North Atlantic Assembly (NAA) President Karsten Voigt yesterday described as "unacceptable" the Turkish parliament's decision to authorize the government to use military means to prevent Greece from exercising its right to extend its territorial waters in the Aegean from six to twelve miles.
Mr. Voigt met yesterday with Parliament President Apostolos Kaklamanis for talks ranging from Turkey's threats concerning the extension of Greek territorial waters, Greek-Turkish relations and the Kurdish problem. The NAA chief arrived in Athens on Sunday for a five-day visit.
Mr. Voigt said that the issue of the Turkish threats over territorial waters in the Aegean was one of the reasons for his visit. Describing the decision by the Turkish National Assembly as "unacceptable", he said that there would be a "quick response" from the NAA.
Mr. Kaklamanis set out Greece's positions concerning the country's sovereign right to extend its territorial waters from six to twelve miles as provided for under the new international convention on the law of the sea.
On Greece's relations with neighboring countries, Mr. Kaklamanis told Mr. Voigt that, with the exception of Turkey "which displays no desire for their improvement, our relations with the other countries are either excellent, as in the case of Bulgaria, or continuously improving, as in the case of Albania."
Mr. Kaklamanis expressed hope that there would soon be progress on the problem of the Former Yugoslav Republic of Macedonia and reiterated Greece's position that peace in former Yugoslavia could only be attained by peaceful means.
Mr. Voigt also met with Alternate Foreign Minister George Mangakis, with whom he discussed NATO and Greek issues. They also discussed Greece's proposition to include Bulgaria and Romania in the Alliance's future enlargement.
Parliament President Apostolos Kaklamanis received 62 high-school students from Cyprus and the Greek community in Alexandria, Egypt in Parliament yesterday. Mr. Kaklamanis expressed the hope the students will live with a wealth of ideas and emotions in Cyprus and Alexandria where Hellenism always was and still is making its presence strongly felt.
Addressing the Cypriot students, Mr. Kaklamanis said he opposed the "oblivion some people wish to cover crimes of the Cyprus tragedy with". The students began an eight-day visit to Greece on Tuesday.
The representative of UN Secretary General Boutros Boutros-Ghali in Skopje said that the Former Yugoslav Republic of Macedonia was acquiring a "special position" in the region from a strategic viewpoint following recent developments in former Yugoslavia.
In an interview with the ANA in Skopje, the UN chief's representative in FYROM and political director of the UN's peacekeeping forces, Heinrich Sokalski, also expressed the view that "at least for the present time" the problem of the Serb refugees "has not taken on explosive proportions and is more an issue of a political and humanitarian nature".
Despite being aware of "the concern of certain governments and of the Albanians of Kosovo", Mr. Sokalski said "things should not be blown out of proportion" and added that he saw "no immediate threat to any of the countries in the region".
Mr. Sokalski said he was also aware of Skopje's desire to change the status, mandate, structure and number of the UN peacekeeping force in FYROM (GNPREDEP). He clarified, however, that this desire had not yet taken on an official form, attributing this to Skopje's decision to make such a request if the situation in the region worsens and the stability and security of FYROM is threatened.
Citing Mr. Boutros-Ghali's latest report on former Yugoslavia, Mr. Sokalski underlined that the UN chief had stated that if the security of FYROM was threatened, the Secretary-General himself would examine whether or not to submit such a proposal to the Security Council.
Mr. Sokalski expressed complete opposition to any change in the mandate of the peacekeeping force which would transform its role from preventive to combat. "Judging by what is happening in the rest of the region, I would not recommend the taking of decisions for operations of a combat nature. First of all, I do not believe that at the present time there is any need for one to think in these terms, but mainly because the UN is an organization whose mission is peace".
Mr. Sokalski said he was optimistic that there would be "positive developments" for the entire region of former Yugoslavia during the next few months.
--- Denying press reports yesterday that the Greek government had rejected two proposals by US presidential envoy on the Skopje issue Matthew Nimetz to lift the embargo against the Former Yugoslav Republic of Macedonia, government spokesman Evangelos Venizelos said it was waiting for Skopjan intransigence to subside so that fresh negotiations can begin.
US presidential adviser George Stephanopoulos will meet Prime Minister Andreas Papandreou, main opposition New Democracy party leader Miltiades Evert, Foreign Minister Karolos Papoulias and Defense Minister Gerassimos Arsenis during his visit to Athens next week. Mr. Stephanopoulos will also make an address at the Athens College on August 28. The event will be organized by the newspapers "Ethnos" and "Imerisia."
National Economy Minister Yiannos Papantoniou told Prime Minister Andreas Papandreou yesterday that the state and prospects of the Greek economy were "very positive."
Speaking to reporters after his briefing, Mr. Papantoniou said he and the prime minister had discussed developments in inflation, the balance of payments and the budget deficit. "Their course characterizes the positive development of the national economy," Mr. Papantoniou said.
"The situation shaped is very positive. Targets set will be attained. Public works have taken off, while the Public Investment Programme, which will constitute the main motive factor for the recovery of the Greek economy, is being strictly adhered to. High rates of economic development which will also provide a reply to social problems and primarily the problem of unemployment are being consolidated this year as well but mainly as of next year," he added.
Mr. Papantoniou said he and the prime minister also discussed recent industrial affairs. "We are paying for the crimes and mistakes of the policy of New Democracy," he said, adding that "the imposition of the neo-liberal policy by that irresponsible government, through peculiar private agreements, with which it sold a series of industries, has caused deep wounds in the Greek economy."
He said "the present government is being called on to heal these wounds." Mr. Papantoniou said that the government would try to provide solutions to facilitate an improvement in competitiveness and an increase in employment and that there would be systematic co-operation with the industry and labor ministers on major problems.
Replying to questioners, Mr. Papantoniou said that current problems would have no repercussions on economic policy and that he fully agreed with Industry Minister Costas Simitis' policy, adding that it was government policy.
The government will deal with the political issue of war reparations from Germany for damages incurred during the Nazi occupation in "a manner appropriate to national interests", government spokesman Evangelos Venizelos said yesterday.
"The issue of war reparations from Germany and the occupation loan is a political one which the government will handle in a manner appropriate to national interests," Mr. Venizelos said.
Communist Party of Greece (KKE) honorary president Harilaos Florakis earlier this month called on the government to make "determined efforts" to secure war reparations from Germany and for Berlin to repay a loan which the Bank of Greece was forced to extend to the Nazi occupation forces.
The spokesman added that claims for damages by individuals was a matter of "private initiative" for which legal recourse could be taken. Mr. Florakis accused the government of doing nothing to seek reparations from Germany and described the procedure under which individuals may file private suit for compensation as a "mockery".
A tripartite meeting between the foreign ministers of Greece, Bulgaria and Romania in Ioannina, northern Greece, on Saturday will focus primarily on economic co-operation, an important issue for all three countries.
Developments in the Balkans will also be discussed, but not at length. Greece's Karolos Papoulias, Bulgaria's Georgui Pirinski and Romania's Teodor Melescanu will each be accompanied by delegations of businessmen, bank governors and representatives of the energy, telecommu-nications and construction sectors.
According to reports, one important issue on the agenda will be the construction of a motorway linking the Danube region, Bulgaria, Romania and Greece.
The agreement signed to construct Athens' new international airport at Spata is a "political success" not so much for the government as for the Greek economy, government spokesman Evangelos Venizelos said yesterday. Mr. Venizelos said that the present agreement was "incomparably better" than the contract initialed by the previous New Democracy government.
The spokesman's statements follow strong criticism of the recently-signed agreement from the New Democracy (ND) party, now the main opposition, during discussion by the competent Parliamentary committee Tuesday. ND deputies Tuesday disputed government claims that a revised agreement would save the state money and said it would vote against the new terms because it would cost 300 billion drachmas more.
As to the location of the new airport, Mr. Venizelos said that when the PASOK government began to occupy itself with the issue in 1993, there was no question as to the site, since land had already been expropriated at Spata. Some opposition deputies criticized the choice of Spata, saying it would wreak inestimable environmental damage on the area.
During the second day of discussions at the parliamentary committee yesterday, Environment Minister Costas Laliotis described the contract signed by the previous government as "shoddy" and with "gaping holes". He said there was a sharp contrast with the contract negotiated by the present government, which is "clear in every respect".
He reiterated that the new airport was of vital importance for the country, would have tremendous spill-over effects for the economy, and become a bridge between Europe, Africa, and Asia. He further claimed that the original contract was of "a colonial character" and that the cost had been reduced in the revised contract.
New Democracy parliamentary spokesman Stephanos Manos, the previous government's national economy minister, told reporters that government claims about tough negotiations for a revised contract were unfounded as he distributed a letter dated May 30, 1994, from the German Hochtief group to the chairman of the Public Works Committee, Akis Tsohatzopoulos.
The letter shows that the company had already accepted then the terms for an increase in the government's share in the company that is to operate the airport, and a reduction in the envisaged number of years for joint operation.
The Committee also heard the views of local government representatives from the broader region where the airport is to be built, representatives of the contracting companies, and the president of the Federation of Unions of Civil Aviation Staff (OSYPA).
Eastern Attica prefect, Dimitris Frangos, and Mayor of Markopoulo, Nikos Katsikis, stated their opposition to the new airport on the grounds of the environmental, economic, social, and other effects in the broader region.
Contractors' representative Haralambos Angelou said there would be no overshooting of the budgeted construction cost, while OSYPA president Mr. Alevizopoulos claimed the new airport would meet the same fate as the American base in Suda, Crete.
Former PASOK transport minister Theodoros Pangalos, a staunch opponent of the project, queried Mr. Laliotis as to what he said was preferential treatment accorded a firm operating in the Spata airport area. "I wonder if the new airport has already began corrupting the country's public life through and through," he said.
Industry Minister Costas Simitis said yesterday that ruling party PASOK deputies had reached "general agreement" after their four-hour meeting that the government's proposal to save the Elefsina Shipyards was the only one that could keep the yards operating and save 2,000 workers from unemployment.
"It is the only possible solution," Mr. Simitis said after the meeting of the PASOK parliamentary group overseeing industrial issues. The government proposed last week that the shipyards be liquidated while they continued operating in a bid to save workers' jobs and keep the yards alive.
Before going into the meeting, Mr. Simitis fired salvoes against the main opposition New Democracy party and honorary president Constantine Mitsotakis, the man at the helm of the government which sold off the shipyards, accusing them of trying to conceal failed policies which led to ailing enterprises.
"New Democracy and Mr. Mitsotakis are yelling in vain over the issue of de-industrialization in an effort to conceal 'special favors' to friends and (friendly) businessmen," Mr. Simitis said. "I'm currently concerned with the 'Lelakis case'," Mr. Simitis said, explaining that, while ND was in office, Lelakis received a 120 million drachma loan from the National Bank of Greece and the Hellenic Industrial Development Bank (ETBA) to convert a vessel into a cruiser, but that figures show that not even half of the money has been invested in the enterprise.
Such cases "show that the policies of ND were leading to ailing enterprises," Mr. Simitis said, adding that he had already sent a letter concerning the case to the ETBA administration. "Entrepreneurs, who have received loans and subsidies but did not manage to benefit from their activities, closed their businesses showing no concern for the employees and the country's development," he said.
"(While in office,) New Democracy did not concern itself with the restructuring of the enterprise, but instead (with) causing problems for Greek industry," he added. He said investigation of cases like the Lelakis matter were currently underway, adding that irregularities and breach of rules would be prosecuted.
Earlier in the day, Mr. Mitsotakis said the Greek people should hear the truth on the privatization issues. "Employment is not for free. It is yielded by those enterprises which are competitive and effective. There are no magical solutions," Mr. Mitsotakis said. He said that the attempt to survive through cutting staff or closing units was currently an international phenomenon.
Mr. Mitsotakis said his party had followed the right policies while in power and "had achieved with the privatization (of ailing enterprises), of ridding, to a great extent, the Greek people from the gangrene of ailing enterprises, despite PASOK efforts to the contrary."
He said privatization during his government had proceeded in a climate of workers' occupation of factories and national roads, persecution of potential foreign investors, and threatening letters to potential buyers by Mr. Papandreou and (then PASOK deputy Akis) Tsohatzopoulos.
"It is a miracle," he added, "that in this climate of hatred and negation, investors had been found and agreements signed, which if nothing else, have spared the state budget from damages amounting to tens of billions of drachmas over the last two years."
The former premier maintained that the ruling party, despite being theoretically in favor of privatization policies, was actually undermining such policies today.
Replying to Mr. Simitis' statements, ND spokesman Vassilis Manginas said the party did not fear an investigation by the prosecution into agreements during ND's administration. ND leader Miltiades Evert also went on the attack over the government's economic policies, accusing the ruling party of "diverting public opinion in a bid to solve internal party problems."
Following a meeting with his economic advisers, Mr. Evert said that the economy has been in a state of recession during the past two years, "which led to the collapse of small-to medium-size enterprises and increased unemployment." Mr. Evert called upon the government to assume a policy of development and modernization.
Finance Minister Alekos Papadopoulos and Industry Minister Costas Simitis are expected to have a meeting today with the Thesprotian Coordination Committee, headed by Prefect Nikos Tsonis, on the intended closure of the Filiates Textiles Industry.
A total of 350 employees face losing their jobs at the firm and yesterday entered their second day of occupation of the factory's premises. In another development, unions and workers in Kavala are expected to ask the Petzetakis Group to lease the industrial unit to them in a bid, they say, that will help them establish the company's motives for closing down the plastics factory.
The General Confederation of Workers of Greece (GSEE) yesterday announced a three-hour work stoppage for September 1 to protest the recent closures of factories. Following a meeting of the labor organization's executive committee, GSEE called for a "national policy" on development and employment through dialogue with the government, the political parties and employers.
GSEE asked for meetings with Prime Minister Andreas Papandreou and the political parties in view of the forthcoming Thessaloniki International Fair.
The continuing fall in the inflation rate has led to a further reduction in the interest rates of Treasury bills. The Finance Ministry yesterday announced that the August 31 issue will bear interest rates of 13.80 per cent for three-month bills, 14.30 per cent for six-month bills and 14.75 per cent for 12-month bills.
Greece and Albania yesterday signed a protocol providing for co-operation in the transport sector at the close of a two-day meeting of the Greek-Albanian transport sub-committee in Ioannina.
The head of the Greek delegation at the talks, Transport Ministry Secretary General Yiannis Constantinidis, said that the protocol would considerably improve co-operation between the two countries in the transport sector and "create new prospects".
Transport Department Director Pazoum Kobani, who headed the Albanian side, said that the protocol "lays the foundations for more effective co-operation between Greece and Albania".
The protocol updates a 1984 agreement between the two countries and covers issues related to road, rail, sea and air transport. Much of the discussion at the two-day meeting in Ioannina concerned the linking of the two countries' rail network s, in which the Albanian side expressed particular interest.
National Economy Under-secretary George Romeos yesterday announced the completion of a draft Presidential Decree relating to legislation on the provision of incentives for private investments. He said the draft, which codifies existing legislation on the issue, will facilitate potential investors and competent public services in the promotion of private investments.
Agriculture Minister George Moraitis started a two-day tour of Kozani and Ptolemaida yesterday, inaugurating irrigation projects expected to considerably improve agricultural production in the two regions.
Mr. Moraitis inaugurated the 1.2 billion-drachma Eratyra-Kaloneri Kozani irrigation project at noon. The project is expected to irrigate more than 1,500 acres of farmland. Mr. Moraitis will inaugurate another three projects- at a total cost of 6.8 billion drachmas - in Grevena today.
Speaking at a press conference later, Mr. Moraitis said the special programme on the development of the region prepared by relevant ministries would be completed and introduced soon. In the afternoon he chaired a meeting on problems created by earthquakes in the Kozani region.
The Hellenic Telecommunications Organization (OTE) is introducing an electronic telephone directory service, dubbed 'DAS', as of September 1, it was announced yesterday. Through DAS, users of the HELLASTEL system may access information contained in the Athens, Thessaloniki and provincial directories via the TEL-A, TEL-Th and TEL-E services respectively.
OTE subscribers will be charged 12 drachmas per minute for use of the above services. Subscribers will be able to access information by simply stating the family name and area of residence of the person sought or the corporate name and area of installation of the enterprise desired.
The time limit to submit tenders for the casino at Mon Parnes in Attica has been extended to December 15 by order of Tourism Minister Nikos Sifounakis, following a proposal by the tendering committee responsible for granting licenses for casinos.
The Hyatt company was short-listed in the previous tender but its offer was ultimately considered to be too low while, in October, the Council of State will consider a complaint by the London Club Company that there were procedural irregularities in the tendering.