Cyprus PIO: News Update in English, 98-05-12

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From: The Republic of Cyprus Press and Information Office Server at <http://www.pio.gov.cy/>

News Update

Tuesday 12/05/98

CONTENTS

• [01] President Clerides says economic prospects for Cyprus are encouraging
• [02] Foreign Minister in France
• [03] US "chastened" by the difficulties over Cyprus
• [04] Finance Minister addresses EBRD meeting

[01] President Clerides says economic prospects for Cyprus are encouraging

He said growth rate this year is expected to reach 4,5 per cent compared to 2,5 per cent in 1997, while both the fiscal deficit and unemployment as well as inflation are expected to fall to 3,0 per cent.

Clerides stressed that the government's goal is to fulfil the Maastricht criteria, pointing out however that its economic policy has a number of wider goals.

As regards tourism, President Clerides said the strategic goal is to enrich the island's tourist product, to attract more middle and upper-class tourists.

President Clerides noted Cyprus is preparing for EU accession, expressing confidence that "this vision will be turned into reality".

[02] Foreign Minister in France

The Foreign Minister told the press that Cyprus expects its course of accession to the European Union to have a positive influence on efforts for a solution to the Cyprus problem.

Over a lunch for leading personalities hosted by Cyprus' ambassador to France, Andreas Pirishis, Mr Kasoulides stressed that the Cyprus government remains as committed as ever to the re-unification of the island and expressed the wish that a united Cyprus would join the EU.

He stressed, however, that Cyprus could not remain a hostage of Turkish intransigence in efforts for a settlement.

The Foreign Minister pointed to the unacceptable demand by Turkish Cypriot leader, Rauf Denktash, for recognition of the pseudostate unilaterally declared in 1983 in the Turkish-occupied north of Cyprus, if he is to participate in negotiations aiming at a solution.

Kasoulides also referred to Mr Denktash's rejection of a proposal by President Glafcos Clerides for the Turkish Cypriot side to nominate representatives in the official team to carry out the EU accession talks.

Kasoulides leaves France today for Argentina. On 16 May he will visit Colombia and on May 20 he will go to New York, returning to Cyprus on 23 May.

[03] US "chastened" by the difficulties over Cyprus

Asked at his daily press briefing yesterday whether the State Department agrees with Ambassador Holbrooke who gave the responsibility for his failure to the Turkish-Cypriot side and Turkey, Mr Rubin asserted that Secretary Albright and Ambassador Holbrooke see the situation identically.

He stressed, however, that Mr Holbrooke had pointed out that the key problem, "was the decision to say that the declaration had to occur in advance and that the EU had to rescind its willingness to have Cyprus join the EU. But I don't think he left the other parties blameless".

Commenting on a statement by Special Cyprus Coordinator, Ambassador Miller, who said that Ankara, and not Denktash, is to blame for the obstacles in Cyprus, Mr Rubin said that "primary responsibility for this failure lies with the parties themselves".

"We work with Turkey, a close ally and friend, on a wide range of important issues. We speak frankly to each other as good friends. The Turkish leadership is aware of the importance we attach to the Cyprus issue. We believe it is in Turkey's national interests to support a Cyprus settlement".

[04] Finance Minister addresses European Bank meeting

Mr Christodoulou referred to the "catalytic role" the EBRD has to play for Cyprus and the other 10 countries applying for European Union membership.

Cyprus is a founding member of EBRD, which finances development projects in Central and Eastern European countries and in former Soviet Republics.

From the Republic of Cyprus Press and Information Office (PIO) Server at http://www.pio.gov.cy/

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