Athens News Agency: Daily News Bulletin in English, 97-07-16

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

ATHENS NEWS AGENCY BULLETIN (No 1238), July 16, 1997

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

CONTENTS

[01] Government pledges to stay on convergence course

[02] Greece to revise EU fund package

[03] Kranidiotis kicks off Middle East tour with Cairo visit

[04] Czech PM in Athens tomorrow for official visit

[05] Karamanlis sends condolences for murdered Spanish councilman

[06] Gov't denies report on Spanish royals

[07] First F-16 refurbished in Greece

[08] ND leader briefs president on concerns over Madrid accord

[09] Papoutsis says EU won't succumb to Turkish threats

[10] Tsohatzopoulos begins Caucasus tour with talks in Yerevan

[11] Gov't to respond to Yilmaz letter towards EU

[12] Constantopoulos, Tsovolas visit ESHEA headquarters

[13] Another 4 IOC delegates briefed on Athens' Olympic bid

[14] Delphic Celebrations open today

[15] ESHEA takes stance on Turkish journalists' persecution

[16] PASOK Central Committee to meet in Nafplio

[17] Premier to address PASOK's farm sector unionists

[18] Parliament appoints OSE, ELTA directors

[19] Premier at the disposal of party leaders for briefings, Gov't says

[20] Arsenis' letter spells out his views on Greek-Turkish communiqui

[21] Government comment on pharmacists' strike

[22] Trucks banned from highways on weekends

[23] Army officer shot dead

[24] New port terminal, motorway credits approved

[25] Negotiations for Bank of Central Greece's purchase deadlock

[26] Greek equities slip on profit-taking

[27] Commission takes action against Belgium, France, Germany, Greece

[28] Strong corporate profits seen driving up Greek bourse

[29] Greek transport, communications unions agree to strike truce

[30] EU adopts report on tourism

[31] Cyprus in first group for European Union expansion

[01] Government pledges to stay on convergence course

Athens, 16/07/1997 (ANA)

"Our assessment is that developments are not upsetting our own economic planning. We remain firm and dedicated to the program we have been implementing," Mr. Papantoniou told reporters.

He was speaking after a meeting chaired by Prime Minister Costas Simitis to discuss developments in the EU, particularly in Germany and France, and how they would affect economic and monetary union.

Also attending the meeting was Bank of Greece governor Lucas Papademos.

Replying to questions on whether the government intended to impose any new economic measures this year, Mr. Papantoniou said:

"There will be absolutely no measures during the present year. The budget is going according to plan, inflation has a clear downward tendency and, overall, the economy is keeping to targets set by the government." A preliminary meeting on economic policy for 1998 would be held today but formal discussion would begin in the autumn linked to preparation of the budget, Mr. Papantoniou said.

Asked whether there was concern at the Bank of Greece about this week's sharp rise of the dollar against the drachma, Mr. Papademos said he saw no repercussions on Greece's foreign exchange policy. "These fluctuations reflect various factors which affect the dollar's parity on international markets," Mr. Papademos said.

He also said foreign currency restrictions for Greeks would be lifted in July.

[02] Greece to revise EU fund package

Athens, 16/07/1997 (ANA)

Projects not already funded under the second CSF would be accelerated by transferring EU moneys from slow moving projects, he said.

Mr. Simitis was briefed on implementation of the public investments program during the meeting, which was also attended by Finance Under-secretary Nikos Christodoulakis. According to figures presented by Mr. Pachtas, implementation of EU-funded projects in first-half 1997 showed a 98 percent increase against the corresponding period of 1996.

A total of 725 billion drachmas in CSF funds were spent last year, with a 71% absorption rate for 1994-96.

[03] Kranidiotis kicks off Middle East tour with Cairo visit

Cairo, 16/07/1997 (ANA - V. Mourtis)

His tour of the area will focus on improving relations with Mideast countries as well as promoting Greece's role in assisting with the region's peace problem.

Following separate meetings with Egyptian Foreign Minister Amr Mousa and Foreign Under-secretary El Safty, Mr. Kranidiotis said the atmosphere was positive for improving bilateral relations.

Mr. Kranidiotis said he discussed the entire range of bilateral relations with his Egyptian counterpart, adding that both sides expressed desire for further deve-lopment of relations, and noting that Egypt recognized Greece could play a positive role in the region, especially in the peace process between Israel and the Palestinian Self-Rule Regions.

The two sides also discussed implementation of the bilateral defense co-operation agreement signed on June 19, while the Egyptian officials expressed concern regarding the similar agreement signed between Israel and Turkey.

Mr. Kranidiotis said he obtained a promise from the Egyptian side to support Greece's candidacy as a non-permanent member of the UN Security Council. The Egyptians, for their part, asked for Greece's support in their country's relations with the European Union.

Discussions included economic co-operation, and the Egyptian side showed particular interest in Greek investment for the sectors of new technology, telecommunications, industry and construction.

Finally, Mr. Kranidiotis handed Mr. Mousa an invitation by President Kostis Stephanopoulos for Egyptian President Hosni Mubarak to visit Athens.

Mr. Kranidiotis will also visit Syria, Lebanon and Jordan.

[04] Czech PM in Athens tomorrow for official visit

Athens, 16/07/1997 (ANA)

According to a Czech embassy announcement, the aim of the visit is to further develop "the already excellent and friendly relations" between the Czech Republic and Greece in all sectors, especially economic issues. During his stay, Mr. Klaus will also have talks with Foreign Minister Theodoros Pangalos.

After his talks in Athens, Mr. Klaus, who will be accompanied by his wife, will fly to Crete to participate in an international seminar organized by the Group for International Study and Evaluation A.G. (GISE) and Alpha Credit Bank.

The seminar will focus on issues pertaining to foreign policy, security and international economic relations.

[05] Karamanlis sends condolences for murdered Spanish councilman

Athens, 16/07/1997 (ANA)

In his telegram to Mr. Aznar, Mr. Karamanlis expressed his support to "the tireless struggle of all democratic powers against terrorism, any form this may take, or wherever its roots may lie".

The infamous terrorist group ETA claimed responsibility for the 29-year-old municipal councilman's murder over the weekend.

[06] Gov't denies report on Spanish royals

Athens, 16/07/1997 (ANA)

The government spokesman was replying to a relevant press question yesterday.

[07] First F-16 refurbished in Greece

Athens, 16/07/1997 (ANA)

The fighter plane was turned over to the Air Force during a special event at EAB's facilities in Tanagra attended by Finance and National Defense Undersecretaries George Drys and Dimitris Apostolakis, Chief of the Air Force General Staff Lt.-Gen. George Antonetsis, and US Ambassador in Athens Thomas Niles.

The air force has assigned EAB a program to upgrade all its F-16s by the year 1999. The delivery of six more modernized F-16s is scheduled over the next four months.

The work is being carried out by EAB following its acquisition of the know-how from Lockheed-Martin Corp., the F-16s' American manufacturer.

[08] ND leader briefs president on concerns over Madrid accord

Athens, 16/07/1997 (ANA)

Speaking to reporters after the meeting, Mr. Karamanlis said he had conveyed his party's views to President Stephanopoulos, while reiterating New Democracy's "firm" support for efforts to normalize Greek-Turkish relations.

Mr. Karamanlis said he had also expressed to the President his "gravest reservations and concerns," prompted by certain aspects of the Madrid accord and his displeasure at Prime Minister Costas Simitis' decision to brief only the political parties and not the Greek people on the content of the communiqui.

Mr. Karamanlis said his party believed that the national issues ought to be faced with "a great sense of responsibility and rising above party differences."

"We will keep intervening, as always, when the situation calls for our intervention, ensuring the nation's rights and interests," he added.

On Monday, Prime Minister Costas Simitis briefed President Stephanopoulos on the results of the NATO summit, before chairing a meeting of the ruling PASOK party's Executive Bureau focusing on Greek-Turkish relations as well as other political developments.

The Madrid communiqui was aimed at improving relations between Greece and Turkey. Government spokesman Dimitris Reppas said the communiqui was merely a declaration of principles, while its effectiveness depended on future action by the two countries.

[09] Papoutsis says EU won't succumb to Turkish threats

Brussels, 16/07/1997 (ANA)

Mr. Papoutsis, who is responsible for energy, SMEs and tourism, was commenting on threatened "counter-measures" by Turkey in the event that the European Commission's recommendation on enlargement does not satisfy Ankara's expectations.

The Commission yesterday announced its formal decision to recommend Poland, the Czech Republic, Hungary, Slovenia, Estonia and Cyprus in the first round of the Union's enlargement.

"European political culture does not succumb to threats and blackmail. Particularly with respect to the Cyprus Republic's European prospect, an independent UN member-state whose northern part has been under Turkish military occupation for the last 23 years," Mr. Papoutsis said.

The Greek Commissioner added that Turkey's road to Europe presupposed respect for international law and human rights.

"Specifically, it presupposes implementation of UN Security Council resolutions and decisions. It presupposes the active contribution of Turkey (in finding) a just and viable solution to the Cyprus problem on the basis of UN resolutions," he added.

Mr. Papoutsis said the Commission recommended that accession negotiations should begin with Cyprus in 1998 as planned.

[10] Tsohatzopoulos begins Caucasus tour with talks in Yerevan

Yerevan, 16/07/1997 (ANA - D. Konstantakopoulos)

Mr. Tsohatzopoulos is on a tour of Armenia, Georgia and Azerbaijan.

Discussions here centered on co-operation in the bilateral defense sector.

In statements afterwards, Mr. Tsohatzopoulos placed particular emphasis on priority for dealing with problems of security, stability and co-operation in the new international environment, particularly in eastern Europe.

[11] Gov't to respond to Yilmaz letter towards EU

Athens, 16/07/1997 (ANA)

The government's reply will be within the framework of the country's "fixed positions", Mr. Reppas said, adding that Greece had no objection to the request put forward by Mr. Yilmaz regarding Turkey's prospects for accession to the EU, provided Ankara fulfills the four set conditions.

The conditions referred to by Mr. Reppas are that Ankara respect human rights and the operation of Parliamentary institutions, that the Kurdish problem be resolved through political solutions, that Turkey should contribute to finding a just settlement to the Cyprus problem and that Greek-Turkish problems be handled by Ankara on the basis of the principles of good neighborliness and respect for international treaties and international law.

[12] Constantopoulos, Tsovolas visit ESHEA headquarters

Athens, 16/07/1997 (ANA)

Mr. Constantopoulos expressed support for the role of the National Radio and Television Council (ERS), which recently lowered a large fine on the Antena television station over breach of ethics in one of its afternoon programs.

The fine is pending approval by the press minister.

The Synaspismos leader said his party believed the ERS should operate as an independent body "with real powers and jurisdictions, the decisions of which will be justified socially and politically in the conscience of the average citizen".

Supporting his stance, Mr. Constantopoulos said "for the sick and negative conditions (prevailing in Greek mass media) there must be fundamental agencies of control and transparency".

Democratic Social Movement (DHKKI) party leader Dimitris Tsovolas also visited ESHEA yesterday, and was briefed on the problems of the union.

Mr. Tsovolas expressed his support and said through a continued co-operation, the party could contribute to promoting the union's demands in Parliament.

The party leader also briefed ESHEA on DHKKI's exclusion from the new ESR board, which he termed unconstitutional and invalid.

DHKKI is the only party represented in Parliament that does not have a member on the new board of ESR.

[13] Another 4 IOC delegates briefed on Athens' Olympic bid

Athens, 16/07/1997 (ANA)

Also present were Alternate Foreign Minister George Papandreou, and the president of the "Athens 2004" candidacy committee Gianna Angelopoulou-Daskalaki.

"We welcomed our friends of the International Olympic Committee. Our endeavor for undertaking the organization of the Olympic Games of 2004 is continuing, in view of the final decision for the host city on Sept. 5," the prime minister stated afterwards .

Sports Under-secretary Andreas Fouras said "the course towards contesting the assumption of the Games is a systematic one. Serious work is being done, but everyone should be mindful that we are going to September with eyes in the future and feet on the ground."

Referring to the World Athletics Championship, due to be held in Athens between August 1 and 10, Mr. Fouras said, "I find that everything is functioning very well in view of this great event. I welcome the International Athletics Federation President, Primo Nebiolo's decision, according to which all the Olympic medallists in Atlanta will be present in Athens".

Ms Angelopoulou-Daskalaki stated: "I believe Greece appears on a fully professional level, very strong and certain of itself. Our effort must be intensified".

[14] Delphic Celebrations open today

Athens, 16/07/1997 (ANA)

The commemorative events mark the 70th anniversary of the first Delphic Celebrations in 1927 and the 20th anniversary of the European Cultural Center of Delphi, where the events are being held.

Two exhibitions will open, on the stage set-up for ancient plays and Greek artists who have painted backdrops for such plays.

A concert will round up events of the first day at 9 p.m. today at the ancient stadium, with Andreas Pylarinos conducting poems of Sikelianos set to music by composer Mikis Theodorakis.

Olympic gold medallist Ioannis Melissanidis will perform a dance on the myth of Icarus.

Events will conclude on Sunday, with a play based on works by Sikelianos, with actor Stratos Tzortzoglou narrating.

[15] ESHEA takes stance on Turkish journalists' persecution

Athens, 16/07/1997 (ANA)

ESHEA will send a letter of protest to the international federation of journalists to protest a recent sentence against a Turkish journalist.

During the latest general assembly meeting of the European Federation of Journalists-International Federation of Journalists in Brussels last month, New Democracy deputy and ESHEA board member Fani Palli-Petralia tabled a question on the persecution of journalists in Turkey and the federations' lack of serious reaction.

Following a lengthy discussion, the Secretary-General decided to set up an investigative committee on the issue.

[16] PASOK Central Committee to meet in Nafplio

Athens, 16/07/1997 (ANA)

According to sources, the committee members will also discuss co-operation with other parties for combined tickets.

PASOK will also discuss the restructuring of administrative services which are being turned over to regional authorities, in a government initiative to decentralize services from Athens.

The restructuring will also help activate regional party organizations.

[17] Premier to address PASOK's farm sector unionists

Athens, 16/07/1997 (ANA)

Sources said Mr. Simitis will invite all PASOK members to contribute to a complete restructure of agricultural cooperatives, making them more flexible and effective and improving their competitiveness.

The meeting will also be addressed by party secretary Costas Skandalidis and Agriculture Minister Stephanos Tzoumakas.

About PASOK 500 members are expected to attend.

[18] Parliament appoints OSE, ELTA directors

Athens, 16/07/1997 (ANA)

All parties voted for Mr. Mourmouris except the Communist Party of Greece (KKE), which cast a blank vote.

Parliament also approved by majority vote the appointment of Panayiotis Kyriakopoulos as general manager of the Hellenic Post Offices (ELTA), with KKE voting against and the Democratic Social Movement (DHKKI) casting a blank vote.

Earlier, Prime Minister Costas Simitis held talks with Transport and Communications Minister Haris Kastanidis, which focused on the selection of utilities' directors and top department heads.

Mr. Simitis agreed with the method top managers will be selected. Thus, five have been proposed for each utility by a group of international firms that processed all the candidates' biographies.

[19] Premier at the disposal of party leaders for briefings, Gov't says

Athens, 16/07/1997 (ANA)

He added that the issue of convening the council of party leaders was not raised when Prime Minister Costas Simitis briefed on Monday President of the Republic Kostis Stephanopoulos on last week's Greek-Turkish communiqui.

Replying to another question regarding whether Mr. Stephanopoulos was unhappy with the government's handling of Greek-Turkish issues, Mr. Reppas said the president should be kept out of partisan politics.

Concerning UN-sponsored direct talks in New York this month between the two sides on Cyprus, Mr. Reppas declined comment, saying the process was still on-going.

[20] Arsenis' letter spells out his views on Greek-Turkish communiqui

Athens, 16/07/1997 (ANA)

According to sources close to the minister, "Mr. Arsenis detailed his criticism and the points of his disagreement with the Demirel - Simitis communiqui," signed on the sidelines of the NATO summit in Madrid last week.

His letter also contains a framework of principles for the formulation of a national foreign policy strategy.

[21] Government comment on pharmacists' strike

Athens, 16/07/1997 (ANA)

Pharmacists in Attica were scheduled to remain closed until today as part of a five-day strike called in support of demands for a withdrawal of the government's revised drug price list which, they claim, trims their profits on pharmaceutical products.

"The government will persist in its policy of reducing the retail price of medicines," government spokesman Dimitris Reppas said, stressing that pharmacists' profits would not be affected.

In order to reduce retail prices, Mr. Reppas said, the government is making an effort to overhaul the entire system "even though this will cost the state 50 billion drachmas".

[22] Trucks banned from highways on weekends

Athens, 16/07/1997 (ANA)

The ban, effective from July 18 to September 14, basically means that trucks will not be able to use motorway sections which generally become congested when city dwellers leave for and return from the provinces at weekends.

For instance, trucks will not be able to use either the old or new national road leading out of Athens for Corinth on Fridays between 14.00 and 21.00. A similar restriction will apply with respect to the motorway lanes leading in to Athens on Sunday afternoon between 17.00 and 22.00.

Road assistance trucks and vehicles carrying pasteurized milk and fresh fish will be exempt from the ban.

[23] Army officer shot dead

Athens, 16/07/1997 (ANA)

According to reports, the assailants fled on a high-powered motorcycle after shooting Eleftherios Zeppos at least four times. A passing taxi carried the officer to a nearby hospital, where he died shortly afterwards.

Police believe the two culprits had personal differences with Zeppos, who reported to authorities a few months ago that someone had tried to dynamite his car.

[24] New port terminal, motorway credits approved

Athens, 16/07/1997 (ANA)

The amount of 1.15 billion drachmas will be provided for the passenger terminal and nine billion drachmas for Kifissos Avenue.

In parallel, the joint venture "SARANTOPOULOS-MENTON" was assigned yesterday with building the motorway between Almyros and Aerinos, budgeted at 19 billion drachmas. The project is part of the Patra-Thessaloniki-Evzonoi motorway.

[25] Negotiations for Bank of Central Greece's purchase deadlock

Athens, 16/07/1997 (ANA)

As already reported, ATE had called on representatives of Egnatia Bank for negotiations to improve the offer for Bank of Central Greece's share package as well as other terms in Egnatia's proposal.

The meeting was held on July 10 and the prospective buyers declined to improve the offer of 6.8 billion drachmas, calling on ATE to agree to a decrease in the sale price.

It was finally decided to call on the representatives of Egnatia to submit their written proposals by July 14.

In a document, Egnatia Bank concedes that the business plan it submitted is not complete and expresses the desire to conduct a new check so that its offer will be decreased in accordance with the amount of additional, according to its own views, bad debts and the percentage of shares transferred.

[26] Greek equities slip on profit-taking

Athens, 16/07/1997 (ANA)

The general index closed 0.66 percent lower at 1,590.33 points, failing to hold the 1,600 psychological level it breached in the previous session.

Most sector indices lost ground. Banks fell 0.25 percent, Insurance dropped 1.08 percent, Industrials eased 1.38 percent, Construction was 1.20 percent lower, Holding fell 0.34 percent and Miscellaneous eased 0.57 percent. Leasing and Investment bucked the trend to end 0.22 and 1.39 percent higher respectively.

Broadly, decliners led advancers by 136 to 80 with another 26 issues remaining unchanged.

Greek Aluminium and Viokarpet scored the biggest percentage gains, while Sato and General Commerce suffered the heaviest losses of the day.

National Bank of Greece ended at 36,800 drachmas, Ergobank at 17,930, Alpha Credit Bank at 19,435, Titan Cement at 15,290, Intracom at 12,950 and OTE at 18,320.

[27] Commission takes action against Belgium, France, Germany, Greece

Brussels, 16/07/1997 (Reuter/ANA - G. Daratos)

In 1994, Greek legislation introduced changes concerning the founding and running of private language schools. These require foreign teachers to obtain a certificate from the Greek Ministry for Education attesting to their knowledge of the Greek language and national history which is conditional on passing an examination set by the Ministry.

The Commission considers that EU or EEA nationals other than Greek nationals are discriminated against by this legislation and that Greece has failed to take adequate measures to comply with Community law.

In the absence of a satisfactory response on the part of the Greek authorities, the Commission may ask the Court to impose a financial sanction.

The Commission will also take action against Greece, and may ask the Court to impose a fine, if Greek insolvency law is not brought into line with the ruling of the European Court of Justice of 8 November 1990.

[28] Strong corporate profits seen driving up Greek bourse

Athens, 16/07/1997 (ANA)

Despite slipping below the key level on Tuesday, factors expected to have a positive impact on the market are anticipated high corporate profits in the first half of the year, particularly for industrial and banking blue chips.

Other factors expected to push the market up are a rebound in the share price of Hellenic Telecommunications Organization (OTE) as soon as its share capital increase is completed, and an equity increase by National Bank of Greece, due in autumn.

HSBC James Capel, an international investment firm, said in a survey of the Greek capital market that the Athens bourse would see an average 13 percent increase in net profits of listed companies this year, up from an earlier forecast of 10.4 percent.

[29] Greek transport, communications unions agree to strike truce

Athens, 16/07/1997 (ANA)

After a meeting with Kastanidis, union leaders expressed their support for the minister's efforts to secure labor peace, although they stressed particular sectoral problems. Speaking to reporters, Kastanidis thanked unions for a constructive discussion and for their support for his proposals.

Olympic Airway's pilot unions stressed the need for urgent hiring of new pilots in order to proceed smoothly with a restructuring program the airline is undertaking.

OA's unions agreed to the labor peace proposal on condition that there would be no surprise legislative adjustments to scrap unions' institutional and financial demands.

[30] EU adopts report on tourism

Brussels, 16/07/1997 (Reuter/ANA)

Commissioner Christos Papoutsis stated that "the progressive impact of Community actions reflects the recognition of the potential contribution of tourism to achieving the general objectives of the Union and the value added which Community actions bring in terms of the balanced and sustainable development of tourism".

The review of Community actions affecting tourism in 1995/96 shows that the great majority of Community programs and policies either now include a tourism dimension or have a significant impact on tourism-related activities. The European Union maintains its leading position in world tourism with a growth rate in 1996 of 4.2% in terms of international arrivals and of 4.5% in terms of receipts.

Tourism activities employ directly 9 million people, representing 6% of total employment. It has an important indirect effect on employment in connected services, and in some tourism intensive economies its contribution in terms of jobs is substantially higher than the average. It is estimated that, by the end of the next decade, travel an d tourism jobs will have increased by some two million, and will represent over 9% of total employment in the European Union.

The key components of tourism, namely the tourist, the tourism industry, and natural and cultural resources have all been affected by actions undertaken at Community level in 1995/96.

[31] Cyprus in first group for European Union expansion

Brussels, 16/07/1997 (ANA/CNA)

The Commission's "Agenda 2000" document recommends that Poland, the Czech Republic, Hungary, Slovenia and Estonia join Cyprus in the accession talks next year.

The document was formally agreed on yesterday without much discussion during a meeting of EU Commissioners in Strasbourg.

The adopted proposal will be made official this morning when European Commission President Jacques Santer formally presents the decision to the European Parliament.

The decision means that Latvia, Lithuania, Slovakia, Bulgaria and Romania will have to wait for EU membership, although they will each have contractual accession partnerships allowing them to prepare at their own speed for joining the Union.

Cyprus was scheduled to start membership negotiations six months after the Intergovernmental Conference (IGC), in accordance to an EU decision in March 1995.

Last June's Amsterdam European Council had reiterated that accession talks with Cyprus should start as scheduled, that is in early 1998.

Cyprus applied for EU membership in 1990. It signed an association agreement with the European Community in 1972 and a customs union agreement in 1987.

End of English language section.

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