From: tzarros@ccs.carleton.ca (Theodore Zarros) Subject: News (in ENGLISH)- Wed, 21 Dec 1994 (Greek Press Office BBS, Ottawa). Athens News Agency Bulletin, December 21, 1994 ---------------------------------------------- (Apo to Ellnviko Grafeio Tupou kai Plnroforiwv, Ottaba, Kavadas E-Mail Address: grnewsca@sympatico.ca) * OECD says Greece on the road to recovery provided it keeps to budget and tight incomes policy * Papantoniou * Davidof, Simitis agree to work on closer economic relations between Russia, Greece * Kinkel defends German EU presidency in face of criticism from Europarliament * Foreign Ministry * President rejects Milosevic proposal for confederation, sources say * Vance not to move on FYROM issue until New Year, sources say * Coalition: direct dialogue between Skopje, Athens essential * GSEE meets with FYROM unions: further relations could help peace in Balkans * Kinkel: obstacle to resolution of FYROM dispute comes from Skopje * Commission adopts Greek five-year transport development programme OECD says Greece on the road to recovery provided it keeps to budget and tight incomes policy ------------------------------------------------------------- Paris, 21/12/1994 (ANA - J. Zitouniatis/AFP): With the Greek Parliament preparing to take a vote on the government's budget for 1995 today, an OECD report released yesterday said Greece was on the road to economic recovery if it strictly implemented the budget and its incomes policy. In the event of non-implementation, confidence would be wiped out, while the cycle of budget reform, disinflation and increased growth might be reversed, OECD experts cautioned. OECD experts are banking on a GDP growth of 1.5 per cent in 1995 and more than 2 per cent in 1996. But, unemployment may rise, following the restructuring of public enterprises and a freeze on new appointments in the public sector. After a slowdown near the end of 1993, the economy began to pick up slowly in 1994, aided by exports and tourism, the OECD report noted. Taxation measures, privatisation, and a strict incomes policy in 1995 will contribute to the creation of a climate of confidence, and, in conjunction with the large projects subsidised by the EU, will boost the pace of recovery and reduce inflation to 7 per cent and the budget deficit to 10 per cent of GDP in 1996, the report added. Papantoniou ----------- Athens, 21/12/1994 (ANA): In yesterday's budget debate in Parliament, National Economy Minister Yiannos Papantoniou said the tax base had been expanded and tax revenues increased by 17 per cent in 1994. The minister cited OECD figures showing a 12 per cent increase in wages this year, an increase of 1.5 per cent in real terms if inflation is 10.5 per cent at the end of the year. Mr. Papantoniou said this was in stark contrast with previous years, when wage increases fell short of the inflation rate. He condemned main opposition New Democracy party leader Miltiades Evert's talk of impending doom, stressing that his statements, at any rate, had not affected the country's creditworthiness. "With small and sure steps, we will attain our targets and there will be no disaster to the economy," he said. Davidof, Simitis agree to work on closer economic relations between Russia, Greece ----------------------------------------------------------- Athens, 21/12/1994 (ANA): Russian Deputy Premier Oleg Davidof and Industry Minister Costas Simitis yesterday signed a memorandum envisaging detailed steps and procedures for the promotion of closer economic relations between the two countries. The memorandum was agreed following the signing of the protocol amending the agreement for the supply of natural gas to Greece. It provides for the extension of co-operation in three energy sectors: Firstly, in the oil sector, construction of an oil pipeline from Burgas to Alexandroupolis, in co-operation with Bulgaria. The study for the project is expected to be completed in March 1995. Secondly, in electricity, the Russian side expressed interest in being connected to the Greek-Italian 'energy bridge', now under construction. Thirdly, in natural gas, the protocol envisages a large programme of participation of Russian companies in the construction of the network, possible provision of services by Greek shipyards etc. Press Minister Evangelos Venizelos yesterday underlined the importance of Mr. Davidof's visit to Greece which resulted in the finalisation of an agreement for the provision of natural gas. He acknowledged that political issues had also been discussed during Mr. Davidof's visit, and that the Greek and Russian sides had agreed on many policy points on the Balkans. He added that the new date for the recently postponed visit by Prime Minister Andreas Papandreou to Moscow will be set presently. Kinkel defends German EU presidency in face of criticism from Europarliament ------------------------------------------------------------- Brussels, 21/12/1994 (ANA - M. Savva): The European Parliament yesterday lashed out at the German EU presidency for ignoring its resolution last week that negotiations between the EU and Turkey on a customs union cease and the EU-Turkey Association Council meeting be postponed. Europarliamentarians accused German Foreign Minister Klaus Kinkel of giving in to Turkish pressure. Mr. Kinkel, however, was unrepentant. "The Association Council was held despite your advice to the contrary because otherwise the consequences for Turkey would have been negative," he told the Europarliament's External Affairs Committee. "I'm glad that the Council was held, despite the Greek stance, because it took place in a relaxed atmosphere and (because) dialogue (during the meeting) was constructive," he said. Greece vetoed the customs union, which would open the EU market to Turkish goods, at the meeting Monday. Greek Foreign Under-Secretary Yiannos Kranidiotis said Greek reservations included the lack of progress on the Cyprus issue, Turkey's stance towards Greece and its human rights record. Athens had said it would reconsider its veto if the EU set a definite date for talks on Cyprus entry to the Union. The European Parliament strongly condemned Turkey Thursday for its human rights record, particularly after the recent sentencing of 15 Kurdish MPs to jail. The resolution called for a freeze on negotiations for the customs union and was carried overwhelmingly. Mr. Kinkel said he was disappointed negotiations for customs union were not completed, stressing that Europe should help Turkey. "Turkey plays the role of the bridge to the Islamic world. "We had a different view from the European Parliament. You must understand us. This was the only way to convince Turkey on (respect for) human rights. This country has chosen the way to Europe. It is friendly. We cannot turn it away. We have of course a solidarity obligation towards Greece, our partner in Europe ... we understand the stance of the Europarliament ... but 14 other European governments decided otherwise," he added. Mr. Kinkel said that if the German Presidency had acted differently "Turkey would have been very disappointed and that would neither help Greece or Cyprus." Regarding Cyprus' EU accession, which Greece linked to progress in the EU-Turkey customs union, Mr. Kinkel said: "We are not willing to sign a customs union agreement and set a date for negotiations for a Cyprus EU accession at the same time." "We suggested that negotiations should begin after the intergovernmental conference in 1996. Apparently it did not seem a positive suggestion since it was turned down by both Greece and Cyprus." Foreign Ministry ---------------- Athens, 21/12/1994 (ANA): Athens yesterday said Turkish Prime Minister Tansu Ciller's reaction to the Greek veto on the customs union was for "domestic consumption". Ms. Ciller reportedly said in Ankara Sunday: "Don't be afraid of our friendship, but fear our animosity". "The Greek government believes that Ms. Ciller's recent statement was made for reasons of domestic consumption, and Greece will not follow Ankara's tone," Foreign Ministry spokesman Constantine Bikas said. He said that Turkey was "at this moment facing world-wide reaction to issues such as the occupation of a part of Cyprus, human rights and the conviction of Kurdish parliamentarians". "Europe and Greece's interest in values which Turkey does not respect is a given fact," Mr. Bikas said. German Foreign Minister Klaus Kinkel told a press conference attended by his Turkish counterpart Murat Karayalcin Monday after the Association Council meeting that in order to achieve customs union with the EU, Turkey should contribute to the resolution of a number of issues such as Cyprus, the Kurdish MPs and its human rights record. President rejects Milosevic proposal for confederation, sources say ---------------------------------------------------------------- Athens, 21/12/1994 (ANA): President Constantine Karamanlis has rejected the proposal for a loose Balkan federation between Athens, Belgrade and Skopje, sources close to the President said yesterday. The sources said that the proposal by Serbian President Slobodan Milosevic was "unrealistic, since Greece is a member of the European Union and NATO". Government spokesman Evangelos Venizelos, however, played down the importance of the president's reported rejection of the Serbian proposal, which he attributed to "some vague rumours from sources". Mr. Milosevic's proposal, the sources added, could prospectively pose a threat to peace and stability in the Balkans since axes usually cause the creation of counter-axes. Consequently, this proposal should not even comprise a subject for discussion, the sources said. Prime Minister Andreas Papandreou, speaking after talks with Mr. Milosevic Monday, described the proposal as "pioneering and interesting", but said Athens had not yet examined it. Mr. Milosevic was in Athens on a one-day working visit. Later yesterday, Mr. Venizelos said that "there is nothing concrete" with regard to the issue of the confederation, stressing that it was merely "a thought" of Mr. Milosevic and not a proposal. "Greece," the spokesman said, "develops its international relations as a member of the European Union and NATO." Vance not to move on FYROM issue until New Year, sources say ------------------------------------------------------------ United Nations, 21/12/1994 (ANA- M. Georgiadou): Diplomatic sources said here yesterday that UN mediator on the Former Yugoslav Republic of Macedonia issue Cyrus Vance was not expected to make any moves on the outstanding issue before January, despite signs FYROM president Kiro Gligorov has not changed his negative attitude and there is no indication or prospect for progress in the dispute between Athens and Skopje. The sources, however, stressed that "it is very doubtful whether the FYROM president's inflexible stand will in the end earn him any benefits". "It is very likely, given the developments in the former Yugoslavia and in Bosnia, that his estimate that time is on his side will prove erroneous and he will pay dearly for his insistence on maintaining an open front with Greece," they said. The sources said that the forthcoming European Court ruling on Greece's trade embargo on Skopje would have no effect whatsoever on Greece's stance. Greece, they added, was indicating a willingness to work towards lifting the measures on the condition that Skopje in turn moved towards normalising relations with Athens, even if only on the issue of the flag, symbols and constitution, leaving the issue of the name open. Other sources said President Clinton's envoy on the issue, Matthew Nimetz, contacted Mr. Vance Sunday and briefed him on his round of consultations in Athens and Skopje, and more specifically, on the fact that President Gligorov had not shown any willingness to enter into negotiations under UN auspices. They added that Mr. Nimetz yesterday contacted Greece's permanent representative at the UN, Christos Zacharakis. Coalition: direct dialogue between Skopje, Athens essential ----------------------------------------------------------- Skopje, 21/12/1994 (ANA - M. Vichou): Coalition of the Left and Progress leader Nikos Constantopoulos yesterday ended his visit to the Former Yugoslav Republic of Macedonia (FYROM) by saying that direct dialogue on all issues between the two countries was essential. Mr. Constantopoulos yesterday continued his contacts with representatives of political parties and scientific institutes and met with Defence Minister Vlagoja Hadjiski and Social Democrat Deputy Ilena Mitreva. He also held talks with representatives of the University of Skopje and the Sciences and Fine Arts Academy. Mr. Hadjiski stressed the need for direct dialogue on all issues and at all levels between the two countries. Praising the Coalition's initiative as the "opening of a new era in relations between the two countries", he underlined his country's European orientation and said the border between Greece and FYROM should open. He said economic co-operation with Greece was important for FYROM since "by nature our country is orientated towards the port of Thessaloniki". Mr. Hadjiski said Greece could play an important role, being a NATO and European Union member, in incorporating the Balkans in the EU and securing stability in the region. He said there was the possibility of the two countries reaching a solution to problems through dialogue so that "no one felt either victor or vanquished." GSEE meets with FYROM unions: further relations could help peace in Balkans ---------------------------------------------------------------- Athens, 21/12/1994 (ANA): The General Confederation of Workers of Greece (GSEE) said yesterday that the development of relations between the trade unions of Greece and the Former Yugoslav Republic of Macedonia (FYROM) could contribute to peace and co-operation in the Balkans. Speaking at the end of three days of talks with a delegation from the FYROM trade union confederation, GSEE president Christos Protopappas said that the talks had been held "in good spirit". "We ascertained the need for co-operation and the possibility of developing relations between the trade unions of the two countries which could contribute to establishing peace and co-operation in the Balkans," Mr. Protopappas said. The FYROM delegation was comprised of the country's trade union confederation president, Zivko Tolevski, vice-president Rifat Zursid and the president of the transport and communications union, Liubomir Tanelofski. Describing GSEE's invitation as "a particular honour" for the trade unions of his country, Mr. Tanelofski said that the talks had been "friendly and useful" and underlined the need for further contacts, not only with GSEE but with Greek transport, telecommunications and mass media unions. In a joint communiqui, the two sides said they were in favour of "the further development of relations of friendship and co-operation between the two peoples and the creation of a climate of mutual trust and understanding". Kinkel: obstacle to resolution of FYROM dispute comes from Skopje ----------------------------------------------------------------- Brussels, 21/12/1994 (ANA - M. Savva): Europarliamentarians yesterday accused German Foreign Minister Klaus Kinkel of not taking the necessary action to curb Former Yugoslav Republic of Macedonia (FYROM) President Kiro Gligorov's intransigence in the Athens-Skopje dispute. Mr. Kinkel said that Mr. Gligorov "turned down every name offered," adding that obstacles to a settlement emanated from Skopje. Athens and Skopje have been at odds over the fledgling republic's persistent use of the ancient Greek name of 'Macedonia', citing symbols it has adopted for its flag and the preamble in its constitution as indicating territorial designs on Greece. In February, Greece imposed trade sanctions as retortion measures against Skopje. "I would like to hear a statement (by Mr. Gligorov) that he will remove those articles in the preamble of the constitution, which imply territorial designs against Greece," Mr. Kinkel said. Asked about the Greek-Albanian crisis, Mr. Kinkel expressed concern over the five ethnic Greek members of the political organisation Omonia, imprisoned on charges of espionage. He expressed belief that "negotiations (for their release) are on the right direction." Commission adopts Greek five-year transport development programme ----------------------------------------------------------------- Brussels, 21/12/1994 (ANA - F. Stangos): The European Commission yesterday adopted the Greek 1994-1999 development programme on transport infrastructure, which is to be jointly financed by the Community for up to 390 billion drachmas (1,327 million ECU). The programme, part of the 1994-1999 Community Support Framework, is called "Roads, ports and airports" and is aimed at modernising the Greek transport network's infrastructure. The lion's share of the funds (84 per cent) is earmarked for north-south motorways (Patras-Athens-Thessaloniki), including the Rio-Antirrio link, and east-west motorways (the Egnatia motorway). According to the Commission, the private sector will participate with about 285 billion drachmas (970 million ECU) in financing sectors of these projects. The programme on developing transport infrastructure will be financed with 260 billion drachmas (885 million ECU) by the Greek budget until 1999.