Athens News Agency: Daily News Bulletin in English, 97-10-16
From: The Greek Press & Information Office, Ottawa Canada <[email protected]>
ATHENS NEWS AGENCY BULLETIN (No. 1316), October 16, 1997
Greek Press & Information Office
Ottawa, Canada
E-Mail Address: [email protected]
CONTENTS
[01] Simitis concludes successful visit to Albania, co-operation
protocol signed
[02] Joint declaration
[03] Simitis-Nano press conference
[04] National Bank branch inaugurated
[05] Romeos
[06] Gov't stresses that threats come from Ankara, not Athens
[07] Karadayi remarks
[08] Violations
[09] French concern
[10] Greek, Romanian, Bulgarian FMs to meet
[11] Papandreou meets with Latvian officials
[12] Papandreou, Kranidiotis to attend Brussels meetings
[13] SE European parliament presidents meet in Athens
[14] Gligorov will attend Balkan leaders' summit on Crete
[15] Stephanopoulos visits Veria
[16] Fears of another quake recede
[17] ND withdraws deputies from Parliament committee in protest over
'Kapodistrias'
[18] KKE rules out high-level co-operation in municipal elections
[19] Campaign against drunk driving goes nationwide
[20] 10 insurance firms donate breathalyzer devices
[21] SEB reaction to Spraos report
[22] Pension funds need better management not Spraos, workers say
[23] Parliament discussion on Bank of Greece autonomy draft bill
begins
[24] Construction date for Greek bridge link to be named end-November
[25] Greece opposes changes to EU rules on cabotage
[26] Greek stocks edge up in heavy trade
[27] US institutionals see more gains ahead on Greek bourse
[28] EU satisfied with improvements at Greek airports
[29] Greece releases funds for roadbuilding, flood prevention works
[30] Investigation into pharmaceutical-maker's practices ordered
[31] Intralot agreement in Serbia
[32] Turkey causes regional tension, Greek minister says
[33] President takes salute of parade
[01] Simitis concludes successful visit to Albania, co-operation
protocol signed
Tirana, 16/10/1997 (ANA/S. Liarellis)
Prime Minister Costas Simitis summed up talks yesterday in
Tirana with his Albanian counterpart Fatos Nano by stressing
that "gone are the days when the Balkan peoples were unable to
find solutions". "...we have now entered a new era in which all
the peoples (of the region) will together try to resolve our
problems," Mr. Simitis said after talks with Mr. Nano, which he
described as "warm and friendly". Mr. Simitis' one-day trip to
Tirana is the first official visit by a head of government in
the neighbouring country since general elections in June.
Meanwhile, an agreement was signed providing for the opening of
three new border crossings and an economic co-operation protocol
setting out Greek assistance to the neighbouring country at 20
billion drachmas.
Both Mr. Simitis and Mr. Nano spoke about a new era in
Greek-Albanian relations and stressed the need for the
reconstruction and development of Albania. They also referred to
the problem of illegal immigrants.
"We must build our country so that neither Albanians nor members
of the ethnic Greek minority will want to leave," Mr. Nano said.
During talks between the two sides, "common views and common
solutions" were ascertained on a range of issues, including the
problem of Albanian illegal immigrants in Greece, matters
relating to the ethnic Greek minority in Albania - particularly
in the education sector, as well as co-operation on issues of
public order, defense and the economy.
Above all, Mr. Simitis told reporters after the talks, "we
ascertained that the development of the entire Balkan region is
of benefit to all the countries," while noting that Albania in
particular "benefits from its better co-operation with Greece."
Pointing out that the neighbouring country was suffering from
the remnants of the past, in the form of poverty, migration and
unemployment, Mr. Simitis said the conditions must be created to
eliminate these phenomena.
Mr. Nano assured that co-operation with Greece would continue
and spoke of "a new quality" in relations between Tirana and
Athens. He expressed the hope that this co-operation would be on
a long-term basis.
He also referred to Greece's contribution in helping Albania to
overcome the recent crisis, stressing that "in the new Albania"
people should be able to exercise religious and other basic
human freedoms, in the way that Albanians are able to do in
Greece and other EU countries. The development of Albania, Mr.
Nano said, is a prerequisite in order for Albanians - including
ethnic Greeks - who were forced to leave the country because of
the crisis, to return home to their families.
[02] Joint declaration
Tirana, 16/10/1997 (ANA/S. Liarellis)
Later in the day, Mr. Simitis and Mr. Nano signed a joint
declaration confirming the desire of the two sides for broader
bilateral co-operation. The declaration notes the intention of
the Greek side to provide multi-faceted support, chiefly in the
economic sector, whi-le expressing Albania's appreciation for
this assistance.
Two billion drachmas of economic aid was granted to Albanian
Foreign Minister Paskal Milo when he visited Athens on Sept. 12.
Under the terms of the protocol signed yesterday, a further
three billion drachmas will be granted in the form of a loan by
the Bank of Greece. The loan will be repaid over a period of 20
years at an interest rate of 3 per cent.
Interest installments will be half-yearly and the principal will
be repaid upon expiry of the loan duration.
The remaining 15 billion drachmas will be granted for social
infrastructure and housing works (10 billion) and for supporting
Albanian, Greek or Greek-Albanian undertakings (five billion).
In the joint statement, the Albanian government expressed its
gratitude "for the decisive assistance" which has been and
continues to be given by Greece.
The Albanian side acknowledges the support for its economy
provided by the remittances of Albanian nationals working in
Greece, while the Greek side pledges to speed up procedures
concerning the legislative framework which will pave the way for
the legalization in Greece of the larger number of Albanian
workers.
Tirana also undertakes the commitment "at the urging of Greece"
to intensify efforts to safeguard respect for the rights of the
Greek minority throughout Albania, particularly in the education
sector.
Both sides view the statement signed yesterday as "the tangible
consequence and evidence of respect for and implementation in
practice of the spirit and substance of the Accord of
Friendship, Co-operation, Good Neighbourly Relations and
Security between Greece and Albania".
[03] Simitis-Nano press conference
Tirana, 16/10/1997 (ANA/S. Liarellis)
At a joint press conference by the two prime ministers, Mr. Nano
expressed his full satisfaction with the signing of the
memorandum on the provision of 18 billion drachmas in economic
aid to Albania, and described the terms of the loan as
exceptional.
He also said that issues concerning the broader region were also
discussed and there was an identity of views. Mr. Simitis said
that several of these issues were expected to be discussed at
the summit of Balkan leaders in Crete early next month, while
referring to matters concerning the ethnic Greek minority in
Albania he said: "the more democratic the procedures in a
country, the better the treatment of a minority".
He described the visit as "a milestone, on the occasion of which
we sent a message of friendship and solidarity in the struggle
for the reconstruction of the country."
Mr. Simitis also met in Tirana with Albanian President Rexhep
Mejdani, the leader of the opposition Democratic Party Sali
Berisha and Archbishop of Tirana and All Albania Anastasios.
[04] National Bank branch inaugurated
Tirana, 16/10/1997 (ANA/S. Liarellis)
The Greek delegation also attended the inauguration of a new
branch of the National Bank of Greece in Tirana, in the presence
of Archbishop Anastasios.
The branch was inaugurated by Mr. Simitis and Mr. Nano, while a
large number of Greek businessmen and members of the Albanian
government also attended.
National Bank of Greece Governor Theodoros Karatzas said in his
speech that the bank branch has developed the full range of
banking services since its opening, and that a significant part
of these are related to the transfer of funds from Albanian
nationals working in Greece.
Mr. Karatzas stressed that these activities would not be
restricted to the large number of Greek businessmen who intend
to become active in the neighbouring country, but would also aim
at attracting local businessmen as clients.
Tirana, 16/10/1997 (ANA/S. Liarellis)
On his part, Public Order Minister George Romeos, who is
accompanying Mr. Simitis, held talks with Interior Minister
Neritan Ceka, with whom he agreed on the need to further
increase the already close co-operation between the security
forces of the two countries.
Mr. Romeos and Mr. Ceka agreed that one of the major problems to
be tackled was that of narcotics trafficking. Mr. Romeos said he
had asked for a list of the convicts who escaped from Albanian
prisons during the height of the crisis in the neighbouring
country in March.
Mr. Ceka assured him that the list would be sent in the next few
days, explaining that it had not been possible to do so up to
now because of a lack of records, many of which were destroyed.
Announcing specific measures, Mr. Romeos said a meeting of the
police chiefs of areas on both sides of the common border would
be held in Ioannina on Oct. 24-25.
The aim of the meeting, he said, will be to examine ways of
tackling the more general problems, while at the same time
establishing closer co-operation between adjoining areas of
police jurisdiction, such as Sarande and Corfu.
The provision by the Greek police of the necessary material and
technical support to their Albanian colleagues would also be
realized at this level, Mr. Romeos said.
In order to better tackle the problem of drug trafficking, Mr.
Romeos continued, Greece will be supplied with specially trained
dogs and vehicles from the United States, which it will place at
the disposal of the Albanian authorities for use in border areas.
Meanwhile, six Albanian police officials will visit Athens next
week for briefing and training on narcotics-related issues. One
of the officers, with detailed knowledge of Albanian criminals,
will remain in Greece for a period of three months to assist
Greek police.
Towards the end of October, a Greek police officer will be
stationed to the Albanian interior ministry to act as a liaison
for the exchange of information.
Within the framework of the restructuring of the Greek police
forces on the border with Albania, steps will subsequently be
taken to reorganize the Albanian border police in order to
secure better co-operation and coordination.
Mr. Romeos handed Mr. Ceka a list containing the full details of
stolen boats and requested the assistance of the Albanian police
in finding them.
According to informed sources, Mr. Ceka requested the assistance
of the Greek coastguard - even in Albanian territorial waters -
to strengthen efforts directed against cigarette smugglers.
[06] Gov't stresses that threats come from Ankara, not Athens
Athens, 16/10/1997 (ANA)
If there is a threat of war between Greece and Turkey, it comes
from the neighbouring country, the government reiterated
yesterday, responding to statements by Turkey's military chief
Gen. Ismail Hakki Karadayi.
In statements published in the Turkish dailies "Sabah" and
"Hurriyet", Gen. Karadayi said Ankara's numerical military
superiority would make the result of any conflict with Greece a
foregone conclusion.
Asked to comment on Gen. Karadagi's statements, acting
government spokesman Nikos Athanassakis said Greece had not the
slightest desire to cause tension or conflict in the region,
while he added that Turkey should at long last realize that it
could not destabilize the region.
Replying to questions on statements in Athens on Tuesday by US
State Department special coordinator for Cyprus, Thomas Miller,
the Greek spokesman said the US envoys were in the first phase
of examining the positions of Greece and Turkey.
Mr. Miller met in Ankara on Monday with Turkish Premier Mesut
Yilmaz, while accompanying special US presidential emissary for
Cyprus Richard Holbrooke.
Mr. Athanassakis said the US had shown is was concerned about
the tension prevailing in the region and was trying to
contribute to de-escalation and to finding a settlement of the
Cyprus problem.
The spokesman denied a press report claiming that 600 US troops
would be stationed on Rhodes to monitor the implementation of a
moratorium on military flights over the Aegean and Cyprus.
"There is no such issue," he said.
[07] Karadayi remarks
Istanbul, (ANA/A. Kourkoulas/Reuter)
On his part, Turkish military chief Gen. Karadayi said that the
tension over the last few days during concurrent Greek and
Cypriot military exercises should not give cause for concern.
"One exercise doesn't mean anything and we are doing the same,"
he said in press statements, sending a warning to "hot-heads" in
Ankara that the tension could be a (Greek) "trap".
"We are dealing with the problem responsibly and in a
cold-blooded manner. There is no cause for concern," the "Sabah"
daily quoted Gen. Karadayi as saying.
"Any soldier can see the reality of the balance of power. The
Turkish army's overwhelming superiority is obvious. That's why I
wouldn't even bother arm wrestling with them," he said. The
rival daily "Hurriyet" carried the same quotes. The statements
appear be aimed at defusing attempts to create tension over the
prospect of the installation of Russian-made S-300
anti-air-craft missiles in Cyprus in conjunction with the
exercises "Nikiforos" and "Toxotis".
The Turkish chief of staff has avoided taking the extremist
positions of some Turkish officials on both these issues,
without belittling their significance or their potential
repercussions regarding strategic interests in the region.
However, Turkish State Minister for relations with Turkish
Cypriots and the European Union, Sukru Gurel, said Tuesday that
the tension between Greece and Turkey could provoke an armed
conflict.
"The other side is playing a very dangerous game, they are
playing with fire," he said, although yesterday he said:
"We do not intend to play war games ... I don't see any
dangerous escalation."
Finally, referring to Greek-Turkish relations, Turkish President
Suleyman Demirel told an audience at a Turkish Historical
Society ceremony about a personal account involving former Greek
president of the republic Constantine Karamanlis.
He claimed that Mr. Karamanlis had once told him "...that the
Greeks are afraid of us," on which he commented out loud: "since
you're afraid of us, why do you provoke us?"
[08] Violations
Athens, 16/10/1997 (ANA)
Meanwhile, the Greek military exercise "Toxotis" and the
concurrent Cypriot exercise "Nikiforos" ended yesterday with a
parade of infantry and motorized units through Larnaca, as eight
Hellenic Air Force F-16 fighters flew over the island republic.
At the same time, six Turkish warplanes violated Cyprus'
national airspace in the region of Paphos. The Turkish aircraft
were identified and intercepted by the Hellenic Air Force F-16
jets taking part in the parade.
Reports later in the day said there had been 12 infringement of
the Nicosia Flight Information Region (FIR) and a total of 20
infringements of the Athens FIR by early afternoon. In all
cases, Hellenic Air Force fighters identified and intercepted
the intruders, frequently after mock dogfights in both FIRs.
Turkish warplanes have repeatedly violated Greek and Cypriot
airspace during the past few days as Athens and Nicosia
conducted military exercises within the framework of their joint
defense doctrine. (See also page 11)
[09] French concern
Paris, 16/10/1997 (ANA/AFP)
The French government warned Turkey and Greece yesterday against
whatever action capable of increasing tensions in the eastern
Mediterranean region.
The warning came two days before Turkish Prime Minister Yilmaz
pays an official visit to France.
He is expected in Paris tomorrow to meet French President
Jacques Chirac.
"We call persistently on Turkey and Greece to abstain from
whatever is capable of increasing tension in the region and we
express the wish to see Ankara and Athens pursuing calm again,"
French Foreign Ministry spokesman Jacques Rummelhardt told
reporters.
"Over the past few weeks we have ascertained a worsening of the
climate in the eastern Mediterranean. The current or upcoming
military exercises in Cyprus can only complicate the situation
and senselessly create the danger of an uncontrollable
development," he said.
"We like to believe that the upcoming meeting expected to take
place in Crete in early November between the Turkish and Greek
premiers will allow for progress to be achieved in the direction
of normalization in relations between Turkey and Greece, two of
France's ally countries," he added.
Mr. Rummelhardt said Paris supports Turkey's accession to the
European Union.
"We place great importance on the European consolidation of
Turkey, a country which the EU's enlargement process concerns
absolutely," he insisted.
"On its part, Turkey must continue efforts which are necessary
to enable it to adjust to political, economic and social
criteria which apply to all candidate countries," Mr.
Rummelhardt said, stressing that he referred in particular "to
human rights and relations of good neighbourliness."
[10] Greek, Romanian, Bulgarian FMs to meet
Bucharest, 16/10/1997 (ANA/AFP)
The foreign ministers of Greece, Romania and Bulgaria will meet
on October 23 in Bucharest, the Romanian foreign ministry
announced yesterday.
The three ministers are expected to discuss joint co-operation
in transport and joint action against organized crime, according
to the announcement.
For Romania, this tripartite meeting is a way to bolster
security in the region, spokesman Victor Micula said.
[11] Papandreou meets with Latvian officials
Riga, 16/10/1997 (ANA)
Alternate Foreign Minister George Papandreou and Latvian
government officials expressed agreement yesterday that
simultaneous negotiations should be held with the 11 countries
that have applied for accession to the European Union.
Mr. Papandreou met with Latvian Prime Minister Guntars Krasts
and Foreign Minister Valdis Birkaus, who expressed the view that
the EU should give clarifications regarding the course of its
future relations with candidate countries.
Latvia has signed a free trade agreement with the EU, while on
June 12, 1995, a temporary association agreement was signed.
It was the first Baltic state to submit a request to join the EU
(on October 27, 1995) and has established a free trade zone with
the other two Baltic states, Lithuania and Estonia.
[12] Papandreou, Kranidiotis to attend Brussels meetings
Brussels, 16/10/1997 (ANA/G. Daratos)
Foreign Under-secretary Yiannos Kranidiotis left last night for
Brussels to attend a meeting of the European Parliament's Turkey
Watch committee, taking place here today.
The committee monitors human rights violations in Turkey and
includes socialist Eurodeputies, including Greece's Yiannis
Roubatis. The meeting will be held behind closed doors.
Mr. Kranidiotis is also expected to meet privately with
Eurodeputy Pauline Green, the head of the Socialist Group at the
Europarliament.
Alternate Foreign Minister George Papandreou is expected to
attend a meeting of the Socialist Group today on setting
guidelines for various issues to be brought up at next week's
plenary session of the European Parliament in Strasbourg.
Mr. Papandreou is expected to arrive in Brussels today from
Lithuania.
[13] SE European parliament presidents meet in Athens
Athens, 16/10/1997 (ANA)
Parliament presidents of several southeastern European countries
began a meeting in Athens yesterday, focusing on possibilities
for further development and consolidation of cooperation between
the region's national assemblies.
Addressing the two-day meeting, Greek Parliament President
Apostolos Kaklamanis set out the terms and prerequisites for
establishing a more substantial dialogue and upgrading contacts
between the parliaments of the region.
He proposed putting co-operation on a more permanent basis
within the framework of a "parliamentary advisory assembly", the
first aim of which would be to organize meetings of parliament
presidents on a regular, rotating basis, along the lines of
similar meetings in the European Union.
Yugoslav Parliament Speaker Milomir Minic urged the taking of
"all possible measures to stop the exclusion of Yugoslavia from
international political and economic organizations and the OSCE".
Mr. Minic also proposed Belgrade as the venue for the first
meeting of the advisory assembly of the countries of
southeastern Europe in June next year.
Romania's parliament president, Petr Roman, expressed the hope
that the image of southeastern Europe could be enhanced through
greater contact between the parliaments of the region.
"We must show to all that we are in a position to stabilize the
region and join European institutions. This however presupposes
common values and the assumption of responsibilities - democracy
and a market-oriented economy," Mr. Roman said.
Moldovan parliament president Timitru Motpan expressed concern
about the way in which countries were dealing with problems,
which arose following the collapse of the eastern bloc.
He said it was wrong "to continue to rely solely on our own
strength, since the problems are getting worse and we have not
come to terms with the fact that there must be an overall
effort".
According to Mr. Motpan, particular emphasis should be placed on
efforts to combat arms smuggling and narcotics trafficking,
while specific initiatives should be undertaken against
terrorism and national isolationism.
Co-operation should also be advanced on ecological matters and
the protection of the environment, he added.
The meeting is being attended by the parliament presidents of
Albania, Bosnia, Bulgaria, Yugoslavia, FYROM, Romania, Croatia
and Slovenia. The president of the Turkish national assembly had
been invited, but was unable to attend.
[14] Gligorov will attend Balkan leaders' summit on Crete
Skopje, 16/10/1997 (ANA/M. Vihou)
The president of the Former Yugoslav Republic of Macedonia
(FYROM), Kiro Gligorov, will attend a summit of state and
government leaders of southeastern Europe, taking place on Crete
in early November.
Mr. Gligorov notified Ambassador Alexandros Mallias, the head of
Greece's liaison office in Skopje, following a meeting he had
with the FYROM president yesterday.
His office also made an official announcement about the summit
trip.
Today, Mr. Gligorov is expecting German Foreign Minister Klaus
Kinkel to arrive in Skopje, following an official visit to Sofia.
Mr. Kinkel will also meet with FYROM's prime minister, foreign
minister and the leader of the Democratic Welfare Albanian
minority party, before a press conference.
[15] Stephanopoulos visits Veria
Athens, 16/10/1997 (ANA)
The borders of the Greek state are final, and our only demand is
that they and national pride are respected by our neighbours,
President of the Republic Kostis Stephanopoulos said yesterday.
During an extraordinary meeting of the city council of Veria,
where the president is visiting, Mr. Stephanopoulos said that if
Greece's neighbours do not respect its borders and national
pride, it is their side that will be degraded, not Greece.
The president is expected to attend today's celebrations over
the city's 85th anniversary since the liberation from Ottoman
rule.
Prior to visiting Veria, Mr. Stephanopoulos ended a three-day
tour of Mount Athos yesterday with a visit to the monasteries of
Dionysios and Xiropotamos.
[16] Fears of another quake recede
Athens, 16/10/1997 (ANA)
Seismologists believe that the danger of another major
earthquake occurring in Messinia has passed, since no serious
tremors have occurred in the 48 hours since Monday's 5.8 Richter
quake that shook buildings in Messinia and Laconia, causing
slight damage to older buildings.
Professor Ioannis Drakopoulos, reassuring local residents, said
yesterday: "I don't want to say that we are definitely in the
phase of post-seismic activity".
However, he noted that the epicentre of this week's quake was
situated in the sea bed far from populated areas, and therefore
people should not be too concerned.
[17] ND withdraws deputies from Parliament committee in protest over
'Kapodistrias'
Athens, 16/10/1997 (ANA)
Main opposition New Democracy Parliamentary spokesman Demetris
Sioufas yesterday announced in a press conference the withdrawal
of his party's deputies from the Parliamentary Committee for
Public Administration, in protest against the non-submission of
a draft bill on compulsory mergers of municipalities and
communities to the committee.
The bill, named "Kapodistrias", after modern Greece's first
executive head of state, was tabled in Parliament by Interior
Minister Alekos Papadopoulos last week.
Also speaking at yesterday's press conference, ND Parliamentary
group secretary, Stavros Dimas, accused the government of trying
to impose the plan in an authoritarian and undemocratic way, and
without dialogue.
The party's head of the public administration sector, Prokopis
Pavlopoulos, described the bill as "hypocritical", because the
ruling party referred to planned and not compulsory mergers in
its election manifesto. He also called it ineffective and
unconstitutional.
He added that mergers could be effective if promoted on the
basis of incentives, specific plans and local referendums, and
declared that when his party comes to power it will change the
law in the direction of voluntary mergers.
[18] KKE rules out high-level co-operation in municipal elections
Athens, 16/10/1997 (ANA)
The Communist Party of Greece (KKE) yesterday ruled out the
possibility of high-level co-operation with other political
parties for next year's municipal elections, according to its
Parliamentary spokesman Orestis Kolozov.
However, Mr. Kolozov said KKE officials were holding meetings
with officials from other parties over the elections, and that
the party was likely to support electoral tickets in which other
parties' candidates may also participate.
During a press conference yesterday, KKE's Parliamentary group
leveled strong criticism at the government's overall
performance, while analyzing the party's proposals on all major
issues.
Mr. Kolozov charged that the government had implemented a series
of measures which aimed at hastily incorporating the country
into European Union and NATO structures. He added that the
government's policy on most sectors included tough, anti-popular
and austerity measures, which mainly encouraged what he called
the growth of "big capital."
[19] Campaign against drunk driving goes nationwide
Athens, 16/10/1997 (ANA)
Breathalyzer testing for drunk driving is being extended to toll
posts along the national highways as traffic police step up
efforts to reduce alcohol-related road accidents.
Public Order Minister George Romeos told reporters on Monday
that 21 new breathalyzer devices donated by the Association of
Insurance Companies of Greece were being set up at toll
stations. "With this donation, the Greek Police now have a total
of 101 breathalyzer kits, enabling alcohol testing throughout
the entire country," Mr. Romeos said.
Breathalyzer testing and impounding of cars of repeat offenders
would continue, he added.
He said 3,325 breathalyzer tests between October 6 and 13 had
revealed 234 cases of drunken driving.
George Skourtis, a spokesman for the association and chairman of
its accidents committee, said traffic accidents in the wider
Athens region had fallen by 25-27 percent since breathalyzer
testing was introduced. Of the 23 road deaths this past weekend,
only one fatality occurred in a traffic accident in Athens, he
said.
Mr. Skourtis said that if road accidents continued to decline at
the present rate, the next step would be a reduction in car
insurance premiums.
[20] 10 insurance firms donate breathalyzer devices
Athens, 16/10/1997 (ANA)
Ten insurance companies and the Union of Insurance Companies of
Greece (EAEE) have donated 21 breathalyzer devices to the public
order ministry, as a contribution to its efforts to reduce
traffic accidents in Greece.
[21] SEB reaction to Spraos report
Athens, 16/10/1997 (ANA)
The president of the Federation of Greek Industries (SEB) Iason
Stratos yesterday said the recently unveiled "Spraos report"
should be regarded as exactly what it is, namely, "a
contribution to social dialogue".
Mr. Stratos said the report clearly described problems and
recommended feasible alternatives. He added that the report is
rather tentative on changes in the structure of the current
social security system, while it does not recommend any changes
in the system's administration.
According to SEB, social partners (employers-employees) should
actively participate in the administration of insurance funds,
taking part in decision-making on crucial issues.
SEB believes that the following recommendations in the Spraos
report can contribute to the implementation of socially
acceptable reforms: - a solution cannot be based on increasing
social security contributions, which being already high, if
further raised would harm competitiveness and development.
- the need to rationalize pensions, accompanied by a
re-assessment of the lowest levels, invalid pensions, etc.
- expansion of employees' work years duration, where necessary,
mainly by eliminating counter-motives for staying on the job.
SEB also expressed its opposition to the decrease of working
hours to 35 per week, since it believes that such a measure will
lower competitiveness.
[22] Pension funds need better management not Spraos, workers say
Athens, 16/10/1997 (ANA)
Greece's social security system can be reformed by focusing
attention on mismanagement and not by adopting the Spraos
report's fiscally-oriented proposals, workers at the National
Federation of Social Policy Organizations said yesterday.
The federation represents workers in non-IKA pension funds.
Representatives said that the failure of employers to pay
contributions to pension funds apart from IKA left a bill of 300
billion drachmas annually. Another five trillion drachmas was
lost through bad management of reserves, they said.
They also claimed that there were 1,700 positions that needed to
be filled and that computerization of services had not
progressed. They stressed that the government would be better
off dealing with these factors in any attempts to resolve the
problems.
Federation president George Koutroumanis said the Spraos report
had already caused anxiety amongst workers and that there was a
marked trend for those who were eligible for pensions to take
them.
Mr. Koutroumanis said bad organization was the prevailing
characteristic of most pension funds, saying processing
applications for new pensions took an average of eight months
and, at one fund, up to five years.
[23] Parliament discussion on Bank of Greece autonomy draft bill
begins
Athens, 16/10/1997 (ANA)
A Parliamentary committee has opened discussion on a draft bill
providing for autonomy of the Bank of Greece on monetary policy
issues. According to National Economy and Finance Minister
Yiannos Papantoniou, the draft bill will also harmonize the
central bank's operation with provisions of the European Union
Treaty.
Mr. Papantoniou stressed that the central bank's primary target
was steady prices, namely, a low inflation rate, as well as
supporting economic development.
Decisions relating to monetary policy, according to the
minister, will be taken by a six-member council, comprising the
central bank's governor, two deputy governors and three board
members. The council will be of a six-year term.
The draft bill also stipulates that when necessary, the Bank of
Greece board will be accountable to a relevant Parliamentary
committee.
In reaction to the draft bill, main opposition New Democracy
(ND) shadow minister for economic issues Georgios Alogoskoufis
said the draft bill secured neither the central bank's autonomy
nor democratic oversight. He said what is sought by the current
d raft bill is to simply secure another six-year term for the
current board.
Opposition to the draftbill also came from the Coalition of the
Left and Progress (Synaspismos), with the party's Parliamentary
spokesman, Yiannis Dragasakis, saying that no procedures of
essential audit over the bank was provided for by the draft bill.
[24] Construction date for Greek bridge link to be named end-November
Athens, 16/10/1997 (ANA)
The starting date for construction of a bridge linking mainland
Greece to the Peloponnese in the west will be announced at the
end of November, Public Works Minister Costas Laliotis told
state radio yesterday.
The bridge linking Rio and Antirrio will act an as alternative
to sea or road transport, slashing traveling time.
The project is to be built according to original specifications
and contracts have been signed, Mr. Laliotis told ERA radio in
the nearby port of Patras.
National and European Union funds have been earmarked for the
project and a loan secured from the European Investment Bank, he
said.
The bridge, which is a part of the European Union's transport
networks, is due for completion by 2004, Mr. Laliotis said.
[25] Greece opposes changes to EU rules on cabotage
Athens, 16/10/1997 (ANA)
Merchant Marine Minister Stavros Soumakis said the government
opposed any changes in a European Union directive on the
abolition of cabotage, and a further extension after the year
2004.
Speaking to reporters after a meeting on Tuesday with Greek
Eurodeputies and seamen's union representatives, Mr. Soumakis
urged Greek shipowners to modernize and renew their fleet in
order to better compete with their European counterparts.
The minister said that both sides agreed that a unified policy
was in the interests of the Greek shipping industry.
[26] Greek stocks edge up in heavy trade
Athens, 16/10/1997 (ANA)
Greek equities resumed their upward trend on the Athens Stock
Exchange to end higher after a short-lived correction in the
previous session.
The general index broke the 1,800 mark during the session once
again but failed to hold the level. Traders said the market was
uncertain whether or not to allow the Athens general share index
to go higher.
The index closed 0.63 percent higher at 1,791.97 points. Most
sector indices scored gains. Turnover was 27.8 billion drachmas.
Banks rose 0.58 percent, Insurance was 0.20 percent higher,
Leasing fell 0.10 percent, Investment increased 0.27 percent,
Construction dropped 0.80 percent, Industrials rose 0.93
percent, Miscellaneous was 1.60 percent up and Holding rose 0.20
percent.
The parallel market index for small cap companies fell by 0.63
percent.
Broadly, advancers led decliners by 118 to 104 with another 23
issues unchanged.
Halyps Cement, Keranis, Bank of Attica, Sanyo, Vis and Katselis
scored the biggest percentage gains, while Dane, Ideal, Sato and
Macedonian Plastics suffered the heaviest losses.
National Bank of Greece ended at 31,690 drachmas, Ergobank at
19,250, Alpha Credit Bank at 21,320, Delta Dairy at 4,110, Titan
Cement at 16,285, Intracom at 17,095 and Hellenic
Telecommunications Organization at 6,700.
[27] US institutionals see more gains ahead on Greek bourse
Athens, 16/10/1997 (ANA)
US institutional investors believe that the Greek stock market
has potential for further gains this year despite a 70 percent
rise in dollar terms since January. Stefan Alb, an executive at
Sierra Global Management said that the fundamentals of the Greek
market remained strong, corporate profitability had improved and
the valuation of stocks remained attractive.
He said there are a number of medium and small-sized stocks with
great growth potential in Athens.
Mr. Alb was speaking at a presentation of investment
opportunities on the Greek bourse held by the Athens Stock
Exchange chairman Manolis Xanthakis in New York to mark the
introduction of a second index for the bourse, the FTSE/ASE-20
index.
Mr. Xanthakis said that the Greek market's total value had shot
up from 4.49 billion dollars in 1987 to 12.5 billion in 1993 and
40.2 billion in September 1997. The development reflected
political stability, a positive trend in macro-economic figures,
high corporate profitability and great growth prospects as
Athens will stage the 2004 Olympic Games in Athens.
Mr. Xanthakis said that foreign investors accounted for 25-30
percent of total trading, up from a 15 percent five years ago.
Referring to the new index, the Athens bourse chairman said that
it aimed to attract foreign interest and to facilitate a future
Greek derivatives market.
The FTSE/ASE index is a joint project with FTSE International, a
company owned by the Financial Times Group and the London Stock
Exchange.
[28] EU satisfied with improvements at Greek airports
Athens, 16/10/1997 (ANA)
The European Union has dropped infringement procedures against
Greece following complaints by international airlines that
Olympic Airways, which has a monopoly on ground handling
services at Athens airport, offered poor services and charged
ill-defined tariffs.
The EU's executive Commission said that the situation had
resulted from an abuse of OA's monopoly, which ends in 1998, and
opened an infringement procedure.
As a result, the Greek authorities carried out works to improve
the eastern terminal at Athens airport which houses foreign
airlines.
The authorities also recently amended a law on temporary work
which prevented OA from easily recruiting seasonal personnel to
cope with the peaks of traffic during the tourist season. A new
operator, chosen by tender, will provide from January 1, 1998
ground handling services in competition with OA. A second
operator will offer ramp services on January 1,1999.
OA has put in place a system of quality control and minimum
standards which it has committed itself to respecting at
airports in Athens, Iraklion, Hania, Rhodes, Corfu and
Thessaloniki.
OA has also established a new tariff structure better linked to
the actual cost of the service.
In order to increase transparency, these tariffs will be
published and any amendment will have to be announced and
explained.
In addition, projects are or will soon be undertaken in other
Greek tourist airports.
[29] Greece releases funds for roadbuilding, flood prevention works
Athens, 16/10/1997 (ANA)
Greece's public works ministry endorsed the release of funds for
regional roadbuilding and flood prevention works.
The projects are as follows:
* Construction of an overpass in the prefecture of Messinia,
budgeted at 330 million drachmas
* Additional work on a highway in the prefecture of Preveza,
budgeted at 56 million drachmas
* Flood prevention works in the island of Rhodes and the
prefecture of Ioannina, budgeted at 84.5 million drachmas.
[30] Investigation into pharmaceutical-maker's practices ordered
Athens, 16/10/1997 (ANA)
An Athens prosecutor yesterday ordered a preliminary
investigation into whether the Boehringer Pharmaceuticals firm
is liable to prosecution on a number of charges, following its
decision to withdraw a number of medicines from the market and
whether it has been overpricing its products.
The prosecutor has also called for the president of the National
Pharmaceuticals Organization (EOF) and the organization's
competent officials to be summoned as witnesses in the
investigation.
Meanwhile, the president of the Athens Pharmacists' Association,
Eleni Besbea, has filed a lawsuit against anyone responsible for
shortages of certain medicines in the market, which, she says,
holds dangers for public health.
She also pointed out instances of profiteering and unfair
competition, mentioning as a likely cause the abolition of the
set price for pharmaceuticals, which she said applies worldwide.
[31] Intralot agreement in Serbia
Belgrade, 16/10/1997 (ANA/M. Mouratidis)
The Greek company Intralot signed an agreement here on Tuesday
for co-operation with Serbia's state-run lottery organization
Loutria, an investment amounting to US$18 million.
The agreement anticipates creation of a modern computer network
for Lotto and other scratch-off games, as well as the
modernization of Yugoslavia's lottery agencies.
Intralot not only undertakes to install equipment, but also
becomes an equal partner with Loutria, and is committed that the
establishment of the first machines will take place in Belgrade
in the next six months and gradually in the other Yugoslav
cities.
The Serb partner is committed to depreciating the investment in
12.5 years, paying 8.5 per cent of profits to Intralot, while
the latter will also undertake to advertise. The agreement also
anticipates the introduction of new games on the Serb market.
[32] Turkey causes regional tension, Greek minister says
Nicosia, 16/10/1997 (ANA/CNA)
Greek Minister of Defense Akis Tsohatzopoulos stressed here
yesterday that Greece wants "peace and stability in the region"
and confirmed that Greece and Cyprus' co-operation in defense
continues "against any external threat".
Speaking at a joint press conference in Nicosia with his Cypriot
counterpart Costas Eliades, Mr. Tsohatzopoulos described his
three-day visit to Cyprus as "creative" and said the island is
ready should war break out, and the National Guard is effective
and modernized.
He also congratulated National Guard Commander Nicolaos
Vorvolakos and the Greek Armed Forces for their excellent
performance in the five-day "Nikiforos" military exercise which
ended yesterday.
Mr. Tsohatzopoulos stressed this period "imposes a spirit of
co-operation and stability" and expressed his satisfaction
because "through our effective defense, we contribute with
determination" to the respect of Greek and Cypriot rights.
Responding to questions, Mr. Tsohatzopoulos said the fact that
"Greece and Cyprus have agreements on defense matters to face
external threats together" does not create any tension in the
area, which is caused exclusively by Turkish moves.
He reiterated that Greece wants peace, "but not at the cost of
its own survival and rights".
Mr. Tsohatzopoulos said if the United States or any other
country is "interested in reducing tension, then they must turn
to the sole source of that tension, which is none other than
Turkey" and persuade this country to "stop being a destabilizing
factor in the region and terminate its occupation of Cyprus".
He confirmed that Greece will participate in the same exercise
next year.
On his part , Mr. Eliades said Cyprus' defense program and its
co-operation with Greece are irreversible, "unless the
demilitarization of the island is agreed upon or the Cyprus
problem is solved".
[33] President takes salute of parade
Larnaca, 16/10/1997 (ANA/CNA)
President Glafcos Clerides said yesterday's military parade was
the "most impressive" and that more such parades will follow.
He was speaking after the parade that marked the end of the
five-day National Guard annual military exercise code-named
"Nikiforos '97".
"We are proud of our armed forces", President Clerides said.
Asked to comment on violation of the Nicosia FIR by Turkish
warplanes, President Clerides said "this provided an opportunity
to see whether our joint defense pact with Greece is effective".
On his part, Greek National Defense Minister Akis Tsohatzopoulos
congratulated all who took part in the military exercises.
President Clerides and Mr. Tsohatzopoulos visited Greek warships
here for the manoeuvres at Larnaca port.
President Clerides was also briefed yesterday by the Defense
Ministers of Cyprus Costas Eliades and Greece Mr. Tsohatzopoulos
on the process of co-operation in defense matters between the
two countries.
End of English language section.
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