Athens News Agency: Daily News Bulletin in English, 04-02-05

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

CONTENTS

[01] Nat'l competitiveness council unveils first-ever report

[02] Gov't blasts ND proposals for pensions; ND claims distortion

[03] FM Papandreou confers by phone with Cyprus president Papadopoulos

[04] US expects both sides in Cyprus to accept preconditions set by UN chief

[05] Greek-Turkish exploratory contacts to take place in London on Thursday

[06] Parliament approves bill on election of MPs

[07] Probe begins on forged signature claim in "Pahtas amendment"

[08] Probe launched into fate of missing ministry cheque for 1.5 million

[09] PASOK secretary on election of new party president

[10] Evert on ND's state election ticket, no cooperation with Andrianopoulos

[11] Communist party leader says sports must serve people and not capital

[12] Coalition party leader presents party's positions on local administration

[13] Greek Army General Staff chief Antonakopoulos meets Bulgarian counterpart

[14] Trade balance deficit increases 29.8 pc from January to September 2003

[15] Athens Int'l Airport: 3.6 pct increase in passengers in 2003

[16] Transport minister presents new train types

[17] Blue chips support ASE as small caps plunge

[18] Delays on vital Olympics-related Marathon Blvd. reported

[19] Cheap and small houses in downtown Athens preferred by Olympic Games visitors

[20] Greek ambassador in US gives lecture on 'Greece: Olympic Games and Politics'

[21] Concert held in Brussels within framework of 'Cultural Olympiad'

[22] Annan to announce date for talks in the next day or so

[23] President Papadopoulos asks Annan again to convene talks

[24] Germany wishes for real progress on Cyprus issue until May

[01] Nat'l competitiveness council unveils first-ever report

Athens, 05/02/2004 (ANA)

The report by the Council, including representatives by all productive class in the country - workers and employers - said that the Greek economy's advantage was that it was starting from a high level in the economic cycle, with investments made in past creating an upgraded starting point for businesses and the economy as a whole. The country's human resources enjoyed a relatively high level of general education and relatively high skills of use of foreign languages, two elements facilitating economic adjustment to new technology and a globalized economy, the report said.

A significant group of Greek companies have already implemented technical, organizational and administrational reforms enabling them to meet the demands set by international competition and raising shares in the most demanding markets.

Greece's central position in-between countries in the road of EU expansion and the increased Euro-Mediterranean partnership, offered the country additional capabilities for growth, the report said.

On the other hand, the report stressed the country's economic weaknesses, such as inadequate adjustment of the education and training systems to the demands of a globalized economy, low performance of the public sector, bureaucracy and low quality of offered services. The country also lagged behind in expanding the use of new technologies and exploiting the tools of an information society, use of computers and the Internet, the report on competitiveness said.

Spending on research and development were limited while business innovation also lagged behind compared with the country's competitors. The old institutions of supporting business activity and regional development have been proven inadequate, while new structures were not convincing enough yet.

Competition flaws in certain domestic markets leading to pressures in prices and inflow costs. The Greek economy is relatively closed and less outgoing compared with other EU member-states with higher levels of competitiveness.

Unemployment, despite a steady decline, remains at high levels, while increased social inequality adds to economic problems with high-income classes of population reporting up to six times more income compared with lower-income classes.

"We have created the right conditions for a continuous increase in investments in the country. The business world entrusted us, showed confidence in out policy and invested because they believed in a vision of a Greece that deals differently with problems. Workers also showed confidence in us because our policy offered results, it led to higher wages, prosperity and social benefits," Prime Minister Costas Simitis said, while presenting the report on competitiveness.

Mr Simitis stressed that the country's living standards approached 75.5 percent of the average EU level, compared with 64 percent eight years ago.

Economic stability and development with social cohesion is the cornerstone of our policy, the Greek premier said.

"Improving economic competitiveness is the top priority of our policy," Development Minister Akis Tsohatzopoulos said.

[02] Gov't blasts ND proposals for pensions; ND claims distortion

Athens, 05/02/2004 (ANA)

Government spokesman Christos Protopapas, PASOK Central Committee Secretary Mihalis Chrysohoidis and others joined with trade unionists in blasting ND's positions as a serious attack on established worker rights; ND responded with its own counter-offensive, accusing the government of attempting to distort the party's positions.

ND leader Costas Karamanlis stressed that his proposals did not include any increase in the age of retirement or increase in contributions by employees, saying that his program provided for convergence with the European Union average over the next eight years and thus a significant improvement for all pensions.

He also accused PASOK governments of ''looting'' social insurance funds and stressed that ND's program would force the government to pay its share of the tripartite funding of pensions.

Responding, Protopapas said the economic platform unveiled by the main opposition ''at last reveals ND's secret program'', which he described as ''harsh and particularly unfavorable'' for the income security of the workforce.

The spokesman said ND was now trying to ''cover up'' the true implications of its proposals, which for the social insurance system would mean an increase in the age of retirement by seven years, reduction in auxiliary pensions by up to 70 per cent, reduction of minimum pensions by half and reduction of pensions for those insured after 1982.

Chrysohoidis, on his part, was also scathing in his criticism of ND's economic program.

According to the PASOK party secretary, ND was not even a neoliberal party but a party of the hard right that was attempting to curb established rights in the crucial area of social insurance.

The issue also dominated discussions during the presentation of the annual report on competitiveness at the development ministry on Wednesday, attended by Prime Minister Costas Simitis, trade unionists, representatives of industry and government ministers.

General Confederation of Workers of Greece (GSEE) president Christos Polyzogopoulos, head of Greece's largest umbrella trade union organization but also a member of PASOK's Central Committee, slammed the main opposition's proposals - particular ideas for a return to the 'Sioufas' bill for social insurance.

''The workforce will not stand for choices made over 10 years ago, there is no going back,'' he stressed, noting that the Sioufas law reduced main pensions by 30 per cent, auxiliary pensions by 70 per cent and increased age of retirement by up to seven years.

The head of the Union of Greek Industry (SEB) Odysseas Kyriakopoulos, however, questioned Polyzogopoulos' reaction and pointed out that social insurance reform was a major issue that society would still have to face in the years to come.

''It is a visible problem that concerns our children and we must take measures as soon as possible so that the repercussions will be as limited as possible,'' he said.

Indirect comments were also made by Simitis during the presentation, who noted that government policy has succeeded in improving standards of living in the past eight years and stressed that social cohesion remained a cornerstone of government policy.

''Competitiveness does not arise by driving the workforce into poverty, as some claim,'' he said.

In comments as he emerged from his offices, meanwhile, Simitis had slammed ND's program as 'slapdash' and accused the party of seeking to create a new source of social conflict by reducing pensions and increasing the time of work in order to get one.

The criticism engendered an incensed reaction from the architect of ND's economic program, Political Planning secretary George Souflias, who called a last-minute press conference in response.

''I am saddened and enraged by PASOK's desperate attempts to distort our program, which is clear and calls for the retention of all that has changed in recent laws on social insurance reform within the Souflias and Sioufas bills of 1990-93,'' he stressed.

He pledged that ND would not raise ages for retirement and restore tripartite funding of social insurance abolished by PASOK governments.

FM Papandreou criticizes ND proposals on social insurance sector: Foreign minister George Papandreou on Wednesday warned of the ''dangers'' threatening the social insurance of working people in the event that main opposition New Democracy's social insurance program was implemented.

Speaking to reporters after a meeting chaired by prime minister Costas Simitis, which was also attended by ruling PASOK party secretary Michalis Chrysohoidis, Papandreou said that the PASOK program ''looks to the future, tackles the problems with certainty, and creates conditions of security for the insured''.

He said that the ND program on the sector, which was contained in the ND economic platform unveiled on Tuesday, ''looks backwards and creates conditions for social clashes and uncertainty''.

Papandreou called on all those positively inclined towards the ruling party to participate in PASOK's new beginning that places the citizen in the position of co-deciding, and stressed his faith in participatory democracy and the creation of conditions for decentralization of authority in favor of the citizen, adding that more changes would follow.

Papandreou, who is slated to take over the PASOK leadership, further called for an immediate reopening of negotiations for a Cyprus solution that was also founded on the ''acquis communautaire''.

Unions question ND economic platform's provisions: Union members and experts on Wednesday reacted strongly to the provisions of an economic platform announced by main opposition New Democracy party the previous day.

George Koutroumanis (president of the federation of workers in social security funds) and George Romanias (a consultant with Greece's largest trade unions GSEE, ADEDY) stressed that adopting the measures on social security reform included in the party's platform could have significant consequences to Greek workers.

Both men rejected plans to raise the pension age ceiling in the country, to cut supplementary pension payment schemes and pensions, both in the public and the private sector.

They also questioned the platform's provisions over ways to funding pension funds and plans for a more efficient management of funds' real estate assets.

[03] FM Papandreou confers by phone with Cyprus president Papadopoulos

Athens, 05/02/2004 (ANA)

According to diplomatic sources, the two men assesses the la-test developments following Papandreou's telephone contact with UN secretary general Kofi Annan, the UN chief's meeting Tues-day with US president George Bush, and the meeting on the Cyprus issue, at the UN, chaired by Alvaro de Soto.

Papandreou and Papadopoulos reaffirmed the Greek and Greek Cypriot sides' preparedness for immediate opening of discussions based on the Annan plan.

[04] US expects both sides in Cyprus to accept preconditions set by UN chief

WASHINGTON 05/02/2004 (ANA/T. Ellis)

''We saw the public announcements made by the Turkish government during the discussions we had in Washington. I really don't know whether until now the secretary general has heard replies from the other sides as well,'' Boucher said.

He added that it is up to Annan to evaluate the facts and to decide ''to what degree he has received from the sides what he needs.''

Boucher said only Annan is in a position to judge who is accepting his terms and to interpret the position of the parties involved.

Called on to comment on the term ''formula'', used on the previous day by the White House spokesman as well to describe the Annan plan, Boucher assessed that it is moving along the same steady line which has been adopted by the US all this time.

''He said what I am saying. That we welcome the fact that the sides are committed to working on the basis of the proposals and preconditions set by the secretary general. We welcome the fact that Turkey is committed to this and we look forward to all sides doing this,'' he added.

Boucher reiterated that the US ''supports the efforts of the secretary general and expect all sides to make explicit statements with which they accept his proposals as a basis and a formula for an agreement to be achieved.''

The State Department spokesman concluded by saying Annan urged Cyprus President Tassos Papadopoulos to accept his terms and proposals, believing that this is the best way for a solution to be achieved.

[05] Greek-Turkish exploratory contacts to take place in London on Thursday

Athens, 05/02/2004 (ANA)

A relevant announcement was made by foreign ministry spokesman Panos Beglitis.

[06] Parliament approves bill on election of MPs

Athens, 05/02/2004 (ANA)

Several ruling PASOK deputies were absent from the vote, while the two deputies with the now defunct Liberals (Fileleftheros) party (Manos, Psaharopoulos) voted in favor.

PASOK's Theodoros Katsanevas as well as the independents Kyriakos Spyriounis and Vassilis Kedikoglu voted against.

Former minister Yiannis Anthopoulos, who was recently excluded from ruling PASOK in the aftermath of the Pachtas affair, voted in favor.

[07] Probe begins on forged signature claim in "Pahtas amendment"

Athens, 05/02/2004 (ANA)

Prosecutor Dimitris Papaggelopoulos ordered a preliminary probe after a sue filed by PASOK deputy George Kirkos who claimed that he had not signed the controversial amendment.

The deputy said he did not know who signed for him in the amendment and asked the prosecutor to investigate the case.

PASOK deputy Yiannis Anthopoulos has accepted responsibility for signing the amendment using his colleagues' signatures.

[08] Probe launched into fate of missing ministry cheque for 1.5 million

Athens, 05/02/2004 (ANA)

According to the reports, the cheque was written out by the finance ministry with the approval of the foreign ministry and destined for the Orthodox Community in Melbourne, Australia.

So far, however, the cheque has not been received by its beneficiaries nor is it at the disposal of the senders, the papers said.

The case has been assigned to public prosecutor Dimitris Zaharopoulos, who has been instructed to discover whether any acts liable for prosecution have taken place.

[09] PASOK secretary on election of new party president

Athens, 05/02/2004 (ANA)

Speaking after a meeting to discuss preparations for the week-end party congress and vote, Chrysohoidis stressed that PASOK was opening its doors to the people through this process and seeking to overturn established attitudes and ways of thinking.

He said the new procedure to elect a president with a broad grass roots support base, never before attempted within the party, was a guarantee for the changes in the new era.

According to Fofi Gennimata, who took part in the meeting, the party was changing its organization and creating a new relation-ship between the party and the public.

The sole candidate standing for the election as PASOK's leader is current foreign minister George Papandreou.

Gennimata said the election will begin at 8:00 on Sunday and end at 19:00 in the evening of the same day, while it would be open to all members, friends and supporters of PASOK above 16.

She said ballot boxes would be set up mainly in public or municipal buildings made available by municipalities or prefectures.

[10] Evert on ND's state election ticket, no cooperation with Andrianopoulos

Athens, 05/02/2004 (ANA)

According to reports, Evert will head the state election ticket, while the participation of George Souflias and party spokesman Theodoros Roussopoulos should also be considered certain.

In another development, former ND minister Andreas Andrianopoulos announced in the evening that there is no ground for cooperation with ND, saying that ''I shall continue to remain an ordinary citizen of an open society.''

[11] Communist party leader says sports must serve people and not capital

Athens, 05/02/2004 (ANA)

Papariga called for backing for her party during the election to enable the promotion of such a policy which working classes are in need of, adding that in this way the party will be able to struggle from better positions to promote popular rallying that is necessary in the struggle against big capital in the sports sector as well.

She further said that, in light of the 2004 Olympic Games as well, the backing of the sports industry is provocative, as it has nothing to do with the needs of the people and of youth for physical training and sports.

Papariga stressed that the issue is not an economic one alone. It also concerns political aims to disorientate and de-politicize the people and young people.

[12] Coalition party leader presents party's positions on local administration

Athens, 05/02/2004 (ANA)

He said the ''bureaucratic and distant state, the collective state which is not reliable, is the state of bipartisan politics and a tool in the hands of every one-party government majority''.

Constantopoulos said ''behind the words for change, both parties desire to conceal reality and their responsibilities, meaning the reality they have created and which today they are condemning''.

He said that what is necessary for the state to change is regional decentralization with elected local government, the redistribution of powers by the state to local administration, the transfer of funds and the establishment of proportional representation in local administration as well.

[13] Greek Army General Staff chief Antonakopoulos meets Bulgarian counterpart

SOFIA 05/02/2004 (ANA/B.Borisov)

Antonakopoulos, currently on a three-day visit to Bulgaria, assured of Greece' support for Bulgaria's entry to NATO.

The enlargement of NATO's southeastern flank with the accession of Bulgaria and Romania will act positively in the procedure for stabilizing the western Balkans, Kolev said.

Referring to the Athens 2004 Olympic Games, Kolev said in a joint press conference that ''in cooperation with the agencies and services of the interior ministry, we will contribute to safe-guarding the common borders to prevent any possible infiltration by undesirable elements into Greece through Bulgaria.''

[14] Trade balance deficit increases 29.8 pc from January to September 2003

Athens, 05/02/2004 (ANA)

The total value of imports and the arrivals of goods over the same nine-month period increased by 21 percent compared to the corresponding period in 2002, while if petroleum product imports are excluded the increase is limited to 19.1 percent.

The total value of exports and dispatches increased by 6.2 percent, but excluding petroleum products the increase in exports amounts to 8.6 percent.

[15] Athens Int'l Airport: 3.6 pct increase in passengers in 2003

Athens, 05/02/2004 (ANA)

Despite the unfavorable industry climate at the beginning of the year due to the international recession, the war in Iraq, and the unexpected SARS effects in late spring, "Eleftherios Venizelos" airport achieved an impressive recovery in passenger traffic during the last quarter of 2003, with 2.8 million passengers, i.e. a 9% increase against the corresponding 2002 period.

In 2003, domestic traffic enjoyed a remarkable improvement with 4.4 million passengers, i.e. a 5.4% increase against 2002.

International traffic also experienced a rise, with 7.9 million passengers (+2.6%), despite the considerable downturn experienced by American and Far East markets, due to the international crisis. On the contrary, the increased traffic towards EU countries (+5.4%) and the non-EU European countries (+2.3%) led to the overall positive international traffic development of Athens Airport.

The dynamic recovery of the global aviation industry during the last quarter of 2003, and the forthcoming Olympic Games effect on Athens traffic, were the key factors that contributed to the 2003 traffic figures upraise, whereas AIA's strategy for attracting new airlines and introducing new destinations � consistently followed since 2001 - also played a decisive role. In 2003, seven (7) new airlines launched services out of Athens (three of which are low cost carriers), while nine (9) new international destinations were added to AIA's network, with an average of 100 additional flights per week.

The above very positive passenger traffic development, along with the important international distinctions achieved by Athens's "Eleftherios Venizelos" airport in 2003, marked the closing of another successful period and reflects the efficient cooperation of the Athens airport community, which brings together more than 250 enterprises and organizations and gives employment to more than 14,000 people.

More specifically, in 2003, the 'Eleftherios Venizelos' airport was awarded the following international distinctions: - IATA Global Airport Monitor: Best airport in the World for the level of services. - IATA Eagle Award for the support towards airlines.

Institute of Transport Management (ITM) Award for the innovative business scheme and the airport's success to date.

[16] Transport minister presents new train types

Athens, 05/02/2004 (ANA)

One type was the Railbus, a modern type with ventilation being built at the Greek Shipyards to be used mainly for the suburban railway.

Also presented were Bombardier and Desiro types, as well as regular-route wagons which are ultramodern and are equipped with ventilation, restaurants and canteens.

Verelis said OSE is being modernized, together with infrastructure which is being improved all over the country, adding that the new equipment will be put into use soon.

[17] Blue chips support ASE as small caps plunge

Athens, 05/02/2004 (ANA)

Traders said the Greek bourse has entered the traditional wait-and-see period and would react according to the trend of corporate results.

The announcement of increased results by OPAP (the state lottery company) helped its share jump 6.51 percent and sup-ported the blue chip sector, while small cap stocks came under heavy selling.

The general index ended 0.10 percent higher at 2,418.87 points, with turnover a moderate 147.3 million euros.

The Publication and Base Metal sectors scored gains (2.89 percent and 0.41 percent, respectively), while the Construction, IT Solution and Food-Beverage sectors suffered the heaviest percentage losses of the day (1.95 percent, 1.42 percent and 1.32 percent, respectively).

The FTSE/ASE 20 index for blue chip and heavy traded stocks rose 0.10 percent, the FTSE/ASE MID 40 index ended 0.82 percent lower and the FTSE/ASE SmallCap 80 index dropped 1.17 percent.

Broadly, decliners led advancers by 207 to 86 with another 63 issues unchanged

FOREIGN EXCHANGE

Closing rates of February 4 2004

Parities in euro

For. Exchange Buying Selling

US Dollar 1,262 1,233

[18] Delays on vital Olympics-related Marathon Blvd. reported

Athens, 05/02/2004 (ANA)

According to speculation in the Greek capital this week, the main contractor for the project (which includes new pavement, widening the roadway in certain sections, new sidewalks, anti-flooding works etc.) is reportedly facing financial problems. Beyond just speculation, the same contractor is behind schedule, both government and ATHOC sources stressed.

In fact, a work stoppage on Tuesday by construction workers at a worksite in the area briefly interrupted traffic on Marathon Boulevard.

One solution reportedly being considered is to annul the current contract and to issue an immediate tender amongst contractors already working on Olympics-related road projects. An open tender option would put a new contractor at the worksite after the Olympics in August, sources said.

Besides serving as the all-important Marathon route, Marathon boulevard is the main roadway connecting north and northwest Athens with the Olympic Rowing Center at Schinias (NW Attica prefecture, near the township of Marathon) as well as other related facilities, such as a �media village� at the coastal Aghios Andreas site.

[19] Cheap and small houses in downtown Athens preferred by Olympic Games visitors

Athens, 05/02/2004 (ANA)

This fact has obliged the Greek Tourist Agency (EOT) to ultimately meet the demand by joint venture ''Filoxenia 04'' and to include in the Olympic private houses renting program houses built before 1981 as well, which had been ''blocked'' by initial specifications given by EOT to the program's con-tractors.

Applications by interested landlords currently amount to about 27,000, while at the same time about 600 contracts have been signed with real estate owners.

[20] Greek ambassador in US gives lecture on 'Greece: Olympic Games and Politics'

WASHINGTON 05/02/2004 (ANA/T. Ellis)

The event, held at the organization�s base in Connecticut, was attended by about 100 scientific and professional members of universities and companies.

Savvaides referred in detail to the course of Olympic Games preparations, placing emphasis on organization, infrastructures, security and international cooperation.

[21] Concert held in Brussels within framework of 'Cultural Olympiad'

BRUSSELS 05/02/2004 (ANA/A. Simatos)

The concert was held at the residence of Greek ambassador to Belgium Ioannis Korantis.

A reception was also held after the concert at which a 15-minute film on the Cultural Olympiad was screened.

Present at the concert were about 150 people, including members of the Belgian Olympic Committee, parliamentarians and Greek expatriates.

[22] Annan to announce date for talks in the next day or so

UNITED NATIONS 05/02/2004 (CNA/ANA)

Annan also said he has not yet heard from Turkish Cypriot leader Rauf Denktash but that he intends to get in touch with him.

In statements Annan referred to his series of consultations while he was in Europe ''with the Prime Minister of Turkey and with the President of the Greek Cypriot Republic. I also spoke to the Greek Prime Minister and Foreign Minister. And they have all indicated their willingness to resume talks and maintain the effort until we come to conclusion. We don't have much time. If we are going to meet the 1st of May deadline we should move fairly quickly. I intend to invite the parties very shortly and I think in the next day or so a date will be set.''

Asked if had heard from Denktash, he said he has not heard directly from him yet, but only from the Turkish prime minister, noting that he intends to ''get in touch with him.''

Earlier, a UN official said about last night that negotiations for a Cyprus settlement will take place on the basis of the UN Secretary-General's plan and under the conditions set out in paragraph 148 of his report issued last year.

The meeting took place with the participation of US State Department Coordinator for Cyprus, Thomas Weston, Head of the Mediterranean Desk at the British Foreign Office, Dominick Chilcott, UN Special Advisor on Cyprus Alvaro de Soto and his assistant Robert Dunn, and other members of his team.

The UN official said they exchanged notes like they do many times, noting that the UN Secretary-General will decide shortly and will send the invitations for the resumption of the talks.

The official said it is clear that the talks will be conducted on the basis of Annan's plan and according to the preconditions set out in paragraph 148 of his report issued last year.

Reports said the negotiation process will start before 15 February.

[23] President Papadopoulos asks Annan again to convene talks

NICOSIA 05/02/2004 (CNA/ANA)

Asked here Wednesday whether the conditions set out by Kofi Annan to resume the negotiations have changed, Papadopoulos said from what he is aware of, ''he (Annan) still insists on his terms'' adding that according to what Annan had told him in Brussels last week he has not yet taken a final decision whether to convene talks.

''I made an appeal. I talked with him last night and reiterated my appeal for him to convene talks and that during the course of the negotiations it will be clear whether it would be possible to set a date for referenda or make other arrangements to solve the pending issues,'' the president concluded.

[24] Germany wishes for real progress on Cyprus issue until May

NICOSIA 05/02/2004 (CNA/ANA)

Thierse, on the island at the invitation of his Cypriot counterpart Demetris Christofias, said that he was happy to hear from Christofias that the Greek Cypriot side is ready to proceed to negotiations as soon as possible and on the basis of the Anan plan, and added that Germany would like to see the same approach from all sides concerned.

Speaking after a long meeting here with Christofias, the German official noted that real peace could only be achieved through long negotiations, which would not be concluded easily in some month's time.

On his part, Christofias reassured his German counterpart that Greek Cypriot side is ready to proceed to negotiations and do the ''necessary political and economical sacrifices'' so that the island is reunited.

Christofias said that the meeting took place in a very friendly atmosphere and that his German counterpart showed great interest about the history and the developments of the Cyprus issue.

''We wish that negotiations are soon to resume after an invitation by UN Secretary General Kofi Anan, within the framework of the UN,'' Christofias said.

He added that during the meeting he reassured Thierse that the Greek Cypriot side is ready for solution on the basis of the Anan plan, and it will work hard and constructive to achieve the reunification of Cyprus before May 1st 2004.

''We are ready to do the necessary political and economical sacrifices so that the reunited Cyprus could eventually reach the same economic and social level in all its territory and create those circumstances for Greek Cypriots and Turkish Cypriots to live in prosperity,'' Christofias said.

He also thanked Thierse for Germany's ''understanding for the problems that Cyprus is facing.''

On his part, the German official expressed his country's support towards the UN peace procedure and the Anan peace plan.

''Germany and the Europeans are much interested to see real and clear progress on the Cyprus issue, until May 1st, because it is not for our best interest to have Cyprus being a member of the EU, with a conflict that remains long unsolved,'' Thierse stressed. He noted though his country's realistic approach to the matter, saying that a peace process needs long negotiations and peace could not be achieved within some months.

Referring to the relations between both countries, Thierse ex-pressed conviction that Germany and Cyprus will be good EU partners and reassured that his country would support Cyprus ''on its way to the EU, as well as within the Union.''

Referring to Germany's experiences during the reunification process, Thierse said that this process still continues and advised the Turkish Cypriots to show patience and the Greek Cypriots to show great deal of solidarity.

Answering a question, Thierse said that the US interest this period, regarding the Cyprus issue, ''is a good thing.''

''When the strongest country in the world firmly supports this difficult procedure, this could only serve the efforts for success,'' he said.

Cyprus is divided since 1974, when Turkish troops invaded and occupied one third of the island's territory.

The Republic of Cyprus will become a full member of the European Union on May 1, 2004.

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