Anadolu Agency: News in English, 01-07-27

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ANADOLU AGENCY

NEWS

27 JULY 2001 Friday

CONTENTS

[01] TURKEY-PRESS SCAN

[02] FRENCH FOREIGN MINISTER VEDRINE MEETS FOREIGN MINISTER CEM

[03] ITALY, GERMANY AND SYRIA BECOME EXPORTATION CENTERS GAP OF REGION

[04] CEM-VEDRINE JOINT NEWS CONFERENCE (1) -FM CEM: ''WE ARE THINKING ABOUT FUTURE WITHOUT FORGETTING PAST''

[05] PRIME MINISTER ECEVIT RECEIVES VEDRINE -ECEVIT: ''WE ATTRIBUTE IMPORTANCE TO RELATIONS WITH FRANCE SINCE 1600'S''

[06] TREASURY TO ABANDON ANNOUNCING MONTHLY BORROWING PROGRAM AS OF AUGUST

[07] ANKARA BECOMES ''EUROPEAN CITY''

[08] CEM-VEDRINE JOINT NEWS CONFERENCE (2) -VEDRINE: ''ALL PARLIAMENTARIANS WHO ACTED IN FAVOR OF APPROVAL OF ARMENIAN LAW BY PARLIAMENT ARE PEOPLE WHO ATTRIBUTE IMPORTANCE TO RELATIONS WITH TURKEY'' -''TURKEY SHOULD TAKE INTO CONSIDERATION THAT EU WANTS TO PROGRESS IN SECURITY''

[09] ISRAELI CHIEF OF GENERAL STAFF VISITS KIVRIKOGLU AND CAKMAKOGLU

[10] CEM-VEDRINE JOINT NEWS CONFERENCE (3) -CEM: ''WE THINK ABOUT FUTURE WITHOUT FORGETTING PAST COMPLETELY'' -''WE WERE UPSET BY FRENCH GOVERNMENT'S INSUFFICIENT REACTION TO APPROVAL OF SUCH A DECISION'' - ''ALTHOUGH TURKEY AND FRANCE DEFEND OPPOSITE OPINIONS ABOUT ESDI FROM TIME TO TIME, I BELIVE THAT THE ISSUE WILL BE SOLVED''

[11] IMF FIRST DEPUTY MANAGING DIRECTOR FISCHER ARRIVES IN ANKARA

[12] PRIME MINISTER ECEVIT RECEIVES FRENCH FM VEDRINE (2) -ECEVIT CONVEYS TURKEY'S CONCERNS ABOUT ESDI

[13] GERMAN AMBASSADOR SCHMIDT VISITS IZMIR

[14] BRITISH AMBASSADOR LOGAN IN MUGLA

[15] SPORTS-HORCE RACES -ANADOLU AGENCY CUP RACE TO BE HELD IN ANKARA ON JULY 29

[16] REFORMISTS TO HAVE COMPREHENSIVE MEETING NEXT WEEK

[17] TURKISH AND RUSSIAN JOINT STUDY GROUP TO HAVE ITS FIRTS MEETING ON JULY 31

[18] OSMANLI BANKASI GETS 45 MILLION U.S. DOLLARS CREDIT

[01] TURKEY-PRESS SCAN

HURRIYET (LIBERAL)

Pointing out that they would discuss with the International Monetary Fund (IMF) how to eliminate its negative effects, Ecevit said, ''turning back from the floating currency is very difficult, but we will discuss with the IMF how to eliminate its negative effects.''

Stressing that budget figures developed well, Ecevit said, ''there are many developments which give hope. If element of confidence can be added to this, I am sure that we will be able to make economy healthy in a few months.''

CONSTITUTIONAL COURT DECIDES FOR CLOSURE OF FP PERMANENTLY
The Constitutional Court decided for the closure of the Virtue Party (FP) permanently on charges of being the center of anti-secularist activities. Also, a decision has been given to strip Nazli Ilicak and Bekir Sobaci off their deputyship. A five year political ban was given to Nazli Ilicak, Merve Safa Kavakci, Bekir Sobaci, Ramazan Yenidede, and Mehmet Silay.

Recai Kutan, the former leader of the banned FP, described the decision as wrong and unjust.

Meanwhile, Prime Minister Bulent Ecevit said even the smallest incidents could shake economy, and wanted the citizens to separate closure of the FP and economy.

MILLIYET (LIBERAL)

The IMF expressed support to economic program of Turkey and gave striking messages to the markets, government, opposition and public prior to the visit of Stanley Fischer, the IMF First Deputy Managing Director.

The messages of IMF said there would not be radical revision in the program but ''fine tuning'' would be made, and noted that no concession would be made from the floating currency. It said crisis is not expected in banking from now on.

Pointing out that they foresaw coming of the crisis last year and had warned the government, the IMF said its statements were not taken into consideration.

The IMF expressed confidence on the determination of the coalition government regarded with the new program.

VEDRINE ARRIVES SILENTLY
French Foreign Minister Hubert Vedrine arrived in Ankara late on Thursday night silently.

The French Minister, who has an appointment with President Ahmet Necdet Sezer, will meet Prime Minister Bulent Ecevit at 11:00 local time.

DYP APPLIES TO CONSTITUTIONAL COURT FOR CANCELLATION OF CERTAIN
ARTICLES OF FOUR LAWS
The True Path Party (DYP) applied to the Constitutional Court for the cancellation of certain articles of four laws.

These laws are about construction inspections, charging fees from people who go abroad, changes on Bank Law, social insurance for tradesmen and artisans, and self-employed people in agriculture.

DYP administration also started legal procedure on 13 of the 25 laws.

SABAH (LIBERAL)

Businessmen warned that production would further be reduced with floating currency, and unemployment would be accelerated.

DIFFICULT DECISION FOR BAHCELI
The Nationalist Movement Party (MHP) has not determined a name for Transportation Ministry yet.

Following the resignation of Enis Oksuz, the MHP Icel Deputy, no appointment has been made to the ministry.

Devlet Bahceli, the leader of the MHP, who has difficulty because of the groupings within the party, is expected to make his decision on the last last.

Under the constitution, the executive ministry can carry out the acting administration only for 15 days. Oksuz resigned on July 17. Bahceli has time till July 31 to make the appointment.

CUMHURIYET (LEFT)

Defense policies will be reviewed with Saul Mofaz, the Israeli Chief of General Staff.

Meanwhile, Amir Muhammad Rasid, the Iraqi Oil Minister continued contacts in Ankara.

TURKEY: WE ARE NOT OBSTACLE TO ESDI
As the European Union (EU) stepped back to convince Turkey regarding European Security and Defense Identity (ESDI), Ankara did not find the proposals as adequate.

A high ranking Turkish diplomat in Brussels said unofficial talks continued, noting that, ''we don't have an intention to prevent ESDI. We have recorded progress in talks but we have not yet come to a joint line.''

Stressing that a text, which is behind the decisions taken in Nice and Washington, was issued, the diplomat said pointed out the news reports which appeared in western media that ''Turkey should not obstruct ESDI.'' The diplomat said, ''they are trying to make us accept their desires by putting on pressure.''

RADIKAL (LEFT)

Ismail Alptekin, a deputy of the Felicity Party (SP) from Bolu province, resigned from his party on Thursday.

SIGNALS FOR DROUGHT IN THE AEGEAN
Water levels in dams and small lakes, which the people living in the Aegean region use as potable water and for irrigation, decreased to a great extend when compared with last year because of extreme hot temperatures and less precipitation.

Officials of the State Water Works (DSI) regional directorate said there was a decrease in water level when the years 2000 and 2001 are compared.

TURKIYE (RIGHT)

Fischer, who will also meet State Minister Kemal Dervis, on Saturday will participate in a dinner that will be hosted by Turkish Businessmen and Industrialists Association (TUSIAD).

It was reported that both the government and the businessmen are expected to put pressure on Fischer ''to make revision in exchange rate policy.''

SECOND BORDER GATE WITH IRAQ
Important agreements were reached with Iraq during the three-day visit of Iraqi Oil Minister Amir Muhammad Rasid. Koray Aydin, the Minister of Settlement and Public Works, pointed out that the sides revealed will to launch joint works regarding the opening of the second border gate.

ZAMAN (CONSERVATIVE)

It is not clear at what this flow of retirement aimed.

MOBILE HOSPITAL IN MOTORWAY
The health ministry turned two trucks, which are not used, into mobile hospitals. The hospitals, which include every kind of equipment pertaining to health, will give servis on Ankara-Istanbul motorway.

MEASURES TO PROMOTE TL
State Minister Kemal Dervis announced new measures that were taken about finance sector, public finance, and real sector. Stoppage rates to repo and foreign exchange accounts were increased in order to make long-term Turkish Lira and Treasury bond investments more attractive.

Dervis said Turkey planned to borrow 32.6 quadrillion lira (some 24.7 billion U.S. dollars) in the remainder of 2001, against public debt repayments of 40 quadrillion lira.

[02] FRENCH FOREIGN MINISTER VEDRINE MEETS FOREIGN MINISTER CEM

The two ministers, who had a tete-a-tete meeting, will later attend interdelegational talks, and are expected to make a joint press statement.

Vedrine, who will also be received by Prime Minister Bulent Ecevit, will proceed to Gocek township after completing his contacts in Ankara.

Vedrine and Cem will have a boat tour in Gocek.

Vedrine is expected to depart from Turkey in the evening hours.

The visit is important to enliven relations between Ankara and Paris which were tensed after the French Parliament adopted bill on so-called genocide on Armenians.

Bilateral relations and Turkish-European Union (EU) relations top the main agenda items of Vedrine's contacts.

[03] ITALY, GERMANY AND SYRIA BECOME EXPORTATION CENTERS GAP OF REGION

Exportation to those countries increased by 20.1 percent when compared with the same period of last year.

The share of those countries within the total exportation of the region, which was 19.4 percent in Jan-June 2000, increased to 21.5 percent this year.

According to the data of Southeastern Anatolia Exporters Union, exportation, worth of 32.856 million U.S. dollars was made to Italy, exportation worth of 15.719 million U.S. dollars was made to Syria, and exportation worth of 15.147 million U.S. dollars were made to Germany.

Dried apricot, cotton thread, synthetic thread, knitted textile and machine carpet are among the products that are exported to Italy, Syria, and Germany.

[04] CEM-VEDRINE JOINT NEWS CONFERENCE (1) -FM CEM: ''WE ARE THINKING ABOUT FUTURE WITHOUT FORGETTING PAST''

Speaking at a joint news conference together with French Foreign Minister Hubert Vedrine, Cem said the Turkish government acted calmly and with responsibility in the period when the French Parliament approved the bill on so-called genocide on Armenians. He said, ''we felt regret as the French government did not exert necessary reaction to prevent such a decision.''

Meanwhile, the French Foreign Minister, responding to a question, disclosed his views pertaining to the decision of the French Parliament and said the decision was taken by the parliament, ''so,'' he noted the French authorities should respect it.

Vedrine said he could not be expected to say the contrary. Vedrine said he would understand the reaction shown by the Turkish public, adding that they noted and taken into consideration this reaction.

(to be continued)

[05] PRIME MINISTER ECEVIT RECEIVES VEDRINE -ECEVIT: ''WE ATTRIBUTE IMPORTANCE TO RELATIONS WITH FRANCE SINCE 1600'S''

Ecevit, who received Hubert Vedrine, the French Foreign Minister currently in Ankara on a one-day working visit, said France has a very important contribution in Turkey's close relations with the Western culture.

The meeting was later closed to the press.

[06] TREASURY TO ABANDON ANNOUNCING MONTHLY BORROWING PROGRAM AS OF AUGUST

In its web-page, Treasury Undersecretariat said that it would adjust its borrowing policies from the beginning of August and would for a period apply a borrowing strategy that would offer a more flexible structure depending on prevailing conditions, and within this scope, the policy of announcing the monthly borrowing programme would be postponed.

Noting that regular Tuesday auctions would continue forming the basis of the program but auctions might be held on any other day, it said that auction conditions would be announced at least a day before an auction.

Stating that it would continue to announce at the end of each month the dates of daily debt servicing it would make, it added that dates of reference bill auctions and amount of the bills to be issued would be announced at the end of each month.

[07] ANKARA BECOMES ''EUROPEAN CITY''

Ankara Mayor Melih Gokcek said that Ankara became a real European city through the municipality's efforts to make the city greener and also by health, educational and cultural services offered to people.

Victor Kolesnikov and John Taylor from the European Council Award Committee are visiting the capital after Ankara was awarded with Council of Europe 2001 Honor Flag. Gokcek held a press conference on Friday to brief reporters about the award.

Gokcek declared that the Council of Europe Parliamentarian Assembly Agriculture and Environment Commission declared Ankara a European city by taking into consideration the activities carried out in transportation, environment and international relations.

''Through our efforts to improve the traffic, natural gas infrastructure, green areas, and other cultural and social activities, Ankara has been awarded by the Honor Flag of the Council of Europe. Ankara managed to become European before Turkey entered the EU,'' he said. Gokcek also indicated that his municipality was planning to open exhibitions in September in European countries in order to promote the Turkish culture in Europe.

John Taylor who also attended the meeting said Ankara went through a significant transformation in the last five years and became much greener. ''Big shopping centers, commercial buildings and living areas are proving that Ankara is a modern European city,'' Taylor said.

Council of Europe member Viktor Koslekinov also praised Ankara and said the award was a giant step for the continuation of Ankara's international relations.

[08] CEM-VEDRINE JOINT NEWS CONFERENCE (2) -VEDRINE: ''ALL PARLIAMENTARIANS WHO ACTED IN FAVOR OF APPROVAL OF ARMENIAN LAW BY PARLIAMENT ARE PEOPLE WHO ATTRIBUTE IMPORTANCE TO RELATIONS WITH TURKEY'' -''TURKEY SHOULD TAKE INTO CONSIDERATION THAT EU WANTS TO PROGRESS IN SECURITY''

Foreign Minister Ismail Cem and Vedrine held a joint news conference following interdelegationary meetings.

Responding to a question about approval of so-called Armenian genocide resolution, Vedrine said, ''this decision was taken by the parliament so it is a decision to which French authorities must respect. You can't expect me to say the opposite. However, we understand, note and take the the Turkish public's reaction seriously.''

Noting that as the French Foreign Minister, his responsibility was to promote friendship and cooperation between the two countries, Vedrine said, ''meanwhile, I want give some information that all of the parliamentarians who acted in favor of approval of this resolution by the French Parliament are people who attribute importance to relations with Turkey. It may seem wrong to you, but this is true. Nobody in France is against friendship and cooperation with Turkey.''

Noting that French authorities were in favor of sound relations with Turkey, Vedrine said what he was interested in was to look to the future.

Vedrine said that Cem and he had reached an agreement on making some arrangements to further develop bilateral relations, adding that he hoped a culture center would be opened next year within framework of those arrangements.

Stressing that they they stood behind Turkey which was encountering an economic crisis, Vedrine said they believed Turkey would overcome the problems.

Noting that Turkey-France relations had always had strategical dimension, Vedrine said that within this framework, they had taken up developments in Middle East, Near East and Caucasus.

Recalling that the EU Commision would release Progress Report for Turkey on November 12, Vedrine said this report was important as it would show the point of Turkey-EU relations.

Vedrine said EU members should listen carefully to Turkey's concerns about European Security and Defense Identity (ESDI), adding, ''however, as a friendly country, Turkey should carefully assess Europe project. Also Turkey has interests and we have interests in continuation of dialogue.''

Noting that it was impossible to say that there was complete harmony between Turkey's and EU members' opinions about ESDI, Vedrine said, ''both sides should exert efforts. EU members should ask questions to themselves about Turkey's concerns but Turkey should take into consideration that EU wants to progress and will progress in this matter.''

Stressing that discussions of EU's future were continuing and they would be finalized in 2004, Vedrine recalled that it had been decided at Nice summit meeting to include all candidate countries to those discussions, ''within this framework, we attach great importance to Turkey's participation.''

Responding to a question, the French Foreign Minister said that they had not discussed Cyprus issue during the morning session of their meetings.

(To be continued)

[09] ISRAELI CHIEF OF GENERAL STAFF VISITS KIVRIKOGLU AND CAKMAKOGLU

Mofaz was welcomed by a military ceremony when he came to General Staff headquarters. Reporters were allowed to take pictures at the beginning of his meeting with Kivrikoglu.

During his meeting with Mofaz, Cakmakoglu indicated that Israeli defense minister had visited Turkey a short time ago and added that such high level visits between Turkey and Israel were helping to build good relations. Cakmakoglu told reporters that his meeting with Mofaz was mainly revolve around joint defense projects.

''I also hope that this visit would help to end the hot clashes in the Middle East and bring peace and dialogue to the region as soon as possible, '' he said.

Mofaz, who arrived in Turkey on Thursday, said that his visit had to be short due to the security problems in Israel. Mofaz is leaving Turkey today. ''I have to be in my country and control the general progress of events,'' he said.

Pointing out that Turkey and Israel were two democratic nations in the Middle East, Mofaz said he believed his visit would contribute to the development of relations between Turkish and Israeli armed forces as well as the people of the two countries.

A meeting which was slated between Mofaz and Naval Forces Commander Ilhami Erdil for this afternoon was cancelled.

[10] CEM-VEDRINE JOINT NEWS CONFERENCE (3) -CEM: ''WE THINK ABOUT FUTURE WITHOUT FORGETTING PAST COMPLETELY'' -''WE WERE UPSET BY FRENCH GOVERNMENT'S INSUFFICIENT REACTION TO APPROVAL OF SUCH A DECISION'' - ''ALTHOUGH TURKEY AND FRANCE DEFEND OPPOSITE OPINIONS ABOUT ESDI FROM TIME TO TIME, I BELIVE THAT THE ISSUE WILL BE SOLVED''

Holding a joint news conference together with his French counterpart Hubert Vedrine following interdelegationary meetings, Cem said that approval of the so-called Armenian law by the French parliament in January had negatively affected bilateral relations.

''It was an unjust decision whatever its reason was. We were upset by the French government's insufficient reaction to approval of such a decision,'' he said.

Stating that Ankara would assess the decision ''seriously'', Cem said, ''from now on, we will look to the future without forgetting the past, and we are determined to further improve the Turkey-France relations.''

Stressing that he believed both countries' point of view about the future would bring positive approaches toward the future, Cem said that they wanted the problems between the two states not to affect relations between the two peoples and raise difficulties in front of the economy. Cem stressed that also France was displaying the same sensitivity.

Recalling that France was one of the EU members supporting Turkey, Cem said Turkey's accession to Customs Union and release of Accession Partnership Document had happened during France's Term Presidency.

''Although Turkey and France defend opposite opinions about the European Security and Defense Identity (ESDI) from time to time, I believe that the issue will be solved,'' Cem said.

Noting that they had decided to work together in the regions like Cyprus, Middle East and Central Asia where the two countries had common interests and concerns, Cem said that they had decided to implement some issues mentioned in the action plan that had been signed between Turkey and France almsot two years ago.

Cem said that they had reached the final stage in an agreement on protection of investments.

Stating that they welcomed France's approaches toward Iraq issue, Cem said that they targeted to develop consultation process with U.N. Security Council member France.

When recalled of his statement he had made at the parliament following approval of so-called Armenian genocide law saying, ''we can no more trust France'', Cem said, ''as the government, our statements are clear. We expended efforts to prevent this event from negatively reflecting in cultural ahd economic relations between two nations. As the government, we announced that some military and strategical relations can no more continue.''

Stating that the Cyprus issue would be taken up during the luncheon, Cem said, ''as Turkey, we support a solution on which both sides agree and we exert efforts for a joint solution.''

Cem said that he would convey Turkey's opinions about Cyprus in detail to Vedrine during the luncheon.

Speaking to reporters following the news conference, cem said, ''we should carefully protect Turkey's interests regarding the ESDI. I hope a compromise would be reached.''

(End)

[11] IMF FIRST DEPUTY MANAGING DIRECTOR FISCHER ARRIVES IN ANKARA

Fischer was welcomed at Ankara's Esenboga Airport by State Minister Kemal Dervis.

Dervis and Fischer did not answer questions of journalists.

Stanley Fischer will be received by State Minister and Deputy Prime Minister Mesut Yilmaz and Prime Minister Bulent Ecevit the same day.

Fischer who will proceed to Istanbul late on the same day will meet with columnists early of Saturday.

Fischer will attend a luncheon that will be hosted in his honor by the Association of Turkish Industrialists and businessmen (TUSIAD).

State Minister Dervis and Fischer are expected to hold a joint news conference late on Saturday in Istanbul.

[12] PRIME MINISTER ECEVIT RECEIVES FRENCH FM VEDRINE (2) -ECEVIT CONVEYS TURKEY'S CONCERNS ABOUT ESDI

Diplomatic sources told the A.A correspondent that Ecevit had stated at the meeting that Turkey was right in its position about the ESDI so a solution which removed Ankara's concerns should be found.

Ecevit had also briefed Vedrine on Turkey's tasks, initiatives and efforts within framework of the NATO.

Expressing his disappointment with adoption of so-called Armenian genocide law by the French parliament, Ecevit had given the message that both countries should look to the future, sources said.

Meanwhile, Foreign Ministry officials said meeting between Foreign Minister Ismail Cem and Vedrine had been held in a very positive atmosphere, and that they had taken up Middle East, Caucasus and Iraq issues in detail.

Also Cyprus issue had been discussed at the meeting during which Cem and Vedrine had taken up Syria issue as a result of France's special interest in Syria, officials said.

EU, ESDI and Cyprus issues are expected to be assessed in detail during Cem's and Vedrine's visit Gocek.

Meanwhile, France had wanted to send Defense Minister Alain Richard to Turkey to recover worsened relations following approval of so-called Armenian genocide law but Turkey had rejected this request, sources said.

Vedrine's visit was scheduled after Turkey had stated that a non-military French official's visit to recover relations would be more approriate, sources said.

[13] GERMAN AMBASSADOR SCHMIDT VISITS IZMIR

After Schmidt's visit, Yuksel told the reporters that they debated what could be done as part of the Turkish-German commercial relations.

Schmidt said that Turkish-German relations were at an important level. ''We can see what Germans and residents of Izmir can do together. The Turkish- German School and the cooperation between Turkish investors and Germans is a good example to that,'' the German ambassador said.

[14] BRITISH AMBASSADOR LOGAN IN MUGLA

Logan visited Mugla Governor Lutfi Yigenoglu on Friday and praised Mugla's clean coast which draws many tourists to this area. He declared that British tourists who visit Mugla leave the area satisfied and this was an important reference for Turkey.

Governor Yigenoglu said his office took a series of measures to offer a safe vacation to foreign tourists who prefer to spend their vacations in Mugla. He remarked that the satisfaction of the tourists was encouraging for people in tourism sector.

A total of 618,000 foreign tourists visited Mugla and 223,373 of them came from Britain.

[15] SPORTS-HORCE RACES -ANADOLU AGENCY CUP RACE TO BE HELD IN ANKARA ON JULY 29

Releasing a written statement, TJK said the race would start at 16:00 hours on July 29 at the Ankara 75. Yil Hippodrome and that seven thoroughbred two- year-old fillies of British origin would compete in the race.

Anadolu Agency Director General and Head of Executive Board Mehmet Guler will present the 29 billion 250 million Turkish liras prize of the race to the owner of the winning horse.

[16] REFORMISTS TO HAVE COMPREHENSIVE MEETING NEXT WEEK

Kayseri independent deputy Salih Kapusuz told the A.A that deputies and other members who will form the Founders Council will be invited to the meeting. At the meeting, the participants will give the last shape to party by law and program whose draft was prepared at a meeting in Uludag.

''There is a great interest to our party. Therefore, we want to set up our party as soon as possible. We're planning to present our party's foundation application to the Interior Ministry next week,'' he said.

Meanwhile, there are rumors that Ali Sezal and Ismail Alptekin who resigned from the SP would join the reformists. SP Adana deputy Ali Goren who is currently out of Turkey, SP Antalya deputy Mehmet Zeki Okuyan and SP Hatay Deputy Metin Kalkan are also among the names who are allegedly considering to join the reformists.

[17] TURKISH AND RUSSIAN JOINT STUDY GROUP TO HAVE ITS FIRTS MEETING ON JULY 31

Foreign Ministry Deputy Undersecretary Yigit Alpogan and Russian Federation Deputy Foreign Minister Alexander Avdaev will chair the meeting.

The study group will focus on the cooperation opportunities between Turkey and Russia in Eurasia.

[18] OSMANLI BANKASI GETS 45 MILLION U.S. DOLLARS CREDIT

A statement released by Osmanli Bankasi said the loan agreement was signed in London on Thursday.

The Bank New York, Bayerische Hypo-und Vereinsbank, Bayerische Landesbank, Bank of Tokyo-Mitsubishi Ltd., First Union National Bank, Standart Chartered Bank and Banco BPI were included in the loan.

The loan will be used in finance of exportation.

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