Subject: A.N.A. Bulletin 13/9/93
From: miltos@nfl2.irc.nrc.ca

        Athens News Agency Bulletin, September 13, 1993
        ===============================================

        Athens, 13/9/1993 (ANA) - Prime Minister Constantine Mitsotakis
on Saturday said that his government had kept its pledge to make
the Greek economy stronger and warned that a return to the
economic policies of the previous decade would plunge the
country further into debt. "We worked hard to make our country
strong and proud again. We put the interests of the nation and
the people above our narrow political interests. We took great,
difficult and painful decisions to put Greece back on its feet
and we asked the people to make sacrifices", the premier said at
an official dinner to mark the opening of the 58th Thessaloniki
International Fair. "Now that the time has arrived for the Greek
people to reap the fruits of its sacrifices, an alliance of
specific financial interests and personal ambitions has
disrupted the government's course, striking a direct blow
against both Greece and the Greek people".
	Referring to a March 1990 letter from European Commission
President Jacques Delors that emphasised the need for "drastic"
measures and implementation of a long-term recovery programme,
Mr. Mitsotakis said he had kept his pledge to the Greek people
to implement such a programme without compromise. "What is the
present state of the Greek economy ... The answer has been
provided by all objective observers who have been monitoring our
economy - the European Community, the Organisation for Economic
Co-operation and Development, the International Monetary Fund.
The Greek people, however, do not need international
organisations to know that the economy is stronger today that it
was in 1990", he said.
	The premier added that, although the public deficit has been
reduced, the economy" has not yet been completely freed from the
burdens of the past", noting that 25 per cent of the taxes paid
by the Greek people went to pay interest on loans from the '80s.
Mr. Mitsotakis said that despite these obstacles and
difficulties, the government's policies had yielded considerable
improvements in Greece's economic indicators and warned that
cancelling planned denationalisations of state - owned companies
would jeopardise these improvements.
	"In 1993, investments have begun to rise and will be five per
cent greater than in 1992. Exports rose for the third
consecutive year despite an international recession.
Unemployment is levelling off: In the last seven months there
has been a slight downward trend, from 7.9 per cent to 7.3 per
cent in contrast to the rest of Europe where three million
people joined the ranks of the unemployed in the first six
months of the year. Inflation fell to 14.6 per cent in August
and will continue to fall over the next few months. At the end
of the year, if our policies are not overturned, inflation will
be around 12 per cent - the lowest rate for the last 15 years.
In the first half of the year the current accounts showed a
surplus for the first time and our foreign exchange reserves
have reached 8.5 billion dollars from 2.3 billion in March 1990.
Our competitiveness has increased and Greece's gross domestic
product (GDP) is growing at a time when in the rest of Europe it
is shrinking, "he said.
	The premier said that despite the problems that remained, the
government had been successful in restoring confidence in the
Greek economy. "If confidence in the economy is lost, then
everything could be lost", he said, adding that the sharp drop
in share prices following this week's announcement of early
elections clearly illustrated the "grave danger lurking ahead if
Greece returns to the failed policies of the '80s". The prime
minister presented an overview of the government's policies and
achievements in the last three years, including tax reform,
infrastructure works, social insurance and privatisation.
	"Our government was the first in post-war Greece that had the
courage to curb decisively the size of the public sector and the
scope of the state's intervention ... This is crucial for our
country's course. The progress in privatisation must not be
halted", he said. "Greece has become stronger in the last three
years. We moved a step forward although this was not achieved
without cost. The Greek people, through their sacrifices and
hard work, paid the price of the economy's restructuring. The
government paid the price with temporary unpopularity. We did
not have the financial ability to satisfy as we would have liked
the existing social needs because we had one inviolable
principle: we will not conduct social policy with borrowed
money", he said, adding that some steps had been taken to
address social imbalances.
	Mr. Mitsotakis said the future course of the Greek economy was
now in the hands of the Greek people. "If on October 10 the
Greek people choose to move Greece forward, then 1994 will be an
excellent year for the Greek economy. The continuation of a
climate of confidence in the drachma that our government has
created and the momentum created by the large infrastructure
works and privatisations will permit us, as already announced,
to end the austerity in salaries and state pensions", he said.
	Noting that even international organisations such as the OECD
agreed that wage and pension freezes should be lifted, Mr.
Mitsotakis said wage increases would be slightly above inflation
and pledged additional relief for recipients of state pensions.
He also reviewed several large, self-financing infrastructure
projects underway that would spur the economy. "The new
international airport at Spata is a 500 billion drachma
investment and will create 5,000 new jobs in the construction
phase. Private power plants in Thisbe are a 100 billion drachma
investment and will create 1,000 new jobs in the building phase.
The casinos and marinas are investments of 300 billion drachmas
and 5,000 new jobs", he said. "The economic prospects for 1994,
provided that our policies are continued, are promising. But
what will happen if Greece returns to the failure and decline of
the '80s? The answer is simple. The Greek people will be called
on to pay a huge sum because of the cancellation of the
privatisation. This year an additional 400 billion in taxes will
be levied if the privatisations are cancelled... The confidence,
the huge investments and the new jobs will be lost. More
importantly, if we do not meet the conditions for economic
convergence [ set by the Maastricht treaty] then we will
certainty lose all moneys Greece is to receive under the Delors
II package of aid to the European Community's less developed
countries", he said. "Our economy is like a plane that has begun
its take-off. If the engines - that is, investments and trust -
are suddenly turned off, then the plane will plunge back to
earth and the Greek people will most certainly pay dearly for
the crash", he added.
	Mr. Mitsotakis said that when the government assumed office in
1990 it had been aware that there was no easy way out of the
economic morass but had shouldered the responsibilities of
resolving a problem which it had not created. "The October 10
elections will be critical for the future of our country. In
today's ever-changing world, the power exercised by a nation is
dependent more that ever before on its economic power. Our dream
for Greece is for it to expand its influence through its
unrivalled economic talent and the strength of its education and
culture over the broader region comprising its historic field of
activity. The 1,300 Greek business currently established in the
Balkans and the Greek-owned merchant fleet, ranked first
internationally, illustrate our enormous potential", he said.
"Through peace, co-operation, national unity and, above all,
responsibility and work, Hellenism will once again win the place
it deserves in a united Europe and the world. The progress of
the Greek economy will once again become a substantial source of
national strength and a toll to satisfy social needs. This is
the potential that will open up to October 10 if Greece takes
the great decision to move forward", he said.
	"The first four-year term of the PASOK government was a period
of lavish benefits. Thus in the second term, rather that 'even
better days' it brought austerity and hardship... We did the
opposite. In the first term we built. We had the courage to
remain uncompromising to the end. We restored Greece's pride and
strength. Thus the time has come in the second term for us to
enjoy the fruits of our sacrifices and efforts", he said. Mr.
Mitsotakis said the Greek people were faced with a clear choice
on October 10.  "Will Greece stand tall and proud ... dominant
in its broader region or will it return to disrepute and
weakness?? Will we move forward with the completion of Greece's
economic restructuring or will we return to the economic, moral
and national decay of the '80s? For me the answer is crystal
clear: we will stand tall, unyielding and uncompromising,
fighting passionately for our principles and beliefs and our
vision for the future. The Greek people will not turn back.
Greek people will not turn back. Greece will not turn back", he
said.
	The main opposition party, the Panhellenic Socialist Movement
(PASOK) in its response to the premier's speech, said that it
was solely concerned" in absolving himself of blame". "Mr.
Mitsotakis' sole concern in [Saturday's] summing up of what has
been achieved in the past four years is to convince others that
he is not to blame for anything", an announcement from PASOK
press office said. "His insistence on pinning blame for his own
failure on what he took over from PASOK shows the extent of
irresponsibility on his part. We call on him once more: compare
current economic indices with those he inherited from PASOK in
June 1989 which will show the unbearable weight the New
Democracy government has piled on the national economy".
	In its response, the Coalition of the Left and Progress said:
"No matter what Mr. Mitsotakis may say, he cannot conceal the
truth. The people have paid dearly for New Democracy's
policies". To reverse the present catastrophic course, [we must]
change the administration of funds [institute] a bold,
democratic tax reform, streamlining and granting full autonomy
to public services and significantly improving wages and
salaries", the statement said.


	Athens, 13/9/1993 (ANA) - Prime Minister Constantine Mitsotakis
said yesterday Greek voters next month had to choose between his
government's policies for a stable future or the return of
discredited socialism. "There are two crystal-clear choices
which the Greek people have to make today",  Mr. Mitsotakis told
a news conference in Thessaloniki. "Will we follow the path of a
free-market economy or will we return to nationalisation? Will
we steadily progress towards united Europe or will we turn back
to the Third World experiments?" Mr. Mitsotakis said. The
premier defended his government's work to "rehabilitate a
staggering economy inherited from the socialists in April 1990",
citing favourable reports from the International Monetary Fund
(IMF) and the Organisation for Economic Co-operation and
Development (OECD). "The reports says exactly what we have been
saying to the people - that our economy is now moving in the
right direction with favourable future prospects. If our
political opponents do not believe what we say, then they should
at least believe the IMF and OECD reports", he said.
	The premier called for early elections last week when two of
his conservative deputies defected to a new party founded by his
former foreign minister Antonis Samaras. Mr. Mitsotakis has
branded his one-time protigi and the deputies who left his party
"back stabbers" and "traitors" who ignored the will of 47 per
cent of the people who voted for the New Democracy party. But in
Thessaloniki the premier went a step further and called on
deputies planning to quit the party, to do so as quickly as
possible. "If there are others considering the same move, they
should do so. It is the best thing they can do and I call on
them to leave as soon as possible. Both New Democracy and the
new government will come out strong", Mr. Mitsotakis said.
"Greece works, produces and moves ahead. This is the message of
this year's - the 58th - Thessaloniki International Fair" the
premier said after visiting various Helexpo pavilions. Mr.
Mitsotakis visited the Cyprus, US and EC pavilions and those of
the Greek Aluminium Federation and the Greek Police. At the EC
pavilion he was greeted by Greek European Commissioner, Ioannis
Paleokrassas. Earlier, the premier visited the TIF head office,
where he was briefed by Alexander Bakatselos, the president of
Helexpo, the organisers of the conference. Mr. Bakatselos
emphasised the significance of Helexpo regional policy ,
especially recent exhibitions in Komotini and Ioannina.


	Athens, 13/9/1993 (ANA) - Prime Minister Constantine Mitsotakis
met with New Democracy European Parliament deputies last night
after returning from Thessaloniki. Eurodeputy Panayiotis
Lambrias said after the meeting that the premier had asked the
group to participate in New Democracy's re-election campaign.
"Our slogan is: Greece will not go backwards. The country's
problems are national, economic and social. We must not return
to the 'lost decade'", he said.


	Alden Biesen, Belgium 13/9/1993 (ANA - K. Verros) - EC mediator
Lord Owen told the EC Saturday that he hoped a peace deal could
be reached in Bosnia-Herzegovina "within a few weeks". Speaking
at an informal meeting of the EC's foreign ministers at the
weekend, Lord Owen said "there appears to be a growing
possibility of hope for peace". Greek Foreign Minister Michalis
Papaconstantinou told his EC counterparts that Belgrade should
be told there would be a relaxation of UN-imposed sanctions
against Serbia and Montenegro if there were goodwill, such as
that displayed till now, in reaching a settlement in
Bosnia-Herzegovina. "There should be an undertaking at lease of
future gradual lifting of sanctions, should Serbia continue to
display its present disposition for a peaceful settlement of the
conflict, "Mr. Papaconstantinou said. Mr. Papaconstantinou said
Serbs and Croats should be persuaded once more to make further
concessions, and the Moslem side to be more flexible.

	--- Constitutional obligations may prevent Greece's new prime
minister form attending the extraordinary EC summit scheduled
for October 29. At the informal meeting of foreign ministers on
the weekend to organise the summit on economic and monetary
issues, Mr. Papaconstantinou briefed his counterparts on the
difficulties arising from the call for early elections in
Greece, to be held October 10. The constitution requires the new
prime minister to attend parliament for the vote of confidence
in the new government's policy statement.

	Mr. Papaconstantinou added that, constitutionally, Greece's
president could not represent the prime minister, unlike other
EC member-states. He asked the meeting to consider a change of
date. Mr. Papaconstantinou also briefed the meeting on PLO
chairman Yasser Arafat's impending visit to Greece. Mr.
Papaconstantinou said the government would brief Mr. Arafat on
Community policy and the granting of economic aid.


	Sofia, 13/9/1993 (Macedonian Press Agency) - Ecumenical
Patriarch Vartholomeos called for schismatics to return to the
fold at a special mass at the Alexander Nevski Church in Sofia
yesterday, marking the end of his official five-day visit to
Bulgaria. "We appeal to our brethren, not to participate in the
dismemberment of Christ's body", the Patriarch said.
	Meanwhile, despite generally favourable press for the
Patriarch's attempts to re-unite the Bulgarian Orthodox Church,
Democrazia, a centre-rightist paper, launched a stinging attack
on him. The paper published a report by dissident priest Yanko
Dimov, who described the Patriarch's appeals as "malicious"
intervention in the internal affairs of the Bulgarian Church.
Dimov also attacked Bulgarian President Zhelyu Zhelev and
speaker Alexander Jordanov for favouring the state's
intervention in church affairs. President Zhelev said after his
meeting with Vartholomeos that the fate of the Church was of
great concern to the State but stressed that he would not
intervene in church affairs.