Cyprus News Agency: News in English (PM), 98-04-16

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

CONTENTS

[01] Cyprus Stock Exchange

[02] EU Commissioner's position facilitates Cyprus efforts

[03] Denktash remains intransigent, Spokesman says

[04] Israeli aircraft fly near Cypriot shores

[05] Cypriot deputies lose immunity in British Bases

[06] Russia pushes for Cyprus discussion in Security Council

[07] Austrian FM hopes peace talks will resume

[08] Austria supports a federal Cyprus, Schussel says

[09] Austrian FM meets UN heads

1400:CYPPRESS:01

[01] Cyprus Stock Exchange

CSE All Share Index                    93,24 (-0,11)

Sectural Indices

Banks                                 107,05 (-0,59)
Approved Investment Companies          67,66 (-0,92)
Insurance Companies                    69,46 ( 1,70)
Industrial Companies                   85,10 ( 0,89)
Tourist Industries                     76,36 ( 0,22)
Commercial Companies                   57,87 ( 0,75)
Other Companies                        79,19 ( 0,20)

Trading Volume                        1.897.711

CNA AP/1998

ENDS, CYPRUS NEWS AGENCY

1500:CYPPRESS:02

[02] EU Commissioner's position facilitates Cyprus efforts

Government Spokesman, Christos Stylianides, today said "we assess the statements made by Hans Van den Broek as helpful in breaking the deadlock and resuming the bicommunal talks."

Speaking in Washington after meeting US Secretary of State Madeleine Albright, the EU Commissioner said he asked the US "to make clear to our partners in Turkey what the offers exactly are that came out from the Luxembourg summit."

He pointed out the Luxembourg conclusions are "really promising if one is prepared to look at them in a positive way" and said they give Ankara "pretty much room to capitalise on."

Van den Broek expressed hope that "the American side is prepared to encourage Turkey to go in that direction."

In the Luxembourg summit, in December, the EU said relations with Turkey would improve if Ankara backed efforts to settle the Cyprus problem, worked towards its relations with Greece, improved the human rights situation and helped solve the Kurdish problem.

The Government Spokesman said the Commissioner's statements prove that EU officials realise that Cyprus' European course has begun and is being developed in the best possible way.

Cyprus is included in the first wave of countries with which the EU opened entry negotiations on March 31.

After the Luxembourg summit reconfirmed that accession talks with Cyprus would open, the Turkish Cypriot side announced it would no longer participate in peace negotiations unless the illegal regime in the Turkish- occupied areas is recognised.

The illegal regime, unilaterally declared in 1983, is recognised only by Turkey. Numerous UN resolutions call on all states not to recognise or facilitate the secessionist entity.

CNA MM/MA/GP/1998

ENDS, CYPRUS NEWS AGENCY

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[03] Denktash remains intransigent, Spokesman says

However, the Cyprus government hopes the international community will manage to break the current deadlock, enabling peace talks to resume.

"There has been no indication so far that Denktash has moved from his intransigent positions," Government Spokesman Christos Stylianides said here today.

He expressed hope that "international efforts will help bring about a change in Denktash's intransigent positions, to enable a new round of negotiations to begin and a solution to be reached" to the long-standing Cyprus question.

Stylianides reiterated that the objective is to establish a bicommunal, bizonal federation, as stipulated in numerous UN resolutions on Cyprus.

After a European Union (EU) reconfirmation last December that it would open accession talks with Cyprus, Denktash announced he would not participate in peace talks unless his illegal regime is recongised.

Only Ankara recognises the illegal regime, unilaterally declared in November 1983, in the areas of Cyprus occupied by Turkey since it invaded the island in 1974.

Denktash also refused to meet with EU officials who had visited the island, despite the fact that most Turkish Cypriots favour Cyprus' accession to the Union.

CNA MM/MA/AP/1998

ENDS, CYPRUS NEWS AGENCY

1710:CYPPRESS:04

[04] Israeli aircraft fly near Cypriot shores

Reliable sources have told CNA that a squadron of four Israeli aircraft flew within Nicosia Flight Information Region (FIR) but did not enter the Republic's air space.

FIR Nicosia spans over a large area around this Eastern Mediterranean island and covers the region close to neighbouring countries.

The same sources stressed the flight "had nothing to do with Cyprus, the Paphos air base" or the proposed deployment of Russian surface-to-air missiles the government of Cyprus has purchased.

A spokesman for the Israeli embassy here told CNA no confirmation of the reports could be obtained because of the Passover feast in Israel, tomorrow.

"We could not get confirmation of the reports on the eve of the Passover," the spokesman said.

No further details were available about the incident at present.

Earlier today, Israeli Ambassador to Cyprus, Shemi Tzur told the press Israel is friendly disposed towards Cyprus and will do everything possible to help Cyprus find a final settlement.

Speaking after a courtesy call on Interior Minister Dinos Michaelides, Tzur said stability and security in Eastern Mediterranean is to the benefit of Israel and reiterated his country's wish to see a solution of the protracted Cyprus problem.

If anything specific is asked of Israel, we would be very happy to help, he underlined.

Replying to questions, Tzur said every effort will be made to avoid a repetition of last week's incident when one Israeli aircraft failed to notify FIR Nicosia of its flight path in accordance with international safety regulations.

Michaelides said cooperation between the two ministries covers a wide range of sectors and added that Israel's expertise in civil defence was part of today's discussions.

CNA MM/AP/1998

ENDS, CYPRUS NEWS AGENCY

1725:CYPPRESS:05

[05] Cypriot deputies lose immunity in British Bases

Markides was addressing the House Foreign Affairs Committee, which was discussing the possibility of taking legal action against Britain, after allegations that British soldiers exercised violence and illegally arrested a Cypriot deputy.

He said deputies' immunity has no effect in the two British military bases, Britain has retained since it granted Cyprus its independence in 1960.

The Attorney General criticised people who wish to stir trouble with the Bases without having either the power or the political right to do so and without taking into account the repercussions of their actions.

On his part, a Foreign Ministry representative said the government will wait to see the ruling of the Attorney-General on the matter and act accordingly.

The issue of legal action against Britain was raised last week by socialist deputy Demetris Eliades after deputy Marios Matsakis was arrested.

Eliades described Matsakis' detention unconstitutional.

Matsakis is an outspoken critic of the British presence on the island.

On April 3 he was charged with criminal trespass and causing breach of the peace when he tried to enter a court area to attend the trial of another Greek-Cypriot.

CNA GG/MM/1998

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1735:CYPPRESS:06

[06] Russia pushes for Cyprus discussion in Security Council

Russian ambassador to Cyprus, Georgi Mouradov, today called on President Glafcos Clerides, then he had a meeting with House President Spyros Kyprianou and later met Secretary-General of left-wing AKEL party, Demetris Christofias.

Referring to the Russian proposals, Mouradov said "they aim at promoting a substantial discussion (of the Cyprus problem) in the Security Council, that could conclude with a statement by its President."

The Russian ambassador refrained from revealing details, but described on-going discussion on the issue as "positive". He noted, however, that no one can guarantee its outcome.

He reiterated his country backs a Cyprus settlement based on UN resolutions and the two high level agreements reached between the two communities, in 1977 and 1979, stipulating for a bizonal, bicommunal federation.

"Russia's position is that all efforts must be made under the aegis of the Security Council and between its permanent members," Mouradov added.

He pointed out that the Security Council must reconfirm that the negotiations for a settlement in Cyprus should take place between the Greek and Turkish Cypriot communities.

Mouradov said the Security Council must also reinforce the good offices mission of the Secretary-General and his special advisor for Cyprus, Diego Cordovez.

Turkish Cypriot leader Rauf Denktash has said he will not participate in peace negotiations, unless his illegal regime in the Turkish-occupied areas of Cyprus is recognised.

So far peace talks to settle the long-standing Cyprus problem have been taking place between the two leaders of the island's communities, in compliance with UN resolutions.

Mouradov also supported Cyprus' right to its defences and said he sees no possibility of a war breaking out because of the Cyprus government's decision to deploy the Russian-made S-300 surface-to-air missile system later this year.

Replying to questions, he described tension created around this issue as "fake".

"We do not see the possibility of a war because of the S-300s," he said, commenting on statements along these lines made by US State Department spokesman, James Rubin.

The Russian ambassador said Rubin's statements "offend our bilateral relations with the Cyprus Republic, concerning the deployment of this purely defensive system, which is necessary for Cyprus' defence."

"I cannot understand why they want to deny the weaker part, which is the Cyprus Republic, the right to bolster its defences under today's circumstances," he added.

Mouradov pointed out that Turkish occupation troops in the occupied part of the island approximately number three times more than those of the Cyprus National Guard.

Government Spokesman, Christos Stylianides, today welcomed Russian involvement in efforts to break the deadlock in the Cyprus problem.

"The government encourages Russian involvement so that the Cyprus problem remains within the UN framework and the impasse is overcome," he said.

He added that the government is in "constant contact" with Russian officials and described cooperation on efforts to settle the Cyprus problem as "very constructive".

CNA MA/AP/1998

ENDS, CYPRUS NEWS AGENCY

1900:CYPPRESS:07

[07] Austrian FM hopes peace talks will resume

He also pointed out that a Cyprus settlement should be based on UN resolutions and said the Republic's European Union (EU) course could facilitate the peace effort here.

Speaking at a joint press conference with his Cypriot counterpart, Ioannis Kasoulides, after official talks at the Foreign Ministry, Schussel expressed concern with a Cyprus government decision to deploy Russian-made S-300 anti-aircraft missiles later this year.

On his part, Kasoulides reiterated the need for the S-300s and outlined the government's conditions that must be fulfilled in order not to deploy them, including Cyprus' demilitarisation.

Schussel pointed out that Cyprus-EU accession talks, which opened in Brussels on March 31, "can never substitute political talks, but I think they should ease and facilitate the political situation."

He expressed strong support to UN, US, British and other efforts to settle the protracted Cyprus question, and pointed to the need for "new formulas to bring the two communities together."

The Austrian minister said a Cyprus solution should be based on UN Security Council resolutions and added it could be possible to reach a bicommunal federal solution, with one sovereign state and civil citizenship.

"I hope that the present deadlock in the peace process could be lifted and we will do our utmost to support the possibilities of hope in the future," he reassured.

Schussel pointed to UN efforts, EU accession talks with Cyprus and EU relations with Turkey as the three factors that could facilitate a settlement.

He described initiatives for a Cyprus settlement as "helpful" and expressed hope they "will bring new momentum to the peace talks."

On the same issue, Kasoulides reiterated that "our priority is how to reunite our country and we believe strongly that the EU accession process and prospect are there to be put to the service of this effort."

Kasoulides said Austria will take up the six-month rotating EU presidency in July, "which is a very important period for Cyprus' accession talks and the efforts that are now resumed for the solution of the Cyprus problem under UN aegis."

The Austrian official welcomed President Glafcos Clerides' invitation to the Turkish Cypriot community to nominate representatives in the Cyprus official team that will carry out accession talks with the EU. He described the invitation as "very important for us."

Schussel expressed the view that "the door should be open" to Turkish Cypriots, who have turned down the invitation, for as long as the EU talks with Cyprus are taking place.

"We want to have the unified island in the EU. This is a common hope and we should do our utmost to facilitate this possibility," he added.

Asked about EU relations with Turkey, the Austrian Minister pointed out the British presidency "is working hard to create conditions so that the association council, at the end of May, could be a success."

He pointed out that all countries are potential candidates for EU membership as long as they fulfill the criteria already set out, which include respect of human rights and democracy.

Schussel said Turkey is eligible for membership and expressed hope that conditions could be created so that Turkey "could enter in a new strategy" with the EU.

Replying to a question on a government decision to deploy the S-300s, the Austrian minister said that during his talks here he reiterated "the common concern of all EU member states."

He added they believe the deployment of the S-300s could "bring new threats, new tensions to the region," but said the right of Cyprus to have a safe defence cannot be disputed.

"There is no doubt about that, but the solution is not building up the military capacity but demilitarise the whole island. This is the solution," the Austrian FM said.

His Cypriot counterpart said the people here feel "they are at the mercy of a foreign army of occupation, so they have no other alternative but to take steps to defend themselves."

Kasoulides reiterated the government's position that if demilitarisation is agreed or if "meaningful negotiations" are taking place, it would not deploy the defence missiles.

The Cypriot Foreign Minister thanked his Austrian counterpart for his country's participation in the UN peace-keeping force in Cyprus.

He noted this demonstrated Austria's interest "for our country and for the necessity to bring peace and stability in Cyprus."

Schussel, who arrived here yesterday, will leave Cyprus later Thursday.

CNA AA/MA/AP/1998

ENDS, CYPRUS NEWS AGENCY

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[08] Austria supports a federal Cyprus, Schussel says

The Austrian official, who visited this afternoon the line dividing this European capital, accompanied by Nicosia's Mayor Lellos Demetriades, described the situation as "a bad story."

"I think we should do our utmost and this is the reason of my visit. To overcome the division of the city, to overcome the division of the island," Shussel said.

"What we want and we shall work hard on, as Austria, bilaterally and as incoming presidency of the European Union, is to support a solution," he added, noting that "Cyprus deserves it."

Invited to comment on Turkish Cypriot leader Rauf Denktash's refusal to allow Turkish Cypriot participation in the Republic's team negotiating since March 31 the island's EU accession, Schussel said:

"We would welcome participation of the Turkish community. I welcomed and the British (EU) presidency announced it publicly that President Glafcos Clerides invited the Turkish community to take part."

The Austrian minister said that during his meeting with Clerides, earlier today, he had asked the President if that offer remains on the table, "and I was very satisfied to hear that President Clerides said the doors are always open."

Schussel said Cyprus-EU negotiations might last for 7 years, noting that "the most important message is that the door remains open."

He expressed hope that within the next weeks or months the two sides can find a formula for negotiations to settle the Cyprus question.

"I think the best thing is that people sit down to negotiate, to talk to each other," he said.

Regarding Denktash's refusal to participate in negotiations unless his illegal regime in the Turkish occupied areas is recognised, he said Austria stands firm on UN Security Council resolutions.

"We want an undivided island with one sovereignty, a single state, of course with two entities, with two zones, a bizonal bicommunal state," Schussel said and pointed to Austria's experience on federalism.

"You can put a lot of autonomy, a lot of flexibility in such a formula, and you need negotiations to bring substance to the talks and I hope that the talks can start," he concluded.

CNA DP/AP/MA/1998

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2055:CYPPRESS:09

[09] Austrian FM meets UN heads

He also expressed satisfaction with the humanitarian contribution of the Austrian contingent to the UN Peace-keeping Force in Cyprus (UNFICYP) that serves on the island since the very beginning of its operation here, in 1964.

The Austrian minister had a meeting this afternoon with UN resident representative Gustave Feissel and assessed the present situation in Cyprus.

Referring to the Austrian contingent, he said "I didn't know that they are serving in so many aspects and purposes for civilians to supply humanitarian aid or deliver something in economic reconstruction and of course to ease potential threats or incidents."

He said "it was interesting to listen to the assessment of the representative of the UN on the political process, but you understand this is for me and it was a confidential talk."

Asked whether there are new formulas from Holbrooke in order to bring the two sides to the negotiating table, Schussel said "what Holbrooke tries is not something new in substance. He tries to get a specific ambient to create an atmosphere where a trustful negotiation is possible."

The Austrian minister expressed satisfaction with the Cyprus government's eagerness and willingness to attend peace talks aimed at a solution of the long-standing Cyprus problem.

Asked whether at a meeting he would have later today in the Turkish- occupied areas of Cyprus, he would ask Turkish Cypriot leader Rauf Denktash to accept Clerides' proposal for participation in EU talks, Schussel said:

"This is the offer and the expectation of the EU, not only President Clerides'. We want to integrate the communities in a joint delegation," noting this will "ease the process."

He explained that when someone talks about implementation of the acquis communautaire one needs information, experts on both sides knowing exactly what is problematic, what is possible, where are stumbling blocks in the negotiations.

Asked what the EU will do in case it cannot manage to have a joint delegation in Cyprus' accession talks, the Austrian minister said a politician has two possibilities.

"You can always deal with the worst possible scenario or you can create the conditions for realistic but optimistic scenarios, this is our job, this is my job."

He said "we are not here to disappoint people, to create a spirit of pessimism or defeatism. It's our good job as good politicians to give hope, to offer something that can be done, and noted this requires hard work and patience.

After his meeting with Feissel, Schussel had a meeting with UNFICYP's Argentine Commander Major-General, Ernesto Evergisto de Vergara. He leaves later tonight.

CNA GG/AP/GP/1998

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