Athens News Agency: Daily News Bulletin in English, 01-12-17

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From: The Athens News Agency at <http://www.ana.gr/>

CONTENTS

[01] PM welcomes EU plan to reshape its future

[02] Consulate complains to Belgian police over summit arrest data

[03] Main opposition blasts government policy over EU army

[04] Defense minister to NATO meeting in Brussels on Monday

[05] Debate on budget for 2002 begins in parliament on Monday

[06] Central bank chief wants to see Greek competitiveness rise

[07] Exports need a boost, government official says

[08] Market holiday on Dec 31 to prepare for euro cash launch

[09] Greece, Spain back southern EU tobacco growers' pact

[10] Cross transactions with Istanbul bourse to start in 2002

[11] Patriarch Vartholomeos marks end of Moslem holy month

[12] Iran to attend Patriarchate's meeting of religions

[13] Thessaloniki international airport shuts due to snow

[14] UNICEF holds children's Xmas party in Athens

[15] President Clerides says peace talks will not affect EU negotiations

[16] EU leaders encourage Cypriot leaders to reach overall solution

[17] Nicosia residents elect new Mayor

[01] PM welcomes EU plan to reshape its future

BRUSSELS, 17/12/2001 (ANA-�. Zitouniati)

Simitis said late on Saturday that the Belgian presidency had withdrawn a text from the United Kingdom and US that would have brought Turkey, which is not a member of the EU, into European defense planning.

The prime minister was speaking at a news conference for Greek media in Laeken, near the Belgian capital, where the two-day summit was held.

He noted that the issue of ties between non-EU members of NATO in Europe and the new military force was still outstanding, but the conditions had changed.

"We will try to resolve this in the future, using institutional initiatives," Simitis said.

He underlined that Greece had attained its objective at the summit with removal of the text on access to NATO planning resources.

In addition, the EU leaders had adopted Greece's proposals on migrant trafficking, including creation of an EU guarding arrangement for the bloc's external borders; a mechanism for the return of illegal migrants; and the establishment of a European watchdog to keep track of the problem, with Athens proposed for its base.

Furthermore, the summit had reaffirmed that entry negotiations with candidate countries would be completed on target by the end of 2002. Greece holds the rotating presidency of the EU in the first half of 2003.

Earlier in the day, Simitis welcomed a decision by EU leaders to create a constitutional convention on rethinking the future of the 15-nation bloc ahead of enlargement.

"The EU summit's Laeken declaration on the future of Europe and decisions taken on the form and nature of the convention that will prepare an institutional overhaul of the EU constitute a good starting point," he said.

The prime minister noted that the Laeken declaration, which sets the agenda for the convention, would safeguard the democratic nature of institutional reform, as it allowed representation for the society of citizens, national parliaments, governments and the Europarliament.

Initially, the advisory convention would examine key areas for the overhaul; and then make single proposals or offer alternative proposals on each issue.

Deliberations would focus on a rearrangement of powers in the EU; the development of a common foreign and security policy; and simplification of the decision-making process in order to narrow the gap between Community institutions and the public, Simitis said.

The convention, whose head was named as veteran statesman Valery Giscard d'Estaing of France, would also look at whether the bloc should adopt a constitution; and if so, what its orientation should be.

The outcome of the convention's deliberations on setting a framework for the institutional overhaul would not be binding on a meeting of governments that was scheduled to follow.

Turning to the summit's deliberations on European defense, Simitis said that Greece exercised its foreign policy fearlessly, and without pandemonium.

"Foreign policy is not conducted by means of threats," he added. In addition, the prime minister said the summit had approved the dispatch of a multinational force to Afghanistan following a UN resolution. Greece's role in the force would be the provision of humanitarian aid.

Finally, he reported that the EU had criticized Israel's tactics in the Middle East, which were leading to a deadlock in the region.

Foreign Minister George Papandreou held talks on the sidelines of the Laeken summit with his Turkish counterpart, Ismail Cem. The two discussed European security and defense policy, Turkey's bid to join the EU, and latest developments in the Cyprus issue.

[02] Consulate complains to Belgian police over summit arrest data

BRUSSELS, 17/12/2001 (ANA/M.Spinthourakis)

Three Greeks were arrested during protests on Saturday and were likely to be deported on Sunday. The arrests had been confirmed with Belgian authorities after information received from senior officials of the Communist Party of Greece, consular officials said.

A further five arrests of Greek nationals were reported on Saturday. The protesters, who had taken part in an attempt to occupy a building in the Belgian capital on Thursday, were deported the same day, diplomatic sources said on Saturday.

Another Greek national was arrested on Saturday for breach of the peace, the sources added.

The names of the protesters have not been officially released.

[03] Main opposition blasts government policy over EU army

Athens, 17/12/2001 (ANA)

"What kind of European army is this, which leaves Greece, a member country of the EU, exposed, and which will be unable, if needed, to operate in the Aegean and Cyprus," Karamanlis told reporters.

He charged the government with inertia in allowing a dialogue to evolve on the European army in its absence, without expressing its outright opposition.

Greece was the only member of the EU facing a direct threat to its territorial integrity, Karamanlis noted.

"The government is celebrating a postponement that will not lead to more favorable conditions for resolution of the problem. This is the most worrying thing, because it proves that it has learnt nothing and is trailing events, while Greece risks failing to safeguard its security," he said.

"It has been demonstrated that by itself, the government cannot guarantee Greece's interests. It should agree to our proposal right now that a national foreign policy council should be set up," Karamanlis added.

Government snaps back at opposition over EU army taunt: Government spokesman Christos Protopappas said on Sunday that the prime minister had defended Greece's interests following announcement by the European Union at the weekend that its rapid reaction force was operational.

Earlier in the day, the leader of the main opposition New Democracy party, Costas Karamanlis, had accused the government of leaving Greece's defense exposed.

"While Costas Simitis successfully defended national interests at the European summit, Mr. Karamanlis continues to make statements that objectively weaken the country's endeavor," Protopappas said in a statement.

He called Karamanlis' line irresponsible and dangerous.

Coalition of the Left raps PM over European army: The Coalition of the Left and Progress said on Sunday that a rapid reaction force declared operational by the European Union this weekend did not warrant satisfaction the government had expressed.

Lacking were political controls on the new military force's operations, and its relationship to NATO countries had been left undefined, the party said in a statement.

It claimed that Prime Minister Costas Simitis was mistakenly satisfied due to postponement of the decision on ties between non-EU members of NATO in Europe and the new army.

"Postponement of discussion on the subject to the next (EU) presidency does not change the framework of pressure that will continue ahead of an upcoming visit by Simitis to the US," the statement said. It charged the prime minister with failing to explain how this had occurred.

Communist Party of Greece welcomes demos at EU summit: The Communist Party of Greece (KKE) on Sunday welcomed protests staged after a European Union summit held near Brussels.

The party said in a statement that the protests showed opposition to what it called reactionary and repressive decisions taken at the summit.

The KKE also claimed that the government's positive response to the EU decisions showed a desire to divert public attention away from the real issues.

In addition, the party said that ratification of a European arrest warrant at the summit was a blow to radical political and trade union activity.

Furthermore, the EU's creation of a rapid reaction force demonstrated the 15-nation bloc's aggression, the statement claimed.

Finally, the KKE described the Community's decision to send a multinational force to Afghanistan as a bid to penetrate Eurasia so that the US would not reap all the gains.

[04] Defense minister to NATO meeting in Brussels on Monday

Athens, 17/12/2001 (ANA)

The meeting on December 17-19 is this year's regular autumn session of NATO defense ministers, the statement said on Sunday.

On Wednesday, Papantoniou leaves Brussels for Turkey to take part in an annual meeting of defense ministers from southeast European countries on December 19-20, the statement said.

[05] Debate on budget for 2002 begins in parliament on Monday

Athens, 17/12/2001 (ANA)

Party political leaders will address the house on Friday before a vote on the budget late in the evening.

The growth-oriented budget forecasts a rise in gross domestic product of 3.8 percent in 2002, double the European average despite an adverse global climate.

The budget also anticipates a surplus for the second straight year, and the public debt is due to maintain its gradual decline.

The budgets of ministries implementing social policy are to rise, with those involved in public order seeing an increase of 20 percent.

[06] Central bank chief wants to see Greek competitiveness rise

Athens, 17/12/2001 (ANA)

"Clearly the country has to make more effort if it really wants to improve living standards in a fiercely competitive environment, Lucas Papademos told the Sunday Kathimerini newspaper in an interview.

"Structural reform is the most essential thing at the moment, and it must aim at a more effective operation of markets, and a rise in competitiveness in the private sector," said the head of the Bank of Greece.

The object of privatization was to bring effective operation of the country's productive base, and not to fill state coffers, Papademos noted.

In addition, an overhaul the government had begun of the tax system had become a major priority. Needed were simplification, competiveness and social equity in the new arrangement, he added.

[07] Exports need a boost, government official says

Athens, 17/12/2001 (ANA)

Magriotis attributed the relatively low level of exports to weaknesses in both the private and public sectors that hindered growth in competitiveness.

However, current conditions were favorable with a chance for Greek firms to show dynamism and turn their sights outward.

In addition, Greek foreign policy and the country's presence in southeastern Europe, the Caucasus and central Asia had created prestige and opened new businesses opportunities, Magriotis said.

He was addressing the OTE Money Show 2001 in the northern port city of Thessaloniki.

[08] Market holiday on Dec 31 to prepare for euro cash launch

Athens, 17/12/2001 (ANA)

The ruling applies to transactions at the Bank of Greece, or central bank, and commercial banks, except for selected business including introduction of the new coins and banknotes; and internal systems trials for the following day.

The Athens Stock Exchange and Athens Derivatives Market will remain closed on December 31, along with affiliated companies including mutual fund managers and investment firms.

Automated teller machines for the public will operate normally.

The ruling on the market holiday has been ratified by parliament and is about to be published in the Government Gazette, when it becomes law.

Euro coin starter-packs on sale from Monday: Starter-packs of euro coins will be on sale at banks from Monday to allow the public to get used to the new European single currency that will be introduced in physical form on January 1.

At a cost of 5,000 drachmas, the pack contains the full range of coins worth 14.67 euros.

Packs of up to 300 euros will also go on sale, destined for businesses.

Coins in the pack may not be used in transactions until the official launch on January 1, when the euro will circulate in parallel with the drachma until abolition of the national currency at the end of February.

[09] Greece, Spain back southern EU tobacco growers' pact

Athens, 17/12/2001 (ANA)

Agriculture Minister George Drys and his Spanish counterpart, Miguel Arias, said at a meeting in Athens that Greece, Spain, Italy and Portugal should give the EU joint action plans on the sector in order to secure favorable terms in the future.

The meeting was part of exploratory talks by Spanish government officials before their country assumes the EU's rotating presidency on January 1.

Drys also told Arias of Greece's interest in establishing new EU rules on the Aegean Sea's small islands in line with amendments made for sea regions off Spain, France and Portugal.

[10] Cross transactions with Istanbul bourse to start in 2002

Athens, 17/12/2001 (ANA)

Speaking at the OTE Money Show 2001 in the northern port city of Thessaloniki, Alexakis also said that authorities were studying the possibility of activating a platform for transactions between the Athens bourse and the Yugoslav market in Belgrade.

In addition, the Athens bourse was working on cooperation arrangements with markets in Sofia, Bulgaria; and Bucharest, Romania, he added.

[11] Patriarch Vartholomeos marks end of Moslem holy month

ISTANBUL, 17/12/2001 (ANA/A.Kourkoulas)

Vartholomeos said that a meeting of religions arranged by the Ecumenical Patriarchate in Brussels under the aegis of European Union Commission president Romano Prodi aimed to spur peaceful coexistence among the three faiths.

[12] Iran to attend Patriarchate's meeting of religions

ISTANBUL, 17/12/2001 (ANA / A. Kourkoulas)

Iran usually avoids events of the kind, but it willingly accepted Patriarch Vartholomeos' invitation, said Bishop Emmanouil Adamakis of Rigion, who has traveled widely to help arrange the session.

He added that few similar initiatives had met with such interest from the Islamic world.

[13] Thessaloniki international airport shuts due to snow

Athens, 17/12/2001 (ANA)

Bad weather has hit the north of the country with schools due to remain closed in central and western Macedonia on Monday.

Thessaloniki itself was enveloped in thick snow with traffic scarcely able to circulate in the city center due to ice.

The snow was more than 30 centimeters deep on mountains near the port city.

[14] UNICEF holds children's Xmas party in Athens

Athens, 17/12/2001 (ANA)

The annual party was this year dedicated to the fight against child exploitation, a UNICEF program.

[15] President Clerides says peace talks will not affect EU negotiations

LARNACA, 17/12/2001 (CNA/ANA)

Speaking on his return from Laeken on Sunday, where he attended a working lunch with EU heads of government and leaders of other candidate countries, he said there were no indications that there is a solution plan for Cyprus, adding that as far as he could tell neither the US nor Britain have prepared such designs nor do they intend to propose any plan for a solution.

The president also said that he responded to remarks by Turkish Premier Bulent Ecevit that peace talks on Cyprus are conducted by "two ethnicities" on the island and explained that talks take place between the Greek and Turkish Cypriot communities, as stipulated by UN resolutions.

"I believe there are no problems in our accession course and that the EU will keep its enlargement framework as agreed and invite those candidates which are ready to join to do so at the end of 2002 and have the parliaments of member states ratify this by 2004," the president said.

Questioned on the possibility of seeing membership talks conclude as peace talks take place, the president said such an eventuality would not affect Cyprus' prospects for accession.

"When the time comes, we shall say yes (to accession) as I do not believe that the peace talks will influence our course to Europe," he said, noting that all EU countries have welcomed the start of direct talks in mid-January and expressed hope that they would lead to some positive outcome.

This, however, does not mean that should the peace talks fail, Cyprus will not be able to join the EU, the president stressed.

[16] EU leaders encourage Cypriot leaders to reach overall solution

LAEKEN, 17/12/2001 (CNA/ANA)

The Council also said candidacies will continue to be assessed on their own merits, in accordance with the principle of differentiation and that if the present rate of progress of the negotiations is maintained Cyprus, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, the Slovak Republic, the Czech Republic and Slovenia could be ready.

Cyprus opened negotiations with the EU in 1998 and has provisionally closed 24 out 29 chapters of the acquis communautaire.

The EU leaders said "the European Council welcomes the recent meetings between the leaders of the Greek and the Turkish Cypriot communities and would encourage them to continue their discussions with a view to an overall solution under the auspices of the United Nations consistent with the relevant resolutions of the United Nations Security Council."

The European Council reiterated that the EU is determined to bring the accession negotiations with the candidate countries that are ready to a successful conclusion by the end of 2002, so that those countries can take part in the European Parliament elections in 2004 as members.

It noted that Turkey made progress towards complying with the political criteria established for accession, in particular through the recent amendment of its constitution and that this has brought forward the prospect of the opening of accession negotiations with Turkey.

The Council added the "roadmap" drawn up by the Nice European Council remains fully applicable and that proceedings on the drafting of the accession treaties will begin in the first half of 2002.

As for Bulgaria and Romania the Council expressed appreciation for their efforts and encouraged them to continue on that course.

It noted that if those countries are to receive specific support, there must be a precise framework with a timetable and an appropriate "roadmap", the objective being to open negotiations with those countries on all chapters in 2002.

The Council also encouraged Turkey to continue its progress towards complying with both economic and political criteria, notably with regard to human rights and noted that pre-accession strategy for Turkey should mark a new stage in analyzing its preparedness for alignment with the acquis.

Clerides expresses reserved optimism about a settlement by June: Cyprus President Glafcos Clerides has expressed reserved optimism that a settlement of the protracted Cyprus question could be found by June 2002, noting at the same time that there is a lot of work to be done but when there is a will there is a way.

Speaking in Laeken Saturday at a press conference, Clerides said that "there are many reasons which make us feel that a solution must be found in the near future, beyond the question of joining the European Union," and stressed that he is going to the talks, in mid-January as agreed with the Turkish Cypriot side, "with the intention to solve the problem."

"We shall begin on the 16th of January in the presence of the representative of the UN Secretary General and at that first meeting we have to decide how we begin and how we proceed. Therefore we have a lot of work to do and for this reason we decided that we should meet at least three times a week", the president said about his agreement on December 4 with Turkish Cypriot leader Rauf Denktash to begin UN-led direct talks with a view to reaching a settlement.

He reiterated that "the EU has made it absolutely clear that it is not a necessary precondition that we should solve the problem in order to join the EU", stressing however that "this does not stop us from wanting to find a solution."

The president welcomed Denktash's statement that the problem should be solved by June 2002, although as he said this was not agreed between the two of them.

Asked if he was optimistic that a settlement would be reached by June, Clerides replied "I am optimistic by nature but that doesn't mean that I do not have some reservations as to how quickly we can move. The thing is that we are going to these talks with the intention to solve the problem and where there is a will, there is a way. Therefore we must assume that Denktash also comes with the same intention and therefore one can be optimistic reservedly."

Asked about the US role in efforts to reach a settlement, Clerides said that after the terrorist attacks of September 11, the US gave the government assurances that Washington's interest in promoting a solution would continue.

He said American involvement and indications on the part of the US in the direction of Turkey that it should return to the talks with a view to negotiate have also contributed to Denktash's move to request a meeting.

The president said he intends to invite Denktash to a meeting, to take place between Christmas and the New Year, to discuss with him humanitarian issues. As he explained during this meeting he will raise the humanitarian issue of missing persons, at the request of the Committee of Relatives of Missing Persons.

Asked about the dinner Denktash hosted at his residence in Turkish occupied Nicosia, on December 5, Clerides said that Denktash was kind enough to invite him to dinner as his interlocutor at the UN-led talks together with Alvaro de Soto (UN Secretary General's special adviser on Cyprus).

"I excepted the invitation, I went across and I had a very good dinner," he added.

Replying to a question on the role of the EU with regard to the peace effort, he said he would not object that some advice may be given on matters related to the question of the acquis communautaire because "we don't want to reach an agreement which would be contradictory to the acquis."

"There are many reasons which make us feel that a solution must be found in the near future beyond the question of joining the EU. The EU has made it absolutely clear that it is not a necessary precondition that we should solve the problem in order to join the EU. But that does not stop us from wanting to find a solution," he added.

Invited to comment on the fact that the 1999 EU Helsinki conclusions are not included, according to the draft, in the Laeken conclusions, Clerides said the Helsinki conclusions were reiterated in the communique of the EU General Affairs Council.

Asked on the meeting he had here Saturday with Greek Premier Costas Simitis, Clerides said he briefed Simitis on the latest developments in Cyprus.

At their first face to face meeting in four years, on December 4 Clerides and Denktash agreed to begin UN-led direct talks with no preconditions, with all issues on the table, and said they would continue to negotiate in good faith until a comprehensive settlement is achieved and that nothing will be agreed until everything is agreed.

[17] Nicosia residents elect new Mayor

NICOSIA, 17/12/2001 (CNA/ANA)

Zampelas, who was supported by the ruling rightwing Democratic Rally party, the government's junior partner United Democrats and the Democratic Struggle Movement (ADIK), received 15.298 votes or 50,09per cent.

His opponent, lawyer Kypros Chrysostomides, backed by the opposition parties leftwing AKEL, right-right Democratic Party, the Socialdemocrats Movement and the New Horizons, registered 14.821 votes or 48,58 per cent.

Zampelas, who succeeds Lellos Demetriades, who was Nicosia Mayor for 30 years, stated that "the victory belongs to the Nicosia citizens" and that the capital's problems "have no party color". He promised to work hard to develop the world's last divided capital.

A third candidate, Stavros Gregoriades, received only 425 votes or1,39 per cent.

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