Anadolu Agency: News in English, 99-09-14

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AA Daily

14 Sept 1999 Tuesday

CONTENTS

[01] TURKEY-PRESS SCAN

[02] DURMUS, HEALTH MINISTER, PARTICIPATES IN WHO EUROPEAN REGIONAL COMMITTEE MEETING

[03] DURMUS, HEALTH MINISTER, MEETS BRUDTLAND, WHO DIRECTOR GENERAL

[04] U.S. LOCKHEED MARTIN COMPANY GRANTS 250,000 U.S. DOLLARS FOR SURVIVORS

[05] INDYK, THE U.S. ASSISTANT SECRETARY OF STATE: ''PKK WEAKENED IN NORTHERN IRAQ''

[06] FM CEM: ''A NEW GROUND FOR THE IMPROVEMENT OF THE TURKEY-EU RELATIONS HAS EMERGED''

[07] DENKTAS, TRNC PRESIDENT, IN NEW YORK - DENKTAS MEETS MOSES AND WESTON AGAIN

[08] EU COUNCIL RATIFIES ADDITIONAL AID TO TURKEY

[09] RUBIN, U.S. DEPARTMENT OF STATE SPOKESMAN, SAYS THEY WILL CONTINUE TO SUPPORT IMPROVEMENT OF TURKISH-GREEK RELATIONS

[10] CEM, FOREIGN MINISTER, RETURNS TO TURKEY - CEM: ''I HAVE CONVEYED VIEWS OF TURKEY ON EVERY ISSUE''

[11] FULL SUPPORT FROM THE U.S. TO TURKEY'S FULL MEMBERSHIP TO EU

[12] QUAKE AND INSURANCE IN TURKEY SEMINAR - ONAL, STATE MINISTER: ''THE INSURANCE OF BUILDINGS WILL CONSTITUTE A BEGINNING FOR TAKING PRECAUTIONARY MEASURES FOR THE QUAKES''

[13] YILMAZ, ANAP LEADER, MEETS OFFICIALS FROM U.S. DEPARTMENTS OF STATE AND ENERGY

[14] DEMIRALP, TREASURY UNDERSECRETARY: - ''TREASURY HAS A BORROWING SCHEDULE'' - '' WE PURSUE THIS PROGRAMME WHETHER OR NOT A QUAKE OCCURS''

[15] IMF DELEGATION IN QUAKE ZONE - COTTARELLI, IMF TURKEY DESK CHIEF, SAYS THEY WILL PREPARE A REPORT ABOUT AID MORE THAN 330 MILLION U.S. DOLLARS TO TURKEY IN END OF THEIR CONTACTS

[16] QUAKE AND INSURANCE IN TURKEY SEMINAR - DEMIRALP, TREASURY UNDERSECRETARY: ''LOSS IN TUPRAS IS MORE THAN ONE BILLION U.S. DOLLARS''

[17] TURKEY-EU JOINT CONSULTATION COMMITTEE SUMMIT TO BE ORGANIZED IN TRABZON ON SEPTEMBER 17

[18] ''COUNCIL OF COOPERATION AND SECURITY MEASURES IN ASIA'' MEETING

[19] TRNC PRESIDENT DENKTAS RETURNS FROM U.S. - ''IT IS NOT TIME TO INVITE TWO LEADERS TO A TETE-A-TETE MEETING''

[20] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING: - ''AID COLLECTED BY EFFORTS OF FOREIGN MINISTRY HAS REACHED 7 MILLION DOLLARS''

[21] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING: ''KOSOVO IS A SENSITIVE ISSUE FOR TURKEY''

[22] TURKEY-PAKISTAN RELATIONS - PAKISTANI FOREIGN MINISTRY UNDERSECRETARY AHMED HAN: - ''TURKISH-PAKISTANI COOPERATION IN UNITED NATIONS WILL CONTINUE''

[23] WORLD BANK ASSESSES DAMAGE OF MARMARA QUAKE AS 3-6.5 BILLION DOLLARS

[24] NEW CHAIRMAN OF EU COMMISSION, PRODI PROPOSES ''VIRTUAL MEMBERSHIP'' FOR TURKEY

[25] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING - ''I EXPLAINED TURKEY'S CONTRIBUTION TO EU IN BRUSSELS MEETING''

[26] EU GIVES 100 MILLION EURO FOR TURKISH NATIONAL EDUCATION MINISTRY'S PROJECT

[27] JOINT PARLIAMENT COMMISSION TO CONVENE IN STRASBOURG IN WEDNESDAY

[28] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING - ''I ATTRIBUTE IMPORTANCE TO DINI'S VISIT'' - ''I'LL MEET WITH 27 MINISTERS IN FIVE DAYS IN U.S.''

[29] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING - ''AS THE FOREIGN MINISTER, I LOST THE OPPORTUNITY TO CONTROL THE DEVELOPMENTS BETWEEN TURKEY AND GREECE''

[30] TREASURY SELLS 858.6 TRILLION LIRAS THREE-YEAR DEBENTURE BONDS

[31] QUAKE-WORLD BANK - CHHIBBER, WORLD BANK'S TURKEY DIRECTOR : ''AS OF NEXT WEEK, A WORLD BANK DELEGATION WILL WORK IN TWO GROUPS ON THE USE OF THE 1 BILLION 50 MILLION U.S. DOLLARS AID PACKAGE''

[32] PRESIDENT DEMIREL: ''I THINK THIS CALAMITY PROVED THAT THE TURKISH PEOPLE ARE EXCESSIVELY DEVOTED TO EACH OTHER''

[01] TURKEY-PRESS SCAN

HURRIYET (LIBERAL)

SCHOOLS SUSPENDED AT THE SAME DAY THEY STARTED EDUCATION
The strong quake, which hit the region when the schools reopened, caused panic among the teachers, students and their families. The students left their classes with screams. The parents rushed to schools in panic. The ministry, which failed to hear the voices of parents to extend summer recess, suspended the schools in Eskisehir, Bursa, Yalova, Bolu, Kocaeli, Sakarya and Istanbul to a later date.

MILLIYET (LIBERAL)

SPECIAL CREDIT FROM IMF
The International Monetary Fund (IMF) delegation, headed by Carlo Cottarelli, Chief of IMF Turkey Desk, will visit the quake zone. Recep Onal, the State Minister, said that the an additional 500 trillion Turkish lira will be issued to meet the damages of the quake. Onal said that the letter of intention concerning 1.5 million U.S. dollar quake aid committed by the World Bank is being prepared.

SABAH (LIBERAL)

JAPAN TO SEND 500 PREFABRICATED HUTS TO QUAKE ZONE
Japan will send 500 prefabricated huts to the quake zone in October. There will be a toilet, a bath and a kitchen in each hut. Yaman Baskut, Turkey's Ambassador to Tokyo, said that Turkey can get as many prefabricated huts as she wishes on condition that she will pay for the transportation costs.

CUMHURIYET (LEFT)

EU APPROVES OF ADDITIONAL AID
European Union (EU) Council, which held its montly meeting in Brussels, confirmed an additional aid, worth of 30 million Euro, to be used for construction of houses for quake victims.

Meanwhile, Foreign Minister Ismail Cem who participated in a luncheon given by the European Union (EU) Council upon an invitation, met with the foreign ministers of 15 countries which are members of the EU.

''We regard ourselves both European and Asian, and we evaluate this pluralism as richness,'' Cem said, pointing out that ''to this end, we are amazed when European dimension of our identity is questioned.''

RADIKAL (LEFT)

SABANCI SETS UP PARTNERSHIP WITH DUPONT
The Sabanci Holding and Dupont signed an agreement to set up a company to produce and sell polyster thread, fibres and polyster raw materials. The company will sell products to markets in Europe, Commonwealth of Independent States, Middle East and Africa. The company is planned to start production in November.

TÜRKİYE (RIGHT)

CONFIRMATION FROM THE EU TO QUAKE AID
The decision related with 30 million Euro aid, that will be used for the construction of buildings for quake victims in Turkey, was confirmed during the EU meeting held in Brussels.

TREMORS CONTINUE IN THE BALKANS
As aftershocks continue in Turkey, tremors measuring 3.4 in Bulgaria, 3.9 in Greece and 4 in Albania were recorded. There are no reported casualties or financial damage.

ZAMAN (CONSERVATIVE)

AN AFTERSHOCK WITH THE SAME MEASURE MAY OCCUR AGAIN
Prof. Dr. Ahmet Mete Isikara, the Director of the Bogazici University Kandilli Observatory and Seismology Institute, said that there may be earthquakes with a similar measure with today's strong tremor measuring 5.8 on the Richter scale of which epicenter was Kocaeli. Isikara said the strong quake which shook Kocaeli at 14:55 local time was an aftershock, adding that aftershocks would continue for a period of time. ''We give accurate information to the public. An aftershock with the same measure may occur again. Nothing is a surprise. Things happen in their nature. Earthquakes measuring over 6.0 on the Richter scale may happen, but their measure can't be over than 7.4,'' he said.

[02] DURMUS, HEALTH MINISTER, PARTICIPATES IN WHO EUROPEAN REGIONAL COMMITTEE MEETING

The ministers or representatives of 191 countries join the WHO meeting.

Gro Harlem Brundtland, the Director General of WHO and the former prime minister of Norway, said that they felt deep sorrow over the quake which hit Turkey on August 17, 1999 and that they sent medical equipment to Turkey worth of 130 million U.S. dollars at the first stage.

Brundtland added that a four-member team makes examinations in Turkey at the moment.

Submitting a draft including the six-month aid to Turkey after the quake, Brundtland noted that the draft will be voted on Wednesday.

Thanking all the countries which sent aid to Turkey, especially to Greece, Durmus said that WHO gave an example of solidarity in such a disaster.

Durmus proposed setting up a special emergency aid department for the quakes and disasters under the auspices of WHO. Durmus' proposal will be voted on Wednesday.

[03] DURMUS, HEALTH MINISTER, MEETS BRUDTLAND, WHO DIRECTOR GENERAL

Emphasizing that they discussed the quake which hit the Marmara Region and the issue of epidemics during the meeting, Durmus said, ''we have made an application to utilize from the WHO programme for the combat against the epidemics. Brundtland said that they will assist us if we came with a project prepared about the malaria.''

Stating that such project is not ready at the moment, Durmus noted that there is a draft resolution about the combat against malaria and that the project will be fulfilled in the shortest time.

Stressing that the epidemics is an important issue in Turkey, Durmus stated that the vaccination to combat against the epidemics were wrongly innoculated and used.

Noting that they will launch initiatives to combat with malaria especially in the southeastern Turkey, Durmus stressed that the quake which hit Turkey was taken on the agenda of Wednesday's session and that it will be discussed on Wednesday.

Durmus said that the European Union countries and the Turkish countries support Turkey about this issue.

When recalled that an aftershock measuring 5.8 hit the Marmara Region on Monday, Durmus said that it was earlier announced that there will not be a massive quake following the quake which shook the region on August 17 and that the biggest danger at the moment is the panic.

Durmus added that he gave instructions to the related organs to inform the citizens about this issue.

[04] U.S. LOCKHEED MARTIN COMPANY GRANTS 250,000 U.S. DOLLARS FOR SURVIVORS

Robert H. Trice, one of the deputy directors of the Lockheed Martin company, gave the donation cheque to Tolga Cubukcu, the Chairman of Turkish-American Associations Assembly.

The Turkish-American Council which covers many U.S. and Turkish companies, continue its initiatives to call the giant weapon companies which have deals with Turkey to give financial aid for the quake survivors.

[05] INDYK, THE U.S. ASSISTANT SECRETARY OF STATE: ''PKK WEAKENED IN NORTHERN IRAQ''

Addressing a news conference staged for the promotion of new Iraq report of the U.S., Indyk reiterated that Washington was absolutely against formation of a Kurdish state in Northern Iraq, adding that they were in close contact with Turkish government in all developments related with Iraq.

Responding to a question related with the activities of the terrorist PKK organization in Northern Iraq, Martin Indyk said existence of PKK in Northern Iraq has always been a source of concern for the U.S. and this concern continues. Yet that the U.S. worked together with Turkey, Iraqi Kurdish Democratic Party (KDP), and Patriotic Union of Kurdistan (PUK) against the terrorist activities of PKK in Northern Iraq and that the U.S. believes that these efforts yielded in a positive result in limiting the movement of the PKK in Northern Iraq.

Indyk said that was an ongoing problem because of the specialities of the area, adding that success will be recorded with the coordinated efforts of KDP, PUK, and Turkish forces. ''Yet, this will take time,'' he noted.

When asked how the U.S. evaluated formation of a Kurdish state in Northern Iraq, Indyk said Washington favored preservation of territorial integrity of Iraq, and noted that they opposed to the establishment of any other separate state on Iraqi territory.

The U.S. Assistant Secretary of State Indyk said they focused on two issues while also trying to change Saddam Hussein regime in Iraq, and noted the first one as the starting of initiative to this end inside Iraq and the second one as the prevention of separation of Iraq. He said territorial integrity of Iraq was one of the basic commitments of Washington agreement which KDP and PUK signed last year.

Martin Indyk said Iraq issue will be discussed during the scheduled visit of Prime Minister Bulent Ecevit to the U.S. The U.S. Assistant Secretary of state pointed out that the U.S. has an ongoing dialogue with Turkey which is northern neighbour of Iraq and which is closely concerned with the developments there.

He said the U.S. has a close cooperation with Turkish government and armed forces in inspection of no fly zone on Northern Iraq, and expressed hope that consultations with Turkey would continue during the visit of Ecevit to the U.S.. Indyk said Iraq was an important issue both for Turkey and the U.S., and that Turkey also felt uneasy over the instability in Iraq.

Indyk said Ecevit was briefed about the resolution on Iraq which was prepared by Britain and the Netherlands and brought to the agenda of the U.N. Security Council with the support of the U.S.

[06] FM CEM: ''A NEW GROUND FOR THE IMPROVEMENT OF THE TURKEY-EU RELATIONS HAS EMERGED''

Evaulating his contacts to the Turkish journalists prior to his departure from Brussels, Cem noted that he thinks that there are positive developments in the relations between Turkey and the EU.

Emphasizing that he explained the developments in Turkey during the meeting, that his statements were welcomed and that he noted down the ideas of the EU ministers, Cem stated that the policies which are followed in Turkey for the last two years, and especially the developments which were marked together with the parliament in the last three months, made themselves express their ideas better.

Noting that he had the impression that the relations will be better and positive from now on, Cem said, ''we are not discussing the Cyprus issue. This has no meaning. We perceive this issue as the problem between Turkish Republic of Northern Cyprus (TRNC) and the Greek Cypriot side which is its interlocutor on the Island.''

Stating that the reforms in Turkey are not being implemented for the sake of the EU, but for the sake of Turkey, Cem stressed that he had met with Romano Prodi, the new Chairman of the EU Commission, two years ago when he was the Italian Prime Minister.

Pointing out that he appreciates the ideas of Prodi, Cem emphasized that the meeting he held with Prodi today was ''very positive.''

Recalling that the report which Prodi's commission will prepare about Turkey will have an influence on the Helsinki Summit, Cem said that he expects this report to be positive.

Emphasizing that the Copenhagen criteria were not only the EU criteria and that this criteria include the humanitarian values targeted by Turkey, Cem noted that Turkey and the EU started to understand each other better.

Stressing that he cannot predict about the possible resolutions of the Helsinki Summit, Cem stated that he thinks that the approach should be one of cooperation, not of confrontation.

Cem departed Belgium after meeting with Richard Morning, the U.S. Permanent Representative to the EU.

[07] DENKTAS, TRNC PRESIDENT, IN NEW YORK - DENKTAS MEETS MOSES AND WESTON AGAIN

Moses who earlier put forward the ''tripartite sovereignty'' proposal, proposed the Turkish Cypriot, Greek Cypriot, three guarantor countries and the representatives of five permanent members of the United Nations (U.N.) Security Council to participate in the negotiations between the two sides on Cyprus.

Following the meeting, Denktas said that there is not any change in the position of the TRNC and that they want to include those who call the Greek Cypriot side as the 'legal government of Cyprus' in the negotiations.

Denktas continued, ''this means to say to the Greek Cypriot side to follow the path they followed so far, and not be afraid.' We are not ready for this. Our target is not to include more sides into the negotiations.''

Drawing the attention that there is not a suitable ground for the negotiations, Denktas noted that they are not in a hurry and that the other sides should know this.

Moses also proposed that the U.N. Secretary General should call the two leaders on Cyprus as the ''leaders of the two sides'' and that when he is invited to the meetings, Denktas can say that he is not a leader of a side, but he is the TRNC president. Moses also said that nobody will object this, and thus, the meeting will be held.

When asked whether the government will make a concession during the meeting between Premier Bulent Ecevit and President Clinton which will be held in Washington D.C. in the end of September, Denktas stated that there will not be another result in the end of the meeting between Ecevit and Clinton and that they do not have any concern that Turkey will make any concessions about Cyprus.

[08] EU COUNCIL RATIFIES ADDITIONAL AID TO TURKEY

The EU foreign ministers also shed green light for the European Investment Bank's granting 600 million euro credit to Turkey with a low interest and launched the procedures.

The Council decided to launch initiatives for the release of the 150 million Euro aid which was blocked by the European Parliament.

The EU Council also reached a consensus to allocate a great deal of money from the Mediterranean Fund MEDA II for Turkey as of 2000.

EU Council is also discusses granting macro economic aid to Turkey.

[09] RUBIN, U.S. DEPARTMENT OF STATE SPOKESMAN, SAYS THEY WILL CONTINUE TO SUPPORT IMPROVEMENT OF TURKISH-GREEK RELATIONS

Staging a press conference, Rubin noted that the U.S. has relations with Turkey and Greece which go back to very old times and that the relations between Turkey and Greece started to ease and improve after the quake disaster which occured in the two countries.

Rubin stated that a new quake hit Turkey on Monday and they have not received detailed information about the quake.

Recalling the visit of Madeleine Albright, the U.S. Secretary of State, to Turkey, Rubin said they will continue to support the improvement of the relations between Turkey and Greece.

[10] CEM, FOREIGN MINISTER, RETURNS TO TURKEY - CEM: ''I HAVE CONVEYED VIEWS OF TURKEY ON EVERY ISSUE''

Speaking at Istanbul's Ataturk Airport, Cem said the EU Council meeting held in Brussels was a positive one, adding that ''I have conveyed views of Turkey on every issue. Several ministers who attended the meeting told about their own views. It was a positive meeting in this understanding atmosphere.''

Recalling that Organization for Security and Cooperation in Europe (OSCE) meeting will take place in Istanbul on November 17, Cem said ''the head of states and foreign ministers of many countries will come. The 15 ministers who hosted me on Monday, will also be there. I have invited them to a luncheon.''

Cem noted that the meeting was a ''very positive'' one, adding that ''I have seen that we could better convey our views to them and that they could undertand us better with the efforts of Turkey which continues for two years.''

Foreign Minister Cem said he learned about the quake in Kocaeli, measuring 5.8 on the Richter scale when he finished his speech at EU Council meeting, noting that ''I have heard about the news when I finished my speech. Everybody was sorry about it. I hope this will be the last one and I wish our people would not suffer more.''

[11] FULL SUPPORT FROM THE U.S. TO TURKEY'S FULL MEMBERSHIP TO EU

Speaking to A.A correspondent, the official said breaking of the ice between Turkey and the EU was a development which made the U.S. very happy, and noted that Washington will support Turkey to be made a formal candidate of the EU.

The official said ''the things we can do are limited as we are not the member of the EU. Yet, we promote the sides to improve ties with Turkey on the direction of full membership.''

Cem's participation to a lunch with EU Foreign Ministers enlivened political relations between Turkey and the EU that were interrupted for two years. EU is expected to take its decision regarding Turkey's formal candidacy in Helkinki Summit in December.

[12] QUAKE AND INSURANCE IN TURKEY SEMINAR - ONAL, STATE MINISTER: ''THE INSURANCE OF BUILDINGS WILL CONSTITUTE A BEGINNING FOR TAKING PRECAUTIONARY MEASURES FOR THE QUAKES''

Speaking in the ''Quake Danger and Insurance in Turkey Seminar'', Onal said that the quake which hit the Marmara Region on August 17 led to financial and moral losses in Turkey and it was a big disaster.

Emphasizing that the state has many new responsibilities within the framework of reconstruction works, Onal noted that the state will repair the highways and roads, construct new buildings, and postpone the credit debts.

Stressing the importance of the measures to decrease the damage of the quake, Onal stated that the natural disaster insurances are one of the measures.

Recalling that Turkey is situated on the quake zone, Onal said that the building insurance should be encouraged.

Selcuk Demiralp, the Treasury Undersecretary, said that the amount of the damage in Turkish Petroleum Refineries Corp. (TUPRAS), exceeded one billion U.S. dollars.

[13] YILMAZ, ANAP LEADER, MEETS OFFICIALS FROM U.S. DEPARTMENTS OF STATE AND ENERGY

Yilmaz told A.A correspondent that they discussed the issues including the Baku-Ceyhan, Turkmen gas, Trans-Caucasus line, the energy investments in Turkey, the developments in Russia, and the quake disaster.

Emphasizing that he told the officials that he wishes the activation of the Baku-Ceyhan pipeline in the shortest time, the solution of the financial problem and U.S. side's being more active, Yilmaz said that the issue will be discussed again when Premier Bulent Ecevit visits the U.S.

Stressing that he told the U.S. officals that the Azerbaijani natural gas will not be an alternative for the Turkmen gas project, Yilmaz stated that the two projects is necessary for meeting Turkey's demand.

Noting that John Wolf, the Special Envoy of U.S. President Bill Clinton for the energy resources in the Caspian basin, will visit Russia next week, Yilmaz stressed that he will meet with Wolf in Russia.

Stating that Cumhur Ersumer, the Deputy Prime Minister and the Energy and Natural Resources Minister, will participate in Ecevit's visit to the U.S. in the end of September; Yilmaz said that Ersumer will meet with the U.S. energy investors.

Emphasizing that he informed the U.S. officials about the damages of the quake, Yilmaz said that the U.S. waits for Turkey's answer to the question 'what her real needs are.'

Yilmaz is expected to leave for Turkey today.

[14] DEMIRALP, TREASURY UNDERSECRETARY: - ''TREASURY HAS A BORROWING SCHEDULE'' - '' WE PURSUE THIS PROGRAMME WHETHER OR NOT A QUAKE OCCURS''

Responding the questions of the journalists, Demiralp noted that all the bonds issued by the Treasury can be considered as the quake bonds and that all the borrowings continue to be realized in accordance with the schedule.

Emphasizing that the International Monetary Fund (IMF) delegation headed by Carlo Cottarelli, the Chief of IMF Turkey desk, went to the quake zone and Ferhat Emil, Treasury Deputy Undersecretary, accompanied this delegation, Demiralp stated that he wanted the IMF delegation to visit the zone and that they should see the region before discussing the issues related with the quake zone.

Demiralp said, ''their points of view can change after they see the zone. I do not think that the IMF delegation can see a similar thing again in their life. The damage assessment expert from the World Bank who saw the quakes in Chili, Japan, Mexico, and the Philippines was shocked by the quake which hit the Marmara Region. He evaluated this quake as unbelievable.''

Stating that the letter of intention about the Emergency Aid Credit which will be taken from the IMF was given to Cottarelli, Demiralp stressed that Cottarelli will bring the letter of intention to Washington D.C.

Noting that the institutions can make different evaluations about the damages of the quake, Demiralp said that the World Bank took into consideration the ''physical destruction'' and the loss of production which is also called ''second effect'' while the State Planning Organization (DPT) evaluated the quake in respect for ''Turkey's economy.''

Emphasizing that having a compromise on the reports of the World Bank and DPT is not important, Demiralp noted that Turkey will take into consideration the reports of her organizations while the international organizations will take into consideration the World Bank report.

[15] IMF DELEGATION IN QUAKE ZONE - COTTARELLI, IMF TURKEY DESK CHIEF, SAYS THEY WILL PREPARE A REPORT ABOUT AID MORE THAN 330 MILLION U.S. DOLLARS TO TURKEY IN END OF THEIR CONTACTS

The IMF delegation headad by Cottarelli and accompanied by Ferhat Emil, Treasury Deputy Undersecretary, and Vural Kural, the Chairman of the Unit, went to Adapazari.

Cottarelli and his delegation visited the city and saw the effects of the quake.

Responding the questions of the journalists, Cottarelli recalled that the IMF decided to grant 330 million U.S. dollars to Turkey and that they increase their quota to 25 percent in such disasters.

Emphasizing that thus, the amount of their aid to Turkey reaches 330 million U.S. dollars, Cottarelli noted that they will also visit Izmit and Golcuk and will report their impressions after they returned to Washington D.C.

Later, Cottarelli and his delegation left for Izmit.

[16] QUAKE AND INSURANCE IN TURKEY SEMINAR - DEMIRALP, TREASURY UNDERSECRETARY: ''LOSS IN TUPRAS IS MORE THAN ONE BILLION U.S. DOLLARS''

Addressing ''Quake and Insurance in Turkey Seminar'' staged in Treasury Undersecretariat, Demiralp said it was not possible to prevent the quakes, yet added that loss of lives and property was not a fate.

Demiralp said insurance sector was brought to the agenda following this massive earthquake as it happened after all natural disasters, and noted that ''insurance sector developed after the year 1990's. It will continue to develop when the existing capacity that can be insured is taken into consideration. A total of 41 insurance companies act as of the end of 1998. Yet, it is clear that the conscious of insurance was not settled in Turkey.''

Demiralp said most of the buildings which collapsed during the last quake did not have quake insurance, adding that the state has very important duties as it happened after every natural disaster and noted that this formed a great burden on the budget.

Demiralp said the role of insurance sector in such incidents was to share the burden of the state in the healing of the wounds of the quake.

[17] TURKEY-EU JOINT CONSULTATION COMMITTEE SUMMIT TO BE ORGANIZED IN TRABZON ON SEPTEMBER 17

Dr. Kursat Eser, Co-Chairman of Turkey-EU Joint Parliament Commission's Turkey Wing and Karen Fogg, EU Commission's Ankara Permanent Representative will attend the meeting.

The meeting will focus on economic and social cost of the quake disaster in Turkey as well as the recent developments in Turkey-EU relations. Speakers will also read out reports on ''immigration'' and ''women''.

In the meantime, members of Joint Consultation Committee will have a consultation meeting with participants of ''Women Conference'' which will be organized by Turk-Is.

[18] ''COUNCIL OF COOPERATION AND SECURITY MEASURES IN ASIA'' MEETING

The Minister started his speech by reminding that global conflicts and polarizations came to an end while the world is entering the new millenium and added that international relations emerged as important in maintaining world peace and stability.

The formation of the Council of Cooperation and Security Measures in Asia must be supported by institutional formations and practical elements in order to become a security forum, he stressed. Cay also said experience of Organization of Security and Cooperation in Europe (OSCE) was used in the Council which was promising.

Cay spoke Turkish in the Council's meeting which was attended by Kazakh President Nursultan Nazarbayev.

The Minister said Turkey has always supported efforts to protect independence of countries, showed respect to their sovereignty and territorial integrity, did not interfere in their domestic affairs, worked for disarmement and control of weapons, and human rights. These principles have been once again approved in Almati and they are in accordance with the basic phylosophy of UN and Organization of Security and Cooperation in Europe, he said.

Cay pointed out that all member countries of the Council have total consensus about security matters.

Speaking about struggle against terrorism, Cay said he was happy to see the declaration widely covered the terrorism issue.

''We are happy to see that terrorism which threatens peace and stability and democratic life was widely covered in this declaration,'' he said.

Cay later joined the dinner given by Kasimcomart Tokayev, the Kazakh Foreign Minister. The Minister will be received by Nursultan Nazarbayev, the Kazakh President on Tuesday evening.

Cay and his delegation will return to Turkey on Wednesday morning.

[19] TRNC PRESIDENT DENKTAS RETURNS FROM U.S. - ''IT IS NOT TIME TO INVITE TWO LEADERS TO A TETE-A-TETE MEETING''

Upon his return from the U.S., Denktas said they stated in the U.S. that he would not go to a tete-a-tete meeting with Clerides if he received an invitation. ''We gave this message to the related circles in the U.S. It is not a good time for a tete-a-tete meeting between two leaders. The background is not yet ready. Meetings that have been held for long years without creating equality gave no results. Greek Cypriots always used these meetings for their own interest. We told them that if we were invited to a tete-a-tete meeting, we wouldn't go there because it has no point,'' Denktas explained.

''The U.S. authorities said they were thinking of other formulas. We will consider it if it is a formula that would protect our rights,'' he added.

Turkish Cypriots want good neighbourly relation in Cyprus, the TRNC President stressed. ''We want Greek Cypriots to give up hostility, this will be the beginning of a solution. Neither we nor Turkey created the Cyprus issue. It was created by Greek Cypriots and Greece by pursuing a policy of ''enosis'' despite the 1960 agreement. This is a Creet model. They have been trying to get hold of Cyprus for years using the Crete model. We and Turkey are opposing this with determination. Cyprus has been divided into two. There are two states and two nations. We are protecting our homeland, sovereignity, and property,'' the TRNC President said.

The Cyprus issue could now be discussed more sincerely and comfortably, Denktas added. ''I hope that the mentality during the time of Menderes and Karamanlis would help to solve this issue,'' Denktas said.

The recent warming between Turkish and Greek nations raised hopes, he stated. ''However, Turkey is still expected to make concessions. It is difficult to understand why this is so. It is Greece who wants to annex Cyprus, not Turkey,'' he emphasized.

Denktas noted that Turkey did not go one step further in the last 26 years in Cyprus. ''We will not make a concession. We did not go one step further, we are staying where we were. We are expecting the Greek side to end this animosity,'' Denktas concluded.

[20] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING: - ''AID COLLECTED BY EFFORTS OF FOREIGN MINISTRY HAS REACHED 7 MILLION DOLLARS''

Staging a press briefing in Foreign Ministry, Cem gave information about the foreign aid sent to Turkey due to the quake calamity.

Noting that more than 80 countries showed friendship to Turkey in her difficult and painful days, Cem stated that the Foreign Ministry has carried out an extraordinary work in this period.

The Foreign Ministry works on setting up foreign relations and forming foreign alternatives, which were necessary, Cem said, adding they submitted the results of all their work about this issue to the Prime Ministry Crisis Centre.

Pointing out that they worked on finding help abroad, Cem said that the amount of the aid in cash collected by the aid campaigns opened in Turkey's representations abroad and by those working in the Foreign Ministry in Ankara has exceeded 7 million dollars.

Cem added that the money collected in the account of the Foreign Ministry continues to be transferred to the concerned account of Ziraat Bank.

Cem emphasized that there shouldn't be any misunderstanding about the credits provided to Turkey due to quake disaster, as these credits won't be given immediately, rather they will be given when Turkey prepares projects to heal the wounds of the quake.

Referring to the credits provided by the European Union (EU), Cem said that an emergency aid credit of 35 million dollars will be given to Turkey at the first stage, later a long-term credit of 600 million dollars will be provided.

Cem stated that they expect EU to give another credit in important amount to Turkey, recalling that the Gulf Cooperation Council promised to provide a long-term credit of 400 million dollars after his visit to Kuwait last month.

Noting that the Islamic Development Bank will give 200 million dollars, its highest amount of aid to Turkey, Cem said this credit will be a long-term one with low interest.

Cem said that they are grateful to all countries and institutions for their support to Turkey.

[21] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING: ''KOSOVO IS A SENSITIVE ISSUE FOR TURKEY''

Cem said that the meeting that will be held in Bucharest on Wednesday about this issue is the first meeting organized in such a dimension after the Kosovo Crisis pointing out to the importance of this meeting.

Staging a press briefing, Cem said that ''in these kind of meetings Turkey always undertakes both a leading function and also becomes an element which reconciles disagreements and conflicts among the Balkan countries. This function of us continues.''

Noting that member countries of the Cooperation Among Balkan Countries except Yugoslavia will participate in the meeting in Bucharest, Cem said that they will have the opportunity to examine the developments in Kosovo in details in that meeting.

''Kosovo is a very sensitive issue for us, our society, and the Foreign Ministry. Our ministry carried out a good work in this field. We have two coordination offices in Kosovo. Here the aid that are given to Kosovo people is coordinated,'' said Cem.

Noting that they are in continuous contact with Albanian and Turkish socities in the coordination offices in Kosovo, Cem added that these centers have an influence in solution of some problems.

Cem said that the activities of the Red Crescent in Kosovo are carried out in these centers adding ''our work about Kosovo continues.''

[22] TURKEY-PAKISTAN RELATIONS - PAKISTANI FOREIGN MINISTRY UNDERSECRETARY AHMED HAN: - ''TURKISH-PAKISTANI COOPERATION IN UNITED NATIONS WILL CONTINUE''

At a press meeting held at Pakistani Embassy's residence, Ahmed Han briefed about Turkish-Pakistani relations as well as aid sent by Pakistan after the quake disaster.

The Pakistani Undersecretary also expressed grief over the lost lives following the powerful aftershock of Monday.

Ahmed Han reminded that Nawaz Sharif, the Pakistani President visited the disaster areas during his visit to Turkey and promised to help quake victims with a contribution of 10 million U.S. dollars. Ahmed Han submitted the aid cheque to President Suleyman Demirel on Monday and said the cheque should be regarded as a ''symbolical gesture'' and added that Pakistan would continue to send supplies such as tents, medicine and other needs.

The annual political consultation with Pakistan was held between Ahmed Han and his Turkish counterpart, Korkmaz Haktanir and his delegation. The two sides exchanged opinions about regional and global issues which concern both Turkey and Pakistan. During the consultations, the two sides agreed to act together about peace and security matters in UN meetings. Cyprus, Kashmir, Afghanistan, Middle East, and South Asia were also discussed. It was stated that Turkish-Pakistani relations contributed to regional stability.

Ahmet Han pointed out that economy and trade relations should be developed between Turkey and Pakistan. He reminded that Turkey-Pakistan Business Council was held in Istanbul in 1998 and another meeting at ministers level would be organized in Islamabad this year. Private sector plays an important part in developing relations between two countries, he also added.

Cooperation between small and medium scale enterprises, industry and trade chambers also plays a significant role and it must be developed, he stated.

Turkish firms are active, mostly in construction field, in Pakistan. Ahmed Han said Pakistan was waiting for Turkish private sector to invest in his country and they would try to give priority to Turkey. ''We made the necessary legal regulations in this field. An economical system exists which enables foreign firms to take 100 percent of their interest to their countries,'' he said.

Ahmet Han also noted that Turkish and Pakistani firms could work together on joint projects abroad.

[23] WORLD BANK ASSESSES DAMAGE OF MARMARA QUAKE AS 3-6.5 BILLION DOLLARS

The production loss was calculated as 0.6-1 percent of the gross national product (GNP) of Turkey by the World Bank.

World Bank Representation in Turkey released a statement saying that the money needed to meet the housing need and lessen the damage is believed to be 3.6-4.6 billion dollars.

The statement pointed out that the damage caused by yesterday's tremor and the immigration to other cities are not included in thse numbers.

World Bank pointed out that the total cost of the quake can't be indexed to one number. The Bank thinks that Turkey can provide a foreign source up to 3 billion dollars and the financial defecit can reach nearly 1.6 billion dollars.

''The government has to launch efforts to find foreign finance and source, these efforts must be carried out openly and in coordinated form. The government shouldn't be late in taking measures aiming at decreasing the number of dead people in disasters that can take place in the future,'' added the statement.

[24] NEW CHAIRMAN OF EU COMMISSION, PRODI PROPOSES ''VIRTUAL MEMBERSHIP'' FOR TURKEY

Prodi who spoke at European Parliament's General Council meeting said EU should seriously consider meeting the needs of countries which are far from full membership and it should be in close cooperation with them and offered ''virtual membership'' as a solution to prepare these countries for full membership.

Prodi stated that the EU could be open to security cooperation to meet these countries' needs and these countries could participate in the economy of EU and use the common monetary unit.

Speaking about the Balkans, Prodi said the situation in the Balkans needed special attention and the membership of Balkan countries was not expected soon. Balkan countries must first solve their own problems and must not think that the EU would find an answer to these problems after they become members, he added.

There will be a vote of confidence for the Chairman of the EU Commission and the Commission members during Wednesday's meeting.

Jacques Santer, the former Chairman of the EU Commission had to resign from his position because of increasing allegations of corruption within the commission.

[25] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING - ''I EXPLAINED TURKEY'S CONTRIBUTION TO EU IN BRUSSELS MEETING''

Staging a press briefing, Ismail Cem gave information about his speech in Brussels meeting and his impressions.

Recalling that all foreign ministers of the EU contries participated in the meeting, Cem said that he explanied completely the views and ideas of Turkey in his speech there.

Noting that there is such an approach in Turkey about relations with EU that ''let's join the EU, we will have many advantages,'' Cem said that the Foreign Ministry considers the issue from a different point of view.

''I brought this to the agenda, I approached the issue by explaining what Turkey will bring, how she will contribute to the EU and which original experience Turkey will use together with the EU. I saw that these were taken seriously by the EU officials in the meeting,'' said Cem, adding that in his speech he approached the relations with the EU from a historical perspective and stressed that a part of Europe regards Turkey as opposite to themselves in a historical process, but this view started to change slowly.

Cem said that he told the EU meeting that the psychological atmosphere is getting fine in Turkey after the reaction that came out regarding the decisions of the EU in December 1997 and this should be benefitted from.

Due to the impression he had during the meeting, Cem said Turkey started to explain herself better in the last two years, adding ''I also saw that my counterparts were open to agreement compared to the past.''

''I had the impression that the EU and Turkey tried to understand each other better in that meeting. I don't draw big conclusions from that. I don't act by the assumption that everything has been solved and decision in line with our wishes will come out. However, I can see that a good development can be possible,'' said Cem.

Foreign Minister Cem noted that there is a similar positive atmosphere regarding relations with Greece, pointing out that the relations are in a positive process including the joint committee meeting held with Greece.

''I don't again draw great conclusions and expectations from that, this is the general image,'' Cem said, stressing that Turkey will continue to develop in spite of the massive quake disaster.

Cem said that Turkey will also strengthen her determining and central status in Euasia together with her status in the world, adding ''Turkey fulfils her duty in the world and continue to do so in the future with great success.''

[26] EU GIVES 100 MILLION EURO FOR TURKISH NATIONAL EDUCATION MINISTRY'S PROJECT

The amount which was assigned by Mediterranean Cooperation Fund MEDA was described as the most important aid among those which were released by EU within the framework of financial cooperation with Turkey.

The aid will be used within the framework of reforms which were made to increase elementary education from five years to eight years and it will be utilized in schools in Adiyaman, Agri, Sakarya, Ardahan, Bayburt, Bingol, Diyarbakir, Erzurum, Kars, Mus, Sanliurfa, and Siirt.

A total of 100 schools and 1000 teachers' residences will be repaired and 2000 schools will be equipped with educational materials with the EU support.

National Education Minister's project also includes educating those who could not receive basic education, starting regional education campaigns to emphasize the importance of education and incitements in foreign language teaching.

[27] JOINT PARLIAMENT COMMISSION TO CONVENE IN STRASBOURG IN WEDNESDAY

Kursat Eser, deputy from Nationalist Movement Party (MHP); Sacit Gunbey, deputy from Virtue Party (FP), and Ismail Bozdag from Democratic Left Party (DSP) will represent Turkey at Wednesday's meeting.

Daniel Cohn-Behdit, member of Greens and Kursat Eser will run the meeting as Co-Presidents.

In the two-day meetings, the Turkish delegation will focus on granting of full membership to Turkey in Helsinki and removing of difficulties on financial aid caused by the customs union.

[28] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING - ''I ATTRIBUTE IMPORTANCE TO DINI'S VISIT'' - ''I'LL MEET WITH 27 MINISTERS IN FIVE DAYS IN U.S.''

Staging a press briefing, Cem said that Dini is an Italian politician who supports some sensitive matters of Turkey in principle, adding ''Dini said in the press briefing we had together two years ago that there were two republics, one Turkish and one Greek, on Cyprus and if this fact was ignored, no progress would be achieved on Cyprus. Later some unpleasent events and misunderstandings took place between Turkey and Italy. But both Mr. Dini and I defended the view of overcoming these problems. We wanted the two countries to catch again the friendship level that they had within the framework of historical good relations. The visit of Dini tomorrow has that meaning. We'll evaluate with him all the issues that concern our region and countries.''

Giving information about his visit to the U.S., Cem said that he will meet with 27 ministers and EU Commissioner for Enlargement in five days in the U.S.

Cem stated that he had appointments with Luxembourg, Finnish, Swedish, Danish, Spanish, Belgian, the Dutch, German, Austrian, Portuguese, Greek, American, Mexican, Swiss, Icelander, Russian, Syrian, Iranian, Sudanese, Irish, Croatian, Yugoslavian, Israeli, Iraqi, Pakistani and Ethiopian foreign ministers and will meet them during his contacts.

Noting that he will meet with other five ministers, Cem stated that the schedule of the American and Chinese foreign ministers is very busy, adding that he competes with the Chinese foreign ministers regarding the number of his contacts.

Pointing out that his being busy in the U.S. is normal, Foreign Minister Cem stated that ''we'll have meetings with foreign ministers of various countries as Turkey is a world state with her significant cultural and historical status, these are useful meetings which are held in short time. You can explain your own country and understand the view, concerns and regards of other countries about Turkey.''

Noting that he will also address the UN General Assembly on behalf of Turkey, Cem said that he will proceed to Washington D.C. and accompany Premier Bulent Ecevit in some of his contacts.

Cem added that he expects his contacts in the U.S. to further improve the existing good relations between Turkey and the U.S.

[29] FOREIGN MINISTER CEM STAGES A PRESS BRIEFING - ''AS THE FOREIGN MINISTER, I LOST THE OPPORTUNITY TO CONTROL THE DEVELOPMENTS BETWEEN TURKEY AND GREECE''

Responding to questions during the press briefing he staged the same day, Ismail Cem evaluated the latest situation in the relations between Turkey and Greece.

Noting that he has concerns about the positive developments in the relations between the two countries, Cem said that he is in favour of committee meetings, that were held lastly in Athens and would continue in Ankara on Wednesday, to be carried out silently and calmly and in a manner which would not create more expectations that were all appropriate to his own style.

Pointing out that great expectations come out in both societies following the devastating earthquake in Turkey, Cem said, ''as the Foreign Minister, I lost the opportunity to control this. I wanted it occurred silently and calmly but there is a boom in sympathy and expectations both in the two sides.''

Noting that those developments were positive but there might be serious disappointments both in the two societies if there would be any interruption, Cem said, ''I hope this will continue without interruption.''

Responding to another question, the Foreign Minister recalled that in his letter he had sent to Greek Foreign Minister Yorgo Papandreu prior to the dialogue process, he had proposed joint struggle against terrorism and a bilateral agreement between Turkey and Greece, adding that the Greek Foreign Minister, in his reply, had proposed to include five more issues in the process by not limiting it only with terrorism.

Recalling that the Turkish and Greek committees continue their talks, Cem said, ''at this stage, there is no need to enter into an opinion like what can be done if these talks would not bring a result?''

Evaluating Greek Deputy Foreign Minister Yannis Kranidiotis's statement saying, ''Greece expects gestures from Turkey concerning the Cyprus question,'' Cem said that such a statement was not made during his meeting with the Greek Foreign Minister yesterday.

Stating that his Greek counterpart, at their meeting, proposed him to develop the dialogue process between Turkey and Greece, Cem said they discussed the opinion that the positive developments in the relations can be reflected into some issues like energy transportation, determination of common policy for some global problems and into the field of sports.

Evaluating the attitude of Sweden and Denmark against Turkey's membership to the European Union (EU), Cem said he did not have the impression that those countries don't have a special drawback or put forward a special condition.

''Of course, this does not mean that they or their interlocutors don't have such an intention,'' he said.

Stressing that yesterday's meeting in Brussels was not a negotiation, Cem said, ''besides, we have not officially received anything that can be called drawback. Also we are following this from the press.''

''They will make an evaluation. I always say that this partnership is beneficial for both Turkey and the EU. I mean this issue does not belong only to Turkey so they will evaluate it. We have good will and intention, and we are ready, and we took its decision in 1963; all the governments have put forward the EU membership as a target in front of Turkey. We are here, they will evaluate this. I hope there will be a positive development, '' he stated.

Noting that he had planned to leave for Sweden six months ago but he couldn't pay that visit, Cem said within this framework, he would visit Sweden and Denmark in November.

When reminded of the news about a road map that would be put forward in front of Turkey concerning the process of her candidacy to the EU, Cem said he read some things in the newspapers but he did not officially receive anything about the issue at his contacts.

Noting that he knew Finnish Foreign Minister Tarja Halonen for ten years, Cem said, ''during my speech at yesterday's meeting, I stated that Turkey will certainly fulfil some duties after candidacy.''

Stating that the ''screeing process'' was a concept of the EU's official terminology, and it was called ''road map'' in daily language, Cem said that any issue that could create uneasiness has not been put forward in front of Turkey during the term presidency of Finland.

Recalling that he held a meeting also with European Commission Chairman Romano Prodi in Brussles, Cem said, ''I did not get an impression that Mr. Prodi does have an intention to raise a special obstacle in front of Turkey. Both Turkey and the EU should not restrict themselves with terms and concepts.''

''There is not a thing from which Turkey should abstain concerning this issue. However, the things that we oppose to should not be put forward as conditions in front of us,'' he stressed.

Responding to a question, Cem said Turkey's relations with the EU are different from her relations with the U.S.

Emphasizing that the EU has to analyse Turkey seriously, Cem said there were some misunderstandings, and the EU was looking into the issue from the view point of its historical experiences.

Evaluating the relations between Turkey and the U.S., Cem said the U.S. has always global geostrategical approaches while the EU does not adopt such kind of approaches as a whole although the EU countries separately have similar approaches.

Recalling that Turkey has some policies that are in contradiction with the U.S. policies, Cem said Turkey has geographical interests while the U.S. has global interests.

Noting that the U.S.has specific approaches towards the region in accordance with her own interests but Turkey's priority is different, Cem said, ''Iraq is our neighbour. As Iraq is country with whom we share the history, we have different priorities like the territorial integrity of Iraq.''

When reminded of the news claiming that the U.S. prepared some plans concerning the Cyprus question, Cem said they have not received a plan that were prepared at official or unofficial platform.

''We have never adopted an understanding that we don't want a compromise. However, we never accept the developments that may lead to a minority status for the Turkish Cypriots. As the guarantor country, we protect our rights and use them till the end,'' he said.

Pointing out that they support a basis which will provide a compromise on Cyprus, Cem said, ''however, we never welcome solution proposals that force us to accept. We never do anything that will ease the formation of this.''

''Our basic parameters concerning the Cyprus question are still in existence. There was not a change, and there won't be. The side for solution on the island is the Turkish Republic of Northern Cyprus (TRNC), but as the guarantor country, we always interest in the Cyprus question and support the TRNC. There is not any lack of accord between Turkey and the TRNC,'' he said.

Responding to a question about the Chechenya problem, the Foreign Minister said that as the Foreign Ministry, they have approached towards the issue very sensitively, and they hope the clashes in the region will stop in the shortest time.

[30] TREASURY SELLS 858.6 TRILLION LIRAS THREE-YEAR DEBENTURE BONDS

A total of 858.6 trillion Turkish Liras (TL) nominal-valued papers were sold, and the Tresury obtained 853.1 trillion TL in revenues while the total offer had been 1 quadrillion 207.1 trillion TL.

The value date of the debenture bonds is September 15, 1999, and the maturity is August 14, 2002.

At today's tender, the minimum annual simple interest rate was 84.36 percent; the minimum annual composite interest rate was 115 percent while the maximum annual simple interest rate became 90.88 percent, and the maximum annual composite interest rate became 126.80 percent.

In yesterday's tender for six-month bonds, the total offer had been 1 quadrillion 348.8 trillion TL while the Treasury had sold 828.6 trillion TL nominal-valued papers and the net sale had become 587.6 trillion TL. At this tender, the annual simple interest rate was 81.89 percent, and the annual composite interest rate was 98.66 percent.

The Treasury will realize 1 quadrillion 288 trillion 168 billion TL in foreign debt repayment on Wednesday.

The Treasury's total foreign debt repayment in September will reach 2 quadrillion 79 trillion 188 billion TL.

[31] QUAKE-WORLD BANK - CHHIBBER, WORLD BANK'S TURKEY DIRECTOR : ''AS OF NEXT WEEK, A WORLD BANK DELEGATION WILL WORK IN TWO GROUPS ON THE USE OF THE 1 BILLION 50 MILLION U.S. DOLLARS AID PACKAGE''

Staging a press conference, Ajay Chhibber said that the emergency loan, which had been committed to be given to Turkey, would not increase over to 1 billion 50 million U.S. dollars, stressing that additional financial aid might be extended within the framework of the government's reform programme.

Ajay Chhibber recalled that the the World Bank's 1 billion 50 million U.S. dollars loan would be used as a ''contribution to the budget'' and firstly in reconstruction.

Chhibber stated that the World Bank's sub-ordinate organization the International Finance Corporation (IFC) would give financial aid to small- scale enterprises which suffered damage in the quake.

Ajay Chhibber said that Prime Minister Bulent Ecevit, during his visit to Washington D.C., would meet with World Bank President James Wolfensohn and discuss the World Bank's aid to Turkey.

Ajay Chhibber said that their a work on the quake damage was carried on the sectoral basis but it would be different from the works of othur organizations.

''It is impossible to determine a single figure in estimations. We collected our evaluations in a few factors. One of these is direct effect of the quake, that is its physical damage, the second one is its indirect damage, that is its damage to whole economy,'' he said.

''The third factor was the reaction of the government aganist the quake. The fourth factor was the quake's social effect. Concerning its social damage, the priority should be given to the people who are really in need of help. Legal arrangements, which can create revenues, should be adopted, and domestic borrowing should be avoided insofar as it's possible to enable the economy to recover itself. The small and medium scale enterprises, which were badly affected by the quake, should be earned by the economy again. In the estimations, there was a problem of the cost of the houses. Since we couldn't figure the real cost of the houses, there may be a difference of approach with other institutions concerning the estimation. There can be a difference of methodology between our estimation and the State Planing Organization and other organizations in Turkey. We have a worldwide experience in this issue, and the international organizations will take into consideration our independent results. We defend our report. Besides, our work is not different from the works of other organizations but it has a complementary characteristic. The Turkish government has asked us to carry out such a work,'' he said.

''Besides, we did not include the costs to our estimation in case of removal of Adapazari, Izmit and Golcuk as urbans. If this happens, we can fix the prime cost again,'' he said.

According to the World Bank report, the growth rate within the framework of this year's Gross National Product (GNP) would decrease to between -1.0 and -1.8 percent while the growth rate in 2000 would be between 5.8 or 6.0 percent as a result of the positive effect of the reconstruction activities on the economy.

According to the report, the deficit in the balance of current accounts would be 0.5 percent this year and this rate will increase to 1 percent next year.

The World Bank report estimates that almost 400 to 600 thousand peadple were left homeless due to quake.

[32] PRESIDENT DEMIREL: ''I THINK THIS CALAMITY PROVED THAT THE TURKISH PEOPLE ARE EXCESSIVELY DEVOTED TO EACH OTHER''

President Suleyman Demirel received Fuat Miras, the Chairman of the Turkish Union of Chambers and Commodity Exchanges (TOBB), and the accompanying delegation.

Noting that there was a need for construction of 30 to 40 thousand temporary buildings, the President said the most serious problem was the coming winter season.

Stating that there would be a need for at least five billion U.S. dollars to reconstruct the industry together with infrastructure, President Suleyman Demirel said the money would be found and there wouldn't be any problem.

A.A

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