TUESDAY

[12] RESPONSE TO ALLEGATIONS OF SO-CALLED GENOCIDE ON ARMENIANS - MINISTRY OF CULTURE STAGES A DOCUMENT EXHIBITION NAMED ''AN AMERICAN'S LOVE OF TURKEY''

[13] SIX TURKISH CITIZENS WHO HOIST TURKISH FLAG AT KILIMLI ISLAND ARE ARRESTED

[14] TRNC PRESIDENT RECEIVES COMMANDERS OF CYPRUS TURKISH PEACE FORCES - DENKTAS: ''TURKISH SOLDIERS PRESERVE PEACE ON CYPRUS FOR 25 YEARS''

[15] FIRST SUGAR PLANT ABROAD

[16] TURKISH BUSINESSMEN IN EUROPE SHOW GREAT INTEREST IN PRIVATIZATION

[17] ISTANBUL TO HOST 7TH WORLD APTITUDE GAMES CHAMPIONSHIP BETWEEN 22-27 SEPTEMBER - 16 COUNTRIES TO JOIN CHAMPIONSHIP

[18] SPORT-BOXING - WOMEN'S NATIONAL TEAM RECEIVES TWO GOLDEN MEDALS AND ONE SILVER MEDAL IN TOURNAMENT IN HUNGARY

[19] TURKEY'S CREDIT RATING - DCR DOESN'T CHANGE ''BB-'' RATING

[20] TEMIZEL, MINISTER OF FINANCE: ''WE HOPE CRISIS IN RUSSIA WILL NOT AFFECT TURKEY''

[21] BLACK SEA CHARMS FOREIGN YACHTSMEN

[22] CYPRUS QUESTION - MILLER, US DEPARTMENT OF STATE SPECIAL COORDINATOR TO CYPRUS DUE IN ANKARA ON TUESDAY

[23] TURCOMANS REQUEST ARBITRATION FROM TURKEY

[24] TURKEY'S CREDIT RATING ...

[01] DANILIDOU BEATS OTAKEYAMA IN BAYTUR-TED WOMEN'S SATELLITE TENNIS TOURNAMENT FINAL

In the doubles final, Duygu Aksit-Gulberk Gultekin team was beaten by Danilidou-Cahana 4-6, 6-3, 6-3.

[02] PRIME MINISTER YILMAZ IN AVANOS

Prime Minister Yilmaz laid the foundation of the second bridge which will be constructed on the Kizilirmak River and the sewerage system network of Avanos County in the Central Anatolian Nevsehir Province. Addressing the ceremony Yilmaz said that the Nevsehir region was the most favorite region in Turkey due to tourism, adding that infrastructure services should be concluded for the improvement of tourism.

Yilmaz said that the lack of potable water, transportation and airport will negatively affect tourism, adding that although Cappadocia has inadequate infrastructure, it attracts many tourists and pointed out that if the infrastructure is concluded, this region won't need another income other than tourism.

Yilmaz noted that efforts were underway to conclude the incomplete investments and that they started new investments, adding that on the other hand, they were struggling against inflation. Yilmaz said they will reduce inflation to 50 percent by the end of this year and that they won't give concessions from struggle against terrorism.

[03] FOREST FIRES IN BURSA AND IZMIR PROVINCES

Officials of the Bursa Forestry Regional Directorate told the A.A correspodent that the fire which erupted in the Hasatli Region of Yenice Village was taken under control and the cooling activities were started.

Efforts are underway to determine the reason for the fire.

Meanwhile, another fire which started at the Kalemlik Forest Camp in Menderes County in the Aegean Izmir Province was also taken under control.

A total of six hectares of land received harm from the fire which started in three different places.

[04] SPORT-WRESTLING - GRAECO-ROMAN WRESTLING NATIONAL TEAM LEAVES FOR EGYPT

The names of the wrestlers and their categories are as follows:

Unal Orel (49 kg), Yusuf Yesilyurt (52 kg), Erkan Dundar (56 kg), Kerim Salman (60 kg), Bunyamin Emik (65 kg), Huseyin Akburu (70 kg), Yusuf Duzer (76 kg), Tekin Caglar (83 kg), Diktehan Sahin (90 kg) and Gokhan Guclu (115 kg).

The national team will return to Turkey on 22 August.

[05] TAR TANK AT COAL PACKAGING FACILITY EXPLODES - NINE INJURIES

The tar tank at the facility belonging to the Kackar Corp. exploded at 4:15 p.m. Officials said that the reason for the explosion hadn't been determined yet.

The workers, Halil Ibrahim Yilmaz, Eren Erkavus, Huseyin Ikiz, Onder Simsek, Mustafa Kocabiyik, Sah Mercan Aktas, Mehmet Cura, Hasbi Kahraman and Halil Ibrahim Aslan, were taken to the SSK hospital at Soma, but were later transferred to the Tepecik SSK Hospital and the Ege University Medical Faculty Hospital at Izmir.

The investigation related to the incident is underway.

[06] EXPORTS OF DRIED FRUITS FROM GAP REGION

The exports of dried fruits in the same period last year was 22.2 million US dollars.

Abdulkadir Cikmaz, the Chairman of the Southeastern Anatolia Dried Fruit Exporters' Union, told the A.A correspondent that the exports of dried apricots in the first seven months of this year increased 27 percent to 19 million 376 thousand US dollars; the exports of pistachio nuts in the same period decreased 61 percent to 1 million 781 thousand US dollars and the exports of pine nuts in the same period inclined 224 percent to 1 million 807 thousand US dollars, adding that they also exported 1 million 245 thousand US dollars of peanuts, roasted chick-peas and several hard shelled products.

Pointing out that they exported dried fruits especially to the US, France, Britain, Russia, Israel, Germany, Canada, Italy, Syria and Romania, Cikmaz said, ''the share of the exports of dried fruits in the total exports from the GAP Region in the first seven months of this year increased from 6.2 percent to 8.1 percent.''

[07] KARATEPE APPLIES TO EUROPEAN HUMAN RIGHTS COURT FOR A SECOND TIME

Karatepe, who earlier applied to the Court to lift the imprisonment terms given against him by the Ankara State Security Court, this time applied to the Court to lift the decision of the Constitutional Court which foresaw a five-year political ban against Karatepe.

Karatepe's application said that the demand for compensation will be announced in the future.

The Ankara State Security Court sentenced Karatepe to a one year term of imprisonment and 420,000 Turkish Liras fine on the grounds of a speech which he made on 10 November 1996. The High Court of Appeals later ratified the penalty of Karatepe.

Karatepe's earlier application made to the European Human Rights Court demanded the imprisonment terms to be lifted and wanted the State to pay him eight million French francs as compensation.

[08] MINISTRY OF NATIONAL DEFENSE PROHIBITS TWO FOREIGN COMPANIES FROM BIDDING IN STATE TENDERS

The announcement related to the prohibition was published in the Official Gazette the same day.

According to the Ministry of National Defense's announcement, also the Britain-based SOUTH WALES CHEMICAL WORKS company can't participate in state tenders for one year. The Ministry made this decision in accordance with Article 84 of the State Competitive Bidding Law.

Article 84 of the State Competitive Bidding Law foresees different periods of punishment for the concerned if the bidder conspires in the bid, doesn't fulfill or fails to fulfill the tender provisions.

[09] TURKISH PRESS REVIEW (1)

(Derived from the Newsspot of the Turkish General Directorate of Press and Information.)

TURKEY TO USE MORE BALLOONS TO CARRY WATER TO TRNC
Dogan Altinbilek, the General Director of the State Water Works (DSI), said that Turkish ships have carried 30,000 cubic metres of water to the Turkish Republic of Northern Cyprus (TRNC) since 24 July, when the ships set out to carry the first water balloon to the island, it was reported. Turkey has been sending water balloons at its own cost to help fight the current drought and help irrigate the cultivated lands in the TRNC. Altinbilek said that the ships have been towing giant water balloons once a week, but will start to carry water three times a week starting on 24 August. Altinbilek noted that the DSI had recently obtained a new balloon, which is capable of carrying twice as much water as the current balloon that has a capacity of 10,000 cubic metres. The new balloon will be operational on 24 August. ''We will also make operational a third water balloon in September'' Altinbilek added. He pointed out that Turkey plans to carry three million cubic metres of water to the TRNC this year and seven million each consecutive year.

NATURAL GAS IN THE 21st CENTURY

To meet the future demands for natural gas in Turkey, certain procedures are being accelerated, it was reported. In an effort to increase the Turkish natural gas consumption, the General Directorate of the state-owned pipeline company (BOTAS) has made six separate supply agreements with several countries having adequate reserves. It is reported that the natural gas requirements in Turkey will reach 45 billion cubic metres in 2005, 53.5 billion cubic metres in 2010, 64.8 billion cubic metres in 2015 and 80 billion cubic metres in 2020. This need will be met by pipelines from Russia, Turkmenistan, Iran and Egypt, and additional requirements for liquid natural gas (LNG) will be met by Nigeria, Qatar, Yemen, Oman, Norway and the United Arab Emirates. Natural gas is currently used in the Marmara and Central Anatolia Regions and pipelines are being constructed for gas distribution to other areas. Within the next 10 years, the distribution network will reportedly cover the Aegean Region, the entire Central Anatolia Region and both the eastern and the southeastern regions of Turkey.

CROP DUSTING PLANE CRASHES IN ANTALYA
A crop duster crashed in Antalya yesterday due to unexpected turbulence. The pilot, Yilmaz Iskar, was hospitalized. The Antalya link of the TRT (Turkish Radio and Television Corporation) received serious damage caused by the crash and is still being repaired. /All papers/

COMMEMORATION CEROMONIES FOR HACI BEKTAS VELI
President Suleyman Demirel, Prime Minister Mesut Yilmaz, Kamer Genc, the Deputy Speaker of Parliament, Deniz Baykal, the Chairman of the Republican People's Party as well as many ministers and deputies participated yesterday in the international commemoration ceremonies for Haci Bektas Veli, a renowned thirteenth century Turkish Muslim philosopher. Delivering a speech at the ceremony, Demirel stressed that every Turkish citizen has equal rights. Yilmaz also gave a speech in which he criticized Islamic fundamentalists and those who make religious discrimination. /Hurriyet/

US SIXTH FLEET MONITORING MEDITERRANEAN
The US Sixth Fleet is ready to intervene in any conflicts that could emerge in the Aegean and Cyprus, reports the Washington Post. The report quotes Admiral Daniel J. Murphy, Jr., the Chief of the fleet, as saying that the fleet discourages countries from launching attacks against neighbouring countries. Admiral Murphy says that the conflicting spots in the region are Kosovo, where Serbians and Albenians clash; the Aegean where Turco-Greek disputes continue; the Caucasus where there is a risk of civil war; and North Africa which is threatened by Islamic fundementalism. /Hurriyet/

[10] TURKISH PRESS REVIEW (2)

(Derived from the Newsspot of the Turkish General Directorate of Press and Information.)

TURKISH FAIRS IN MOSCOW
Two leather and textile products fairs called Le Show'98 and Fashion Days were held in Moscow. A total of 120 Turkish firms attended the fairs which began on 13 August and ended two days ago. The Turkish leather and textile products attracted the attention of many people. /Milliyet/

HAZELNUT EXPORTS REACH ONE BILLION US DOLLARS
Turkey's hazelnut exports during the 1997-1998 season reached one billion US dollars. Ahmet Tunavelioglu, the Chairman of the Black Sea Hazelnut and Products Exporters' Union, said that 215,000 tons of hazelnuts were exported in return for 970 million US dollars. Tunavelioglu added, ''we exported hazelnuts at a record level during this season, which started on 1 September 1997, and will end on 31 August 1998. It is expected that on 31 August 1998, Turkey's hazelnut exports will exceed one billion US dollars''. /Milliyet/

NEMRUT MOUNTAIN TOURISM MASTER PLAN
''The Adiyaman Nemrut Mountain Tourism Master Plan'' will be realized with the support of the Turkish Union of Chambers and Commodity Exchanges (TOBB), the Undersecretariat of the Treasury and the World Bank within the framework of a Local Economic Development Programme of the Adiyaman Chamber of Commerce and Industry. This plan aims to bring over 250,000 tourists to the region annually. When this target is achieved, the annual tourism income in the region will total 2.5 million US dollars. /Milliyet/

TWO VILLAGE GUARDS DIE
One of the five member village-guard team missioned in Taslicay, Agri died by stepping on a mine. Another village guard in Uludere County of Sirnak Province also died stepping on a mine laid on the road. /Cumhuriyet/

INCREASE IN NUMBER OF TURKS TRAVELLING ABROAD
According to the World Tourism Organization there has been an increase in the number of Turkish tourists travelling abroad during recent years. It was announced that the demand of Turkish tourists to travel abroad has been increasing. A total of 315 travel agencies which are members of the International Air Transport Association (IATA) are active in Turkey. These agencies sell tickets of the 47 airlines which have regular flights abroad. /Sabah/

ABN AMRO BANK: MARKET VALUE OF TURKCELL IS 10 BILLION US DOLLARS
The ABN Amro, one of the largest banks of the Netherlands and Europe, announced that the market value of Turkcell was between 9-11 billion US dollars. In its report about the Yapi Kredi Bank, ABN Amro said that the Yapi Kredi had a 12 percent share in Turkcell and advised investors to buy Turkcell share certificates. It is also added that if you only buy Yapi Kredi share certificates you will invest in Turkcell. /Sabah/

BILKENT SYMPHONY ORCHESTRA IN SANLIURFA
Within the scope of the ''Bilkent 5th International Anatolia Music Festival'' the Bilkent Symphony Orchestra gave a concert in

Sanliurfa on 14 August. The orchestra, conducted by the world-famous conductor Gurer Aykal, gave a concert on 15 August in Adiyaman and on 16 August in Kahramanmaras. The orchestra is going to play today in Gaziantep and will continue its tour until 21 August. Gurer Aykal said that they had started their tour on 7 August in Ankara and since 10 August they had been giving performances in the southeastern region where they have been met with the great enthusiasm and interest of the regional people. /Sabah/

[11] TREASURY TO SELL ONE YEAR-TERM BONDS ON TUESDAY

The Treasury will put one-year term state bonds up for sale on Tuesday, 18 August.

The issue date was determined to be 19 August while the repayment of the state bonds will be made on 18 August 1999.

In the previous one-year term bond tender of the Treasury on 28 July, a total of 395.1 trillion Turkish Liras in bonds were sold and the interest rate was 92.70 percent.

Meanwhile, the Treasury will realize 573 trillion 918.6 billion Turkish Liras in domestic borrowing repayments on 19 August; 35 trillion 977 TL in domestic borrowing repayments on 26 August and 2 trillion 180.9 billion TL in domestic borrowing repayments on 31 August.

[12] RESPONSE TO ALLEGATIONS OF SO-CALLED GENOCIDE ON ARMENIANS - MINISTRY OF CULTURE STAGES A DOCUMENT EXHIBITION NAMED ''AN AMERICAN'S LOVE OF TURKEY''

The written statement of Ministry of Culture said that the exhibition which was staged to reveal the injustice of the activities of the Armenian organizations against Turkey, is composed of the documents belonging to Edward Tashji, a US citizen of Armenian origin, who is expending efforts to adjust the false image about Turkey in the world.

The exhibition which will be opened on Tuesday will last until 26 August.

[13] SIX TURKISH CITIZENS WHO HOIST TURKISH FLAG AT KILIMLI ISLAND ARE ARRESTED

The Greek Ministry of Trade claimed that the Turkish citizens, Sevket Gaykan, Gunay Zeybeker, Cengiz Menteseoglu, Gonca Menteseoglu, Atillah Kayihan and Leyla Kayihan, arrived at Kilimli island on the boat named ''Eda'' on Sunday evening and began to take photographs after hoisting a Turkish flag on an electric pole.

The Greek coastal police arrested Sevket Gaykan after a dispute erupted between the Turkish and Greek citizens who were at the harbour. The others sailed off with the boat without getting permission.

The boat was later turned back by the Greek security forces and tied at the Istankoy island harbour and the other five Turks were arrested.

The statement said that the six Turks who were arrested, will be sent to the Istankoy court after the conclusion of their interrogation.

The Turkish citizens said in their interrogation that they hoisted the Turkish flag just for a memento.

[14] TRNC PRESIDENT RECEIVES COMMANDERS OF CYPRUS TURKISH PEACE FORCES - DENKTAS: ''TURKISH SOLDIERS PRESERVE PEACE ON CYPRUS FOR 25 YEARS''

Addressing the meeting Denktas said that the Turkish soldiers preserved peace on the island for 25 years, adding that he was proud of the achievements.

Denktas said ''think of what would have happened on Cyprus if the Turkish soldiers hadn't come, think what you have prevented. Go to Atlilar and Sandallar and see the treatment made to the Turkish Cypriots. You will understand why the Turkish soldiers are here.''

Pointing out that there were two communities on Cyprus and that the 1960 Agreement was the basis for this, Denktas said that the Turkish Cypriots have the right to defend themselves as much as the Greek Cypriots and that the Turkish soldiers were on the island to protect the peace.

Gen. Ali Yalcin, who will hand over his assignment to Mehmet Aydin Sen, said that the Turkish Armed Forces will remain on the island as the guarantee of peace and tranquility.

[15] FIRST SUGAR PLANT ABROAD

The sugar plant called ''Sarkyildizi'' was constructed in the city of Harezm in Uzbekistan with the joint venture of the General Directorate of the Turkish Sugar Plants (TURKSEKER) and the Yuksel Construction Company will work at full capacity in September.

The plant has a capacity of processing 3,000 tonnes of sugar beets per day and will produce 30,000 tonnes of sugar in the first years.

The construction of the plant was started on 1 November 1993 and approximately 100,000 million US dollars have been spent.

A part of the financing, required for the construction of the plant was met by the Uzbek Government and some part of the financing was met by the foreign credit opened by the Turkish Eximbank.

Meanwhile, it was reported that five new sugar plants are planned to be established in parallel with the potential of sugar beets and sugar consumption.

[16] TURKISH BUSINESSMEN IN EUROPE SHOW GREAT INTEREST IN PRIVATIZATION

Speaking to the A.A correspondent, Yardimci said that the Turks, who had lived with ''guest worker'' identities, were now known as the ''Turkish entreprenuers'' and provided employment for a lot of people in the countries where they are living.

''The Turks haven't been informed about privatization up until recent years. Today, we are briefed on privatization decisions and tenders. The Turkish entrepreneurs want to invest in their homeland. We want to increase our investments in Turkey, create new business opportunities for the Turks and increase employment opportunities,'' he said.

Stressing that several advantages and bureacratic facilities should be provided for the acceleration of privatization activities and to attract the attention of the Turkish entrepreneurs in Europe, Yardimci said that this will increase the capital inflow to Turkey.

Pointing out that a surtax is implemented on the imports of vegetables and fruit from Turkey, Yardimci said, ''the European Union was going to purchase watermelons, hazelnuts and tomato paste and export 19 thousand tonnes of meat. The EU countries put a surtax on Turkish products due to Turkey's not making imports of meat from the EU, thus we have a disadvantage in the European markets and the competitive power is weakening.''

[17] ISTANBUL TO HOST 7TH WORLD APTITUDE GAMES CHAMPIONSHIP BETWEEN 22-27 SEPTEMBER - 16 COUNTRIES TO JOIN CHAMPIONSHIP

The 7th Aptitude Games Championship organized by the International Aptitude Games Federation, will be held in Istanbul with the participation of the teams from 16 countries.

The US, Germany, Bosnia-Herzegovina, the Czech Republic, Finland, Croatia, the Netherlands, Japan, Hungary, Poland, Romania, Russia, Slovenia, Slovakia and the Ukraine are among the countries that will take part in the championship along with Turkey.

The brain team of Kosovo, where the clashes are occurring and the Serbian forces's attacks are continuing, sent a letter to Nevzat Erkman, the Captain of the Turkish Brain Team, who is realizing the organization in Turkey and requested financial support in order to come to Istanbul.

The Turkish Brain Team was formed by Metin Orsel, a businessman who graduated from the Bogazici University, Kamer Alyanakyan, a businessman who graduated from the Bogazici University, Metin Balci, a student at the Bogazici University, and Dr. Volkan Dilber, a psychiatrist at the Soke State Hospital.

The Ministry of Culture also supports the 7th Aptitude Games Championchip.

[18] SPORT-BOXING - WOMEN'S NATIONAL TEAM RECEIVES TWO GOLDEN MEDALS AND ONE SILVER MEDAL IN TOURNAMENT IN HUNGARY

Hulya Sahin received a golden medal in the 51 kg category and Gulay Kilic beat all of her opponents in the 75 kg category of the Second Witches Amateur Boxing Tournament which was held in Hungary between 13-16 August.

Fikriye Sen, who became injured in the last round of the 54 kg final, received a silver medal.

[19] TURKEY'S CREDIT RATING - DCR DOESN'T CHANGE ''BB-'' RATING

Meanwhile, the DCR, which evaluated Turkey for the first time, affirmed that the long-term domestic currency rating was BB+.

The DCR said in a written statement that the BB- rating included 14.8 billion US dollars in treasury bonds.

The DCR said, ''despite the Turkish government's successful policies to decrease the inflation and to restrict the financial deficit, the early general elections to take place in April 1999 created anxiety about the sustainability of these stable measures, thus the outlook has remained as ''stable''.

The DCR recalled that the three-year economic stability programme, which was announced by Prime Minister Mesut Yilmaz, targeted to increase the surplus in the budget excluding interest, to decrease the price increases in the consumer prices index to 55 percent and to 50 percent in the wholesale prices index as of the end of 1998 and to accelerate structural reforms like taxation and privatization.

''Generally, that programme was implemented successfully in the first half of 1998. Turkey signed the staff monitoring agreement with the IMF, the privatization was accelerated and the Parliament legalized the tax reform, '' it added.

The DCR had assigned a BB- rating with a stable outlook to Turkey on 11 March 1997.

[20] TEMIZEL, MINISTER OF FINANCE: ''WE HOPE CRISIS IN RUSSIA WILL NOT AFFECT TURKEY''

Responding to the questions of reporters Temizel said that Turkey at the moment was one of the countries which has a high credibility pointing out, ''we have ratified out credibility with one of the international organizations. As long as we continue to fully abide by the economic programs, then Turkey's credibility will continue.''

Noting that the crisis in Russia is in no positiion to affect Turkey and when he recalled the increase in the US dollar, Temizel said ''it may be because the markets have trade interactions with themselves. When there is a fluctuation in these countries, it is inevitable that this will affect a country which has a trade volume of six billion US dollars. However, these may be overcome easily.''

When asked if Russia's decision to stop foreign debt payments for three months will affect Turkey, Temizel said that Turkey has construction credits to receive from this country, but that it won't not be a problem because it is on the basis of dollars.

[21] BLACK SEA CHARMS FOREIGN YACHTSMEN

A total of 44 yachtsmen, 37 of them foreigners, arrived at the Black Sea coasts after touring Bulgaria, Romania and the Ukraine, starting on 11 July. They said that the coasts of Trabzon, Ordu and Samsun had a charming natural beauty.

Koen De Maat, a Dutch citizen, responding to the questions of the A.A correspondent said he had never seen the natural scenery of the Eastern Black Sea region anywhere else in the world.

Walter Plenk, a German and the owner of the ''Jubilado'' said that he participated at the same rally last year and complained about the inadequacy of the infrastructure at the harbours.

[22] CYPRUS QUESTION - MILLER, US DEPARTMENT OF STATE SPECIAL COORDINATOR TO CYPRUS DUE IN ANKARA ON TUESDAY

Turkey continues her resolution not to accept the S-300 missiles as an element of bargaining as Miller is reported to come with a proposal package including a suggestion for a flight moratorium on Cyprus.

Sukru Sina Gurel, the Minister of State Responsible for Cyprus, speaking to the A.A correspondent said that Turkey many times reiterated that she won't accept the S-300 missiles as an element of bargaining, adding ''there is nothing new to change our opinion at the moment.''

Noting that the issue came to this point as many wrong steps were taken so far, Gurel blamed Greece, the Greek Cypriot side and the European Union (EU) for the bottleneck in the talks. Gurel pointed out that as long as the attitudes of these sides aren't changed, then there is no need for us to assume a new attitude.

When recalled that although Miller didn't come with the issue of the S-300 missiles, but the proposal to declare a flight moratorium on the island, Gurel said that such a bargaining was unacceptable.

''We feel a threat stemming from the missiles and we have started to take the required measures against this threat'' said Gurel adding that it will be a wrong step for the Greek Cypriots to plan the purchase of the S-300 missiles as an element of the bargaining.

Miller was claimed to come to Ankara with a proposal package including the prevention of the coming to the island of the S-300 missiles in return for implementing a flight ban on Cyprus.

Gurel pointed out that Ankara will assume a negative attitude against the proposal for a moratorium, although it will be conveyed as dependent on the S-300 missiles and added ''Turkey will continue to take the required measures related to Cyprus.''

Miller, during his two day visit, is scheduled to meet with Bulent Ecevit, the Deputy Prime Minister, Gurel, the Minister of State Responsible for Cyprus and Ismail Cem, the Foreign Minister.

Meanwhile, diplomatic sources said that Miller requested to come to Ankara in July, but this request was turned down on grounds that it wasn't appropriate.

Miller is expected to proceed to Athens following his contacts in Ankara and won't be going to Cyprus.

[23] TURCOMANS REQUEST ARBITRATION FROM TURKEY

Mustafa Ziya, the Representative of the Iraqi Turcoman Front to Turkey, told the A.A correspondent that ''we want to overcome the problems in the region through dialogue with the arbitration of a third party like Turkey. There is no other solution.''

The Iraqi Turcoman Front, following the attacks on the houses of the Turcomans in Northern Iraq last week, wanted to meet with the KDP in Ankara to solve the problems under the supervision of Turkey.''

Ziya pointed out that they didn't find it adequate that the KDP would pay compensation following the attacks on the Turcomans, adding ''they didn't pay compensation following the attacks in Duhok on 31 August 1996 which they staged in alliance with Baghdad. We don't trust their promises. So, we want a third party as a referee.''

Ziya said that they haven't officially applied to Turkey for arbitration between the KDP and the Turcomans, but that talks were underway with this objective and added that a commission would be established to determine the damage the Turcomans received. Ziya said that a Turkish observer will be appointed to the commission apart from the officials of the KDP and the Turcoman front ''establishment of this commission wouldn't mean that the problems have been solved'' he added.

In response to the statement of the KDP which said that the attacks occurred against its own will, Ziya said ''we have absolute information. The public security forces of the KDP staged the attacks. They have told us that the criminals would be punished. They should punish themselves.''

Mentioning the contacts of David Welch, the Assistant Secretary for Near Eastern Affairs of the US Department of State, in Northern Iraq, Ziya said Riyaz Sarikahya, the leader of the Turkmeneli Party, conveyed to Welch the pressures of the KDP and that had wanted Sarikahya to leave the region within 24 hours. Ziya said that the house of Sarikahya was destroyed and other attacks took place.

Ziya also said ''the US has a plan for Iraq and there are pressures from Baghdad and the KDP not to include the Turcomans within these plans. The attacks on the Turcomans stem from these reasons.''

[24] TURKEY'S CREDIT RATING ...

The DCR said in a written statement that the economic policy of the Turkish government continues successfully.

Stressing that the existing economic policies can decrease the debt interest burden by breaking the inflationist expectations, the DCR said that the early general elections may harm the credibility of Turkey by damaging the stability of the policies.

The statement said that inflation and interests may increase and this would lead to a negative credit rating by the DCR if the budget surplus excluding interest can't be brought to the level of ''2-3 percent of the Gross National Product (GNP)''.

The DCR said that the competitive exporting sector, the market, which had integrated into the international system, capital flow and high foreign exchange reserves were the positive developments in Turkey, adding that the powerful economic growth also created employment.

Recalling that the unregistered economy in Turkey was between 30 and 50 percent of the GNP, the statement said that the unregistered economy prevented the reoccurrence of the financial crises.

Pointing out that the foreign debts of the Turkish private sector was in an upward trend, the DCR said that those debts had reached 70 percent of the total export income and thus it created an increasing burden on Turkey's foreign debt accounts.

The DCR said that the negativities in the Turkish economy were the continuing high inflation, the public sector financing deficits and the public sector borrowing burden, which was estimated to be 53 percent of the GNP in 1998.

Meanwhile, the DCR emphasized that the government successfully pursued the domestic borrowing policy so it affirmed a BB+ rating in the long-term domestic currency.

The statement said that the government didn't apply to the mint, but the most important factor damaging the value of the currency was the chronic inflation.

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