Foreign Exchange
NEWS IN DETAIL
Second round of UN-LED Cyprus talks ends in deadlock
The second round of UN-sponsored Cyprus talks between President Glafcos
Clerides and Turkish Cypriot leader Rauf Denktash ended in deadlock here
yesterday.
In an afternoon press conference, the UN Secretary General's Special
Advisor for the Cyprus problem, Diego Cordovez, who chaired both rounds of
talks between the leaders of the two Cypriot communities, said "discussions
were useful even when we faced difficulties here in Glion."
He added however, that the Secretary General "intends to continue his good
offices' mission on Cyprus" and said he does not entirely share the view
that "we are back to where we started."
Earlier, President Clerides had told a press conference "at the end of this
week we are exactly where we were, when we came here".
Also speaking at a press conference earlier, Mr. Denktash said the five-day
talks, which took place at the Righi Vaudois hotel in Glion-sur-Montreux,
ended in deadlock.
Mr. Denktash accused the European Union of having thrown a "bomb" into the
peace process by deciding to open accession negotiations next year with the
internationally-recognised government of the Republic of Cyprus.
Nevertheless, he said the talks were "useful", because "we now know where
the two sides are".
The Turkish Cypriot leader said talks on Cyprus' bid for EU membership must
be cancelled for UN mediation to continue, and threatened that the division
of Cyprus would become permanent if negotiations with the EU went
ahead.
He let it be implied that Cyprus can only join the European Union if Turkey
joins as well.
In his statements President Clerides rejected Mr. Denktash's conditions and
said "not only do I have no intention of delaying the process (of EU
negotiations) but if there is any interference in the process I will not be
negotiating."
For his part, Mr. Cordovez said he would submit his conclusions on this
round of talks to the Security Council next Wednesday. A first round of
direct talks (the first between the two leaders since October 1994), was
held between July 9 and 12 at th e secluded Troutbeck rural retreat, north
of New York.
Before attending the Glion talks the two leaders had two meetings in Cyprus,
at the residence of UN Resident Representative, Gustave Feissel, situated
in the UN-controlled Nicosia airport area, and discussed humanitarian
issues.
Assumption of the Virgin celebrated throughout Greece
Greece yesterday celebrated the holiday of the Assumption of the Virgin in
the traditional Orthodox way. Thousands of pilgrims gathered on the Aegean
island of Tinos, the centre of religious celebrations, where the government
was represented by National Defence Minister Akis Tsohatzopoulos. The day
also marks Armed Forces Day.
US says EU must leave door open for Turkish membership
The European Union must leave the door open for Turkish membership after
the failure of the Clerides-Denktash talks in Glion-sur-Montreux, State
Department spokesman James Rubin said yesterday.
Although the official stressed that the decision for the admission of new
members belongs to the Union itself, he said that "maintaining the hope of
accession -for Cyprus and Turkey- is an encouragement that would improve
the chances for settling the C yprus problem".
Mr. Rubin described the talks in Switzerland as "useful", and expressed the
view that the Cyprus problem will not be solved easily given "the passions
and the strong emotions it generates".
The American official added that further talks of the same type should not
be expected before presidential elections in Cyprus in February.
Questioned on the role of President Bill Clinton's emissary, Richard
Holbrooke, Mr. Rubin said that Mr. Holbrooke was having deliberations with
European officials and would go to Cyprus in autumn.
President, Defence Minister messages on Armed Forces' Day
The President of the Republic Kostis Stephanopoulos said in a message for
the day that the armed forces are "guarantors of our country's security,
stability and integrity in the crucial period of varied positive and
negative challenges we are going throug h".
"Greece, as an equal member of the European Union for a number of years, a
country with respect for the principles of international law and international
legality, and with a buttressed democratic system, constitutes a factor of
stability, security and tranquillity in the broader geographical region".
Defence Minister Akis Tsohatzopoulos said in a message that the restructuring
of the armed forces, the boosting of their operational potential, and the
modernisation of the means required for the implementation of the country's
defence policy are among the measures designed "to secure Greece's
deterrent potential against any country that would dare dispute its
territorial integrity".
"The Greek people know the dedication of the armed forces to their task,
and shoulder the big sacrifices required for their strengthening with
modern equipment," he added.
After attending celebrations on the island of Tinos yesterday, Mr.
Tsohatzopoulos reiterated that "there is nothing for negotiation in the
Aegean. There is peace and stability, and there is international law and
treaties, which set the non-negotiable character of Greek rights in this
region ... Our neighbours on the other side of the Aegean have the
obligation to respect international law and treaties".
Ecumenical Patriarch visits island of Chios
Orthodox Ecumenical Patriarch Vartholomeos I, who is currently on a three-
day-visit to the Aegean island of Chios today, is due to travel to the
United States in October.
The Patriarch, guest of the island's Gum Mastic Growers' Association,
attended a service at the cathedral of Saints Minas, Victor and Vikentius.
He will be offered locally-produced gum for the preparation of Holy Oil,
used by the church in christenings and other consecrations. Chios island is
famous for its unique aromatic gum, known as "masticha", which is the base
for the production of chewing gum, sweets and other confections as well as
a local aperitif by the same name.
Meanwhile it was announced that the spiritual leader of the world's 300
million Orthodox Christians, will visit the United States for one month,
starting in October.
According to a visit schedule obtained by the ANA, the Patriarch will begin
the tour, his first of the US, on October 19 and return to his See on
November 17.
During his visit, the Patriarch will meet with Orthodox, Catholic, Jewish
and Moslem leaders, and hold talks with US President Bill Clinton, UN
Secretary General Kofi Annan, and US Secretary of State Madeleine
Albright.
Britain's Princess Diana on private visit to Greece
Britain's Princess Diana arrived in Athens yesterday for a private visit,
informed sources said.
Princess Diana arrived at Athens International Airport at 17:45 on a
private Gulfstream jet, but the purpose of her visit was not immediately
known.
Last September, the princess visited the village of Limni on the island of
Evia to attend the funeral of a 27-year-old lawyer, Yannis Kalyviatis, who
died of cystic fibrosis.
The princess had been acquainted with Kalyviatis when he was being treated
at a London hospital. Princess Diana visited Kalyviatis in the context of
her worldwide humanitarian activities.
Greek stocks rangebound in scant holiday trade
Greek equities moved in a narrow range in the last trading session of a
short week on the Athens Stock Exchange on Thursday, with investors more
interested in a three-day holiday which started yesterday.
The general index closed 0.21 percent higher at 1,645.81 points, showing a
0.39 percent gain on the week. Sector indices were mixed. Banks fell 0.17
percent, Leasing eased 0.22 percent, Insurance rose 1.19 percent,
Investment increased 0.36 percent, Ind ustrials rose 0.93 percent, Holding
was 0.46 percent higher and Miscellaneous fell 0.47 percent.
The parallel market for smaller companies ended 0.98 percent higher.
Trading remained thin and turnover was 8.3 billion drachmas. On a weekly
basis, average turnover was 9.6 billion down from 10.9 billion drachmas the
previous week. Broadly, advancing issues led declining ones by 107 to 93
with another 35 issues unchan ged.
Meanwhile, a Solomon Brothers report released yesterday says that the Greek
bourse is likely to regain its ranking among the top ten emerging markets
despite a summer lull. The Athens market has held its ground among emerging
markets with a 40 percent yield in dollar terms, the international
investment house said.
It said the bourse's current P/E ratio of 12 was high. Low turnover
expected in August was likely to rise in coming months, accompanied by a
correction in prices.
Weather
Mostly fine weather with mild northerly winds is expected for most of the
country for the weekend. Northern mountainous regions will be cloudy and
the possibility of rain and local thunderstorms is forecast for later in
the day, on Saturday and Sunday. Athens and Thessaloniki can expect a
mostly fine day on Sunday, with temperature ranges 19-32C and 18-30C
respectively.
Foreign Exchange
Thursday's closing rates - buying US dlr. 288.103
Pound sterling 455.529 Cyprus pd 531.999
French franc 46.478 Swiss franc 189.724
German mark 156.679 Italian lira (100) 16.015
Yen (100) 246.867 Canadian dlr. 206.299
Australian dlr. 213.592 Irish Punt 416.048
Belgian franc 7.588 Finnish mark 52.289
Dutch guilder 139.091 Danish kr. 41.146
Swedish kr. 35.892 Norwegian kr. 37.756
Austrian sch. 22.274 Spanish peseta 1.853
Port. Escudo 1.544
(K.G.)
