Cyprus News Agency: News in English (PM), 97-06-10

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From: The Cyprus News Agency at <http://www.cyna.org.cy>

CONTENTS

[01] Cyprus Stock Exchange

[02] Turkish Cypriot demands an affront, says Spokesman

[03] Spokesman on Holbrooke

[04] Kasoulides stresses need for solution

[05] UN chief urges Cyprus sides to accept package

[06] British envoy calls for compromise, withdrawal of Turkish troops

1600:CYPPRESS:01

[01] Cyprus Stock Exchange

CSE All Share Index                    75.92 (+0.81)

Highest: 82.46 (2/1/97)
Lowest : 73.90 (30/1/97)

Sectural Indices

Banks                                  84.53 (+0.91)
Approved Investment Companies          65.53 (+1.03)
Insurance Companies                    58.54 (+0.41)
Industrial Companies                   80.88 (+1.18)
Tourist Industries                     61.90 (+0.16)
Commercial Companies                   51.40 (+1.36)
Other Companies                        54.90 (-0.85)

Trading Volume                         CYP 812762.600

CNA MA/1997

ENDS, CYPRUS NEWS AGENCY

1610:CYPPRESS:02

[02] Turkish Cypriot demands an affront, says Spokesman

On Monday, Turkish Cypriot leader Rauf Denktash cancelled a meeting with British representative for Cyprus, Sir David Hannay, because the latter would not meet his demand to see the self-styled house president of the Turkish Cypriot regime, in occupied Cyprus, a request British diplomats described as "unjustified."

"Denktash's demands have been on the increase and are provocative and an affront to the world community," Christofides said, noting that Denktash intentionally confuses two different notions.

On the one hand, the leaders of the Greek and Turkish Cypriot communities (President Glafcos Clerides and Denktash) will negotiate, under the UN umbrella, an overall solution for Cyprus, he said.

"On the other hand, the internationally recognised Republic of Cyprus has one government, recognised by the UN and the international community as the only legal government in Cyprus, led by President Clerides," the Spokesman said.

The world community, he added, through UN resolution 550 (1984) calls on "all states not to recognise the purported state of the "Turkish Republic of Northern Cyprus" set up by secessionist acts and calls upon them not to facilitate or in any way assist the aforesaid secessionist entity."

"Denktash's demands are underhand and should not be made because they prove a disposition or intent to raise obstacles in the good atmosphere that must prevail at this time in efforts to find a solution in Cyprus," Christofides said.

He applauded Sir David's stance to turn down Denktash's demand.

"Denktash's demands for recognition of the illegal entity should not be made ahead of the UN talks," Christofides added.

Such demands, he pointed out, contravene all UN Security Council resolutions.

Sir David is on the island for talks with both sides in a bid to push forward the UN peace effort in anticipation of next month's negotiations.

CNA MM/MA/1997

ENDS, CYPRUS NEWS AGENCY

1710:CYPPRESS:03

[03] Spokesman on Holbrooke

The government also considers Holbrooke's view that the division of Cyprus may last for ever is untenable.

"Holbrooke's statement that it is possible that Cyprus would go on like this for ever reiterates in a more dramatic manner what Annan said in a letter to President Glafcos Clerides underlining the serious danger which the prolonged instability in Cyprus creates," Government Spokesman Manolis Christofides said here today.

On Monday Holbrooke told the BBC World Service that the situation in Cyprus may "explode one of these days in a gigantic tragedy" and said expectations should not be raised ahead of next month's talks between the President and Turkish Cypriot leader Rauf Denktash.

"The government shares the view that peace and stability in our geographical region must be safeguarded and secured along with the urgent need for a settlement in Cyprus. This is why we do not welcome statements that the resolution of the Cyprus question through the renewed efforts and new procedures can take years," Christofides said.

He noted that many have offered to help the peace effort "not only for our sake but also in a bid to serve their own interests, as they do have vital interests in this area."

Christofides said the main point Holbrooke stressed in his BBC interview was that the situation in Cyprus cannot stay as it is and reiterated the US view that it is "unnatural."

The Spokesman said the government is pleased with the assurances that various countries will press for a Cyprus solution in a decisive manner.

CNA MM/MA/1997

ENDS, CYPRUS NEWS AGENCY

1830:CYPPRESS:04

[04] Kasoulides stresses need for solution

The Minister also acknowledged that the Greek Cypriot side will be under pressure in next month's UN sponsored talks but noted that "our stand is based on the principles of international law and order."

Speaking on departure for a three-day official visit to Japan, Kasoulides said the complacency which prevailed over the years and the indifference towards the need for a settlement must be dealt with "because the Cyprus question is a factor of instability in the Eastern Mediterranean."

"What we have been saying for a long time (that Cyprus is a dormant volcano likely to erupt) has now been accepted, as I gather from statements made by US Presidential Emissary Richard Holbrooke," Kasoulides said.

This, he added, "reassures us that the international community will be interested more actively than in the past in the need for a settlement."

Holbrooke told the BBC World Service on Monday the situation in Cyprus could "explode one of these days in a gigantic tragedy which will embrace other countries in the region".

Kasoulides said Holbrooke's assertion is that a pending Cyprus problem could create disruption and conflict in a region where peace and stability are the main objectives.

Referring to the forthcoming UN-sponsored negotiations, Kasoulides said "the more we base our positions on international law and human rights principles the more difficult it would be for others to exert pressure on us to accept notions that are, for us, unacceptable."

From Japan, the Minister will fly to Moscow for an official visit and contacts with Russian officials.

CNA MM/MA/1997

ENDS, CYPRUS NEWS AGENCY

2010:CYPPRESS:05

[05] UN chief urges Cyprus sides to accept package

In his report to the Security Council on the UN operation in Cyprus, Annan urges both leaders to facilitate contacts between Greek and Turkish Cypriots.

He also recommends the extension of UNFICYP's mandate for another six months.

The UN chief notes that the situation in Cyprus "has been much calmer during the last six months", but says "there were numerous indications of continuing tension between the two sides".

He expresses regret because "there has been no change in the excessive levels of military forces and armaments in Cyprus... nor have the military authorities accepted the package of reciprocal measures proposed by UNFICYP to reduce tension along the ceasefire lines".

Noting these are "practical measures" that do not affect the status of the ceasefire lines or impair the security of either side, Annan "strongly urges both sides to reconsider their positions and cooperate with UNFICYP to reach an agreement".

He says an agreement on these proposals, providing for the extension of an unmanning agreement, definition of a code of conduct and the removal of loaded weapons, "would significantly improve the atmosphere and reduce the potential for violence".

In his seven-page report, Annan also refers to UNFICYP efforts to improve the overall atmosphere in Cyprus through bicommunal activities.

The UN chief notes it would be desirable if such contacts could take place "without formality on a regular basis" and adds that "from time to time, those who promote or participate in bicommunal events encounter pressure and even threats within their own community".

"I urge the two leaders to send clear measures of tolerance and reconciliation to their publics and to facilitate and encourage direct contacts between the two communities," he says.

Recommending that the Security Council extends the Force's mandate for another six months, Annan expresses the belief its presence "remains indispensable in order to maintain the ceasefire between the two sides, which is a prerequisite for achieving" a settlement to the Cyprus problem.

The Secretary-General also refers to consultations held in Nicosia by his representatives to prepare the ground for direct talks between President Glafcos Clerides and Turkish Cypriot leader Rauf Denktash, on which he will inform the Security Council at a later stage.

The negotiations are expected to take place early in July, at a place near New York.

UNFICYP, the longest UN peace operation, was established in 1964 following intercommunal clashes.

The 1.200-men Force patrols the 180-kilometre buffer zone across this Eastern Mediterranean island, which has been divided since the 1974 Turkish invasion, and provides humanitarian assistance.

CNA MM/MA/GP/1997

ENDS, CYPRUS NEWS AGENCY

2030:CYPPRESS:06

[06] British envoy calls for compromise, withdrawal of Turkish troops

He said "there is greater common ground between the positions of the two sides than anyone is willing to admit" and underlined that a Cyprus settlement should not envisage the maintenance of 30,000 Turkish troops, currently occupying the island's northern areas.

Sir David said Turkish Cypriot leader, Rauf Denktash, may have lost "something" after he cancelled his meeting with the British envoy on Monday, but avoided to make any further comment.

Hannay is seeing Denktash informally tonight and expects to "cover a lot of ground and have lengthy discussions with him".

He has already had two meetings with President Glafcos Clerides, a working breakfast on Monday and lengthy private talks today.

Speaking at a press conference here today, towards the end of his three- day visit, Sir David called on President Glafcos Clerides and Denktash to "approach the negotiations with realism and a spirit of give and take."

In his view the "amount of common ground and convergence is greater than is generally recognised or admitted", but acknowledged there are "very substantive differences on the nature of the federation, geographical division and the issue of refugees, compensation and security."

Talks, he pointed out, "will be lengthy as things have to be negotiated, written down and agreed".

Replying to questions, Sir David said he did not believe "that any settlement will be reached which involves the maintenance of 30,000 Turkish troops on this island" as this is not "a conceivable possibility."

Either the security arrangements will be different from the present ones, or there will be no settlement, he explained.

The British envoy refused to identify the areas in which "give and take" can take place, but pointed out "this is going to be a genuine negotiation in which neither side can come out with its opening positions intact."

"There will have to be some compromises," he stressed.

Invited to say whether there is political will on the part of the Turkish Cypriot side to negotiate, Sir David noted that in general there is "a lack of willingness to look at the advantages and benefits of a settlement to the whole of Cyprus."

"If there could be a settlement, there would be a federated Cyprus which would be a member of the European Union, whose people would be less troubled, more prosperous and less under threat than they are now," he added.

Sir David welcomed the appointment of Richard Holbrooke as US presidential emissary for Cyprus.

Commenting on the political instability in Turkey, Sir David said one should not wait for "the optimum moment" in terms of internal politics in Turkey, as many opportunities will be missed to push the peace process forward.

Tomorrow Sir David will be in Athens for talks with the Greek government and later this week he will go to Ankara to meet government officials and possibly the military.

CNA MM/MA/1997

ENDS, CYPRUS NEWS AGENCY

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