Athens News Agency: Daily News Bulletin in English, 97-03-13

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From: The Greek Press & Information Office, Ottawa Canada <grnewsca@sympatico.ca>

ATHENS NEWS AGENCY BULLETIN (No 1137), March 13, 1997

Greek Press & Information Office
Ottawa, Canada
E-Mail Address: grnewsca@sympatico.ca

CONTENTS

[01] Pangalos, Kranidiotis to visit Albania on Friday, PM announces

[02] Pangalos

[03] Gov't spokesman

[04] Opposition

[05] Olympic plane unable to land in Tirana

[06] Tzoumakas steps up effort for EU humanitarian aid to Albania, Bulgaria

[07] Premier defends modernization policy

[08] Simitis says Greek policy vis-a-vis Turkey pursues peace, stability

[09] .... and on FYROM, Cyprus

[10] WEU parliamentarians conference in Athens focuses on Albania

[11] Four ND leadership candidates fail to agree on two party charter issues

[12] Parliament rejects motion to lift V. Papandreou's legal immunity

[13] Austrian defense minister visits ELBO's Thessaloniki facilities

[14] Poland's parliament speaker begins Athens visit

[15] Stephanopoulos, Herzog meet

[16] Gov't says Ankara's positions still not in line with July 15 EU statement

[17] Report says Athens' environment will dramatically improve by 2004

[18] IAAF council slated for Athens in May

[19] Price reduction for new 'Euro-vignette' in Greece for 2 years approved

[20] Parents' lawsuit against secondary teachers' strike before court

[21] Banking sector to undergo sweeping changes

[22] Greek participation at New York trade exhibition

[23] Simitis to meet shipowners on Monday

[24] Mutual funds' total assets increased

[25] Helicopter repair center at Hellenikon

[26] Three new employment subsidization programs

[01] Pangalos, Kranidiotis to visit Albania on Friday, PM announces

Athens, 13/03/1997 (ANA)

"Greece will seek to avert confrontation and bloodshed, which would, besides other things, create a wave of refugees that we would not be able to deal with," he said, adding that the foreign minister will also meet with insurgents' leaders in southern Albania.

The premier denied speculation about Greek-Italian antagonism concerning the Albanian crisis, stressing that he was in contact with his Italian counterpart Romano Prodi, while Mr. Pangalos spoke with his counterpart Lamberto Dini, in order to promote the common aim of averting bloodshed in favor of a political solution.

He emphatically rejected Italian press reports about Greek involvement in the Albanian crisis.

"There are 200,000 Albanians in Greece. This does not mean that Greece fuels and directs the rebellion," he said.

[02] Pangalos

Athens, 13/03/1997 (ANA)

"The Greek government wishes that military intervention, even in the form of a peacekeeping force, does not take place in the neighboring country since this would signal a general conflict in the region," Mr. Pangalos told Parliament's external affairs committee.

Stressing that Athens has held and continues to hold open communication channels with all opposing sides in neighboring Albania, Mr. Pangalos denied accusations claiming that the government has given excessive support to Albanian President Sali Berisha .

Saying that he believed the international community and the United States will soon lift their confidence in the Albanian president, the Greek minister expressed reserved optimism for a quick solution to the Albanian problem, "because the domestic environment in Albania is unstable."

Mr. Pangalos, however, ruled out the possibility for an outbreak of civil war, stressing that Mr. Berisha had no control over the country's armed forces.

Meanwhile, an AFP dispatch from Rome reported that Italian Foreign Minister Dini yesterday had a telephone conversation with Mr. Pangalos in order for the two countries to coordinate their actions on the Albania issue.

"The conversation confirmed the complete agreement and identical points of view regarding the Albanian crisis," Mr. Dini noted, according to an Italian foreign ministry announcement. Italy and Greece are in the "front line" to attempt to solve the Albanian crisis, the announcement added.

[03] Gov't spokesman

Athens, 13/03/1997 (ANA)

"We hope that following the appointment of a prime minister the attempts to form a national unity government will bear fruit," he said, adding that armed rebels "played a role" and could not be ignored in political developments. Mr. Reppas said that there was a possibility of a representative of the Greek government - probably Foreign Under-secretary Yiannos Kranidiotis - visiting Albania soon and that his contacts would include meetings with representatives of the rebels.

Mr. Kranidiotis visited Tirana last Saturday to meet with Mr. Berisha and members of opposition parties.

Responding to charges that Athens was supporting Mr. Berisha, Mr. Reppas said that "previous (non PASOK) governments flirted with him (Berisha), as with other leaders in the Balkans who ended up turning against our country".

"The government is bolstering ties with Albania to the benefit of the Greek minority as well as security and stability in the region," he said. In another development, National Defense Minister Akis Tsohatzopoulos discussed the Albanian crisis during a meeting with his Austrian counterpart Werner Fasslabend yesterday morning.

The two ministers also focused on co-operation regarding the expansion of NATO and within the European Union.

With regard to Albania, the two ministers agreed that the instability was a problem for the broader region.

"The most important thing for Europe is for the crisis to be restricted and we must do everything we can to ensure it does not spread outside Albania," Mr. Fasslabend said.

[04] Opposition

Athens, 13/03/1997 (ANA)

"The government should as of tomorrow (today) be present in developments," Mr. Evert said, adding that the situation in Albania worsened by the hour.

Mr. Evert said that in the event a new government is formed in Albania, Mr. Pangalos should visit the country immediately.

[05] Olympic plane unable to land in Tirana

Athens, 13/03/1997 (ANA)

The Greek ambassador was to travel to Corfu to board a naval vessel that will carry humanitarian aid to the Albanian port of Sarande today. No explanation had been given by last night on the cancellation of the aircraft's landing in the Albanian capital .

[06] Tzoumakas steps up effort for EU humanitarian aid to Albania, Bulgaria

Athens, 13/03/1997 (ANA)

In a letter to EU Agriculture Commissioner Franz Fischler, Mr. Tzoumakas requested that the issue be included in the agenda of the Council of Agriculture Ministers, which is due to convene in Brussels next week.

In his letter, Mr. Tzoumakas said the two Balkan countries are in urgent need of food aid as their economies are collapsing due to a lack of administration and organization during their switch to a market economy.

He added that both countries are facing severe shortages of basic foodstuffs such as bread and milk, and that the EU has significant funds for food aid. In this year's EU budget, he said, 153 billion drachmas have been earmarked for food aid to developing countries.

The Council of Agriculture Ministers can call on the commission for the "safe provision of adequate food aid" to both countries.

[07] Premier defends modernization policy

Athens, 13/03/1997 (ANA)

In an interview with the private Mega and Antenna television stations as well as the state-run ET-1 network late last night and in reply to relevant questions, Mr. Simitis rejected characterizations concerning a "right-wing and left-wing groups" within ruling PASOK, used by several party cadres recently, and opposed the use of labels in an internal confrontation, saying that he prefers "confrontation of arguments."

Mr. Simitis said a characteristic of government policy is not the replacement of the state by the market but the consolidation of the state's attitude, adding that this is a leftist policy by PASOK and also a leftist government policy.

He said the government's image is improving and that he himself does not consider himself a "premier-master" but as a conductor of an orchestra which needs rehearsals to produce a better result. He said the government is clearly improving in relation with co-operation between its members as well as efficiency and collectiveness which, he said, is much better now than at the beginning.

Replying to questions on the government's economic policy, Mr. Simitis said this policy serves the entire population and not those who "have and own" and that objections to the contrary are unsubstantiated.

Mr. Simitis said debts in the public sector were created by past governments and that an effort is being made to increase revenues from sources which did not yield revenues in the past. He also said that as long as the informal economy exists consolidation of social justice will be delayed.

He explained the imposition of new taxes after the elections, saying that it was ascertained that restricting expenditures in the public sector is not enough to achieve the main target set, namely, the equal participation in European unification.

Mr. Simitis underlined that the new taxes, such as the tax on real estate, and taxation of state securities does not increase income tax but deals a blow at those "who have and own".

On the question of absorption of European Union funds, Mr. Simitis said that despite the fact that absorption currently amounts to 65-70 per cent, he is pressuring ministers to achieve a better performance.

Referring to farmers' mobilizations, Mr. Simitis said takeovers of national motorways were extreme acts, adding that the government proceeded with satisfying all the claims which could be met.

Commenting on teachers' strikes, Mr. Simitis said that if they return to classrooms they will not return with their heads lowered because they have already achieved a great deal with their mobilizations. He said educators can be considered as being badly paid, compared to remuneration they ought to have, but they are not badly paid.

[08] Simitis says Greek policy vis-a-vis Turkey pursues peace, stability

Athens, 13/03/1997 (ANA)

"We pursue peace not only because a (military) adventure would be negative and will have a cost in human lives but also because any war would lead Greece to the negotiating table, which it does not want."

Mr. Simitis said Greece does not want Turkey to be excluded from Europe, adding that Athens would stand to benefit from the development of Euro-Turkish relations on the condition, however, that the political problem created by Turkey's territorial claim s against Greece will be resolved.

He reiterated that Turkey must raise whatever claims it has at the International Court at The Hague and then the issue of the continental shelf should be referred to the court, adding that when these two issues are clarified, relations with Turkey can b e developed.

He said Greece does not favor a universal denial against co-operation with Turkey and said as an example that it does not raise an issue of a Moslem identity to block Euro-Turkish relations, as was mentioned in the recent decision taken by the European Christian Democrats.

[09] .... and on FYROM, Cyprus

Athens, 13/03/1997 (ANA)

However, he announced that consultations under the auspices of UN mediator Cyrus Vance are reaching their end and that FYROM will have to state its final decisions.

On Cyprus, Mr. Simitis said resolving the island republic's problem depends on initiatives, proposals and, of course, answers of the Turkish side.

"We want the Cyprus issue to be resolved in a way safeguarding the implementation of UN resolutions, the existence of a Cypriot state which will be able to function and allow both communities to develop without interventions by third parties. We want a just and viable solution to the Cyprus issue... so far, we have not seen any specific and overall proposals," he concluded.

[10] WEU parliamentarians conference in Athens focuses on Albania

Athens, 13/03/1997 (ANA)

Delegates during yesterday's session focused on developments in Albania. "There is hope that the crisis will be resolved without weapons," Mr. Papandreou said, warning that destabilization harbors dangers not only for Albania but also for its neighbors.

Regarding NATO and WEU relations and the future of the WEU in view of expected enlargements in both organizations, Mr. Papandreou said that NATO, the Western European Union and the European Union participated equally in building Europe's new security structure.

"The dangers for peace in today's Europe do not emanate from specific enemies and adversaries," Mr. Papandreou said, adding that the root of these dangers is found in social inequalities, poverty and illegal immigration.

Referring to WEU's enlargement, National Defense Minister Akis Tsohatzopoulos said it was not possible for all NATO members to become WEU members "because in this case there would be no differentiation between the two organizations."

Concluding his speech, Mr. Tsohatzopoulos said that peaceful settlement of differences on the basis of international law should constitute one of the basic commitments for all European countries.

Parliamentarians from WEU member-states arrived in Athens on Tuesday to discuss relations with NATO and the future of the organization.

[11] Four ND leadership candidates fail to agree on two party charter issues

Athens, 13/03/1997 (ANA)

The meeting was held in the presence of ND congress organizing committee chairman and former prime minister George Rallis.

Specifically, the four candidates failed to agree on two principle issues regarding amen-dments to the charter.

Deputy Costas Karamanlis disagreed with a proposal for the election of the party's leader by the congress on the first day of its session, while deputy George Souflias insisted that the leader's mandate be institutionalized.

The other two contenders are current party leader Miltiades Evert and Vyron Polydoras.

After long talks the four agreed on a number of points including the holding of the party congress every two years and other institutional and structural issues.

Speaking to reporters after the meeting, Mr. Karamanlis said the discussion had been "substantial and constructive," expressing reservations, however, at the proposal to hold party leadership elections on the first day of the congress.

Mr. Souflias said it was self evident that the result will be acceptable by all the contenders, expressing opposition, though, at the proposed institutionalization of the party leader's mandate.

[12] Parliament rejects motion to lift V. Papandreou's legal immunity

Athens, 13/03/1997 (ANA)

The motion had been raised after a lawsuit was filed against her for libel by main opposition New Democracy deputies Theodoros Kassimis and Triantafyllos Bellos.

The two ND deputies claimed that the minister had questioned their integrity as members of a parliamentary committee investigating the now defunct Floisvos casino license affair.

[13] Austrian defense minister visits ELBO's Thessaloniki facilities

Athens, 13/03/1997 (ANA)

ELBO makes armored personnel carriers, military and civilian trucks, fire engines, buses etc.

ELBO president Lykourgos Sakellaris referred to the company's co-operation with the Austria-based Stayer company, stressing that it would be expanded, and that ELBO was in a position to respond to the requirements of the Greek armed forces.

In addition, the Austrian minister also noted what he called the excellent co-operation between Greek and Austrian troops stationed in Bosnia. Mr. Fasslabend was to visit the other defense industry installations in Thessaloniki and to attend a dinner given in his honor by Macedonia-Thrace Minister Philippos Petsalnikos.

[14] Poland's parliament speaker begins Athens visit

Athens, 13/03/1997 (ANA)

Mr. Zych began a three-day visit to Athens yesterday at the head of a Polish parliamentary delegation.

The two sides agreed on the need for building a new security system for Europe, with the largest possible participation of European countries.

He also stressed that Warsaw supports the independence and territorial integrity of Cyprus, and stated his opposition to the self-styled and illegal "Turkish republic of northern Cyprus", a Greek Parliament statement said.

The Polish official thanked his counterpart for Greece's warm support for his country's European integration.

On his part, Mr. Kaklamanis commented on the progress Poland has been recording lately and on its European character and orientation.

Mr. Zych is scheduled to meet with President of the Republic Kostis Stephanopoulos, Alternate Foreign Minister George Papandreou, main opposition New Democracy party leader Miltiades Evert and other party leaders.

[15] Stephanopoulos, Herzog meet

Athens, 13/03/1997 (ANA)

Mr. Herzog on Tuesday received an honorary doctorate from the Athens University Law School. The two presidents exchanged views on bilateral relations and the international situation, with emphasis on the Balkans and the Albanian crisis and Greek-Turkish relations and Cyprus.

[16] Gov't says Ankara's positions still not in line with July 15 EU statement

Athens, 13/03/1997 (ANA)

Mr. Reppas, who was replying to a relevant question, said the Greek position will be shaped in this framework at the forthcoming EU Council of Ministers' session which, among others, will handle the issue of the funding Turkey through the EU-Turkey customs union.

[17] Report says Athens' environment will dramatically improve by 2004

Athens, 13/03/1997 (ANA)

The report, conducted by Greek and foreign researchers, concerns the repercussions of major public works projects and was released yesterday.

The report asserts that the public works projects currently underway will significantly improve the quality of life in the Greek capital in time for the 2004 Olympic Games, which Athens hopes to host.

The International Olympic Committee recently put Athens alongside Rome as front-runners for the 2004 Games, but stressed that Athens' suffocating air pollution is the greatest obstacle to the Greek capital's bid.

On its part, the report noted that since 1990 smog levels in the greater Athens area have shown a gradual reduction and that the completion of the underground metro system, the international airport at Spata, construction of a number of major road axes and the introduction of natural gas in industry will contribute significantly in further reducing air and noise pollution. Meanwhile, an Athens 2004 action plan will relate to planning and construction of sports facilities, land use, transport, energy, environmental management and other factors.

"The holding of the Games by Athens will be a unique Olympic experience... our strategy combines the dynamic growth of the country, the existing infrastructure and the experience of organizing international athletics meetings with a unique heritage - the relationship of Greek civilization with the Olympic spirit," said the president of the Athens 2004 committee Yianna Angelopoulou-Daskalaki.

[18] IAAF council slated for Athens in May

Athens, 13/03/1997 (ANA)

Representatives of the organizing committee said that on the first day of the World Athletics Championships, due to be held in Athens between Aug. 1-10, a commemorative stamp for the event will be issued.

The official progress report for Athens '97 will be presented to the IAAF at the sidelines of the World Cross Country Championships, to be held in Turin on March 21-23.

In a related development, representatives of 10 foreign broadcasting networks were briefed on the world championships, about the program of events, camera positioning and commentator boxes, among others. The television press center will open on July 26.

The US television network NBC, the German ZDF and ARD and the Japanese TBS have requested the use of a total of 1,500 square meters for coverage. The two German channels are to send 150 sports reporters and technicians, with NBC sending 100 and the BBC and TBS sending 70 each.

Television representatives are to be shown the marathon route today, which runs from Marathon to the Panathenian Stadium in Athens.

[19] Price reduction for new 'Euro-vignette' in Greece for 2 years approved

Brussels, 13/03/1997 (ANA - P. Pantelis)

During yesterday's session, Transport Under-secretary Manolis Loukakis argued, along with his Finnish and Austrian counterparts, that Community programs for combined forms of transport should include provisions of finance for intermediate third countries and connecting different member-states by road.

Greece also called for inclusion of sea freight in combined transport. It was eventually decided to finance community programs with ECU 35 million, but only for member-states.

[20] Parents' lawsuit against secondary teachers' strike before court

Athens, 13/03/1997 (ANA)

The plaintiffs argue in their motion that the strike - now into its ninth week - is causing an excessive hindrance to the exercise of the constitutionally established right of education for their children. They also argue that the strike is abusive on account of its duration and the damage done to the education sector.

Defense attorneys argued that the parents did not have the right to ask that the strike be declared illegal because this abolished the constitutionally established right to strike. Only the education ministry had the right to have recourse to court, they added.

The court is expected to rule on the case on Friday or Saturday.

Meanwhile, government spokesman Dimitris Reppas reiterated that the government had made important steps towards meeting the economic and other demands of striking teachers. He said the margins for granting additional pay increases to educators had been exhausted, and appealed to them to return to the classrooms so that a debate on institutional issues may begin.

On their part, teacher union (OLME) representatives in Thessaloniki announced that they were resolved to continue the strike even if it was declared illegal.

[21] Banking sector to undergo sweeping changes

Athens, 13/03/1997 (ANA)

"The basic government philosophy in the banking sector is the creation of relatively large banking units with diversified activities as well as increased (minority) stakes in the share capital of state-run banks," Mr. Papantoniou told bankers at the General Assembly of the Association of Greek Banks.

He said the first concrete indications of this philosophy would be seen in the next few months with the immediate re-tendering of Cretabank, the continuation of reforms of the Agricultural Bank of Greece into a modern commercial bank and the sale of the Bank of Central Greece.

Moves to merge the Ionian and Commercial banks and the National Housing and Mortgage banks would be well under way by the end of the year, he added.

"In 1997 the Greek economy will be back on the right track with low fiscal deficits, low inflation and relatively high growth rates," Mr. Papantoniou said.

GDP growth this year would increase by 3.3 percent, he said, meaning "for the second consecutive year Greece will really be converging with the European Union".

Bank of Greece Governor Lucas Papademos announced that all current restrictions on foreign exchange accounts in Greek banks would be lifted soon.

Mr. Papademos told the meeting that commercial banks needed to modernize to become more competitive and effective, adding that "size is not automatically an indicator of success".

The main prerequisites for growth in the banking sector, he said, were the reduction of operating costs, the expansion of portfolios and the reduction of risks, warning state-run banks of the dangers of the lack of competitiveness and "bureaucratic mentalities".

His comments were echoed by National Bank of Greece Governor Theodoros Karatzas, who said that any delay could be "fatal" for the future of the Greek banking sector. Mr. Karatzas said it was imperative that there be institutional reforms such as t he abolition of the special bank charge, EFTE, which would reduce the cost of lending and commercial banks' deposits at the central bank.

The Greek banking system is "a petrified forest", Mr. Karatzas said, saying he was in favor of the strengthening of Greek banks with the improvement of credit ratings and better utilization of human resources.

[22] Greek participation at New York trade exhibition

Athens, 13/03/1997 (ANA)

For more information call 99.82.204.

[23] Simitis to meet shipowners on Monday

Athens, 13/03/1997 (ANA)

[24] Mutual funds' total assets increased

Athens, 13/03/1997 (ANA)

Moreover, four new mutual fund management companies were added to the mutual fund sector, as well as 29 new mutual funds of various categories, and as a result the number of mutual fund management companies amounted to 30 at the end of 1996 and the number of mutual funds to 150.

The above figures were released by the Union of Institutional Investors. According to the data, amounts invested in mutual funds as of Dec. 31, 1996 constituted about 24 per cent of deposits made with banks by private persons, compared to 16.3 per cent as of Dec. 31, 1995.

[25] Helicopter repair center at Hellenikon

Athens, 13/03/1997 (ANA)

According to a contract signed yesterday by representatives of Olympic Aerospace and Eurocopter, the investment will amount to 200 million drachmas in the initial stage, and aims at the repair and maintenance of helicopters from Greece, Bulgaria, the Former Yugoslav Republic of Macedonia (FYROM), Cyprus and Malta.

The company also intends to transfer to Thessaloniki in the future.

[26] Three new employment subsidization programs

Athens, 13/03/1997 (ANA)

The programs concern unemployed people between 16-64 years of age, who completed their training at certified Vocational Training Centers in the framework of European Union employment initiatives.

End of English language section.

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