Athens News Agency: News in English (PM), 98-05-07

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From: The Athens News Agency at <http://www.ana.gr>

NEWS IN ENGLISH

Athens, Greece, 07/05/1998 (ANA)

MAIN HEADLINES

• Simitis restates commitment to euro
• Greece denies PKK office charge
• April inflation up to 5.3%
• Tight security on Rhodes for WEU summit
• Pessimism about less tension in Aegean
• New plans for Greek Post Offices
• Hopes for a Karadzic support group
• Scuffles at teachers' rally
• Albanian PM in Thessaloniki tonight
• State-run Ionian Bank to be sold through bourse
• Athens' priorities for CoE presidency outlined
• Kranidiotis criticises latest Holbrooke mission
• Gov't, PASOK delegation to visit US
• Cyprus-Greece cooperation 'excellent', Clerides says
• Finnish House speaker in Athens today
• Piraeus mayor jailed over financial irregularities
• Gov't denies friction with new Archbishop
• Weather
• Foreign exchange

NEWS IN DETAIL

Prime Minister Costas Simitis today reiterated the government's determination to forge ahead with its plan to align the economy with other European Union countries in order to secure entry to the 15-nation bloc's single currency in 2002. Simitis was speaking at a news conference to explain the outcome of an EU summit last weekend that allowed 11 member states, Greece not included, to launch economic and monetary union (EMU) on January 1, 1999.

Greece denies PKK office charge

"There are no offices of the Kurdistan Workers' Party (PKK) in Greece, nor does such a matter exist," Foreign Ministry spokesman Kostas Bikas said today in a written statement. However, he added, "there are in Greece, as in nearly all the other EU countries as well as in the United States, offices of Kurdish political organisations". Bikas was replying to a statement Wednesday by US State Department spokesman Lee McClenny that the United States was "seeking Greek government views" on whether or not a PKK office was being established in Greece.

April inflation up to 5.3%

Inflation shot up to 5.3 per cent in April, from 4.6 per cent the previous month when the drachma was devalued by 14 per cent in order for the national currency to join the European Union's exchange rate mechanism. Announcing the figure today, the National Statistics Service (NSS) expressed the view that all the price increases resulting from the devaluation had now been absorbed by the market and inflation was likely to revert to its downward course in May.

Tight security on Rhodes for WEU summit

Greek authorities threw a tight security cordon on the Rhodes Palace hotel complex today ahead of the Western European Union summit meeting of 54 foreign and defence ministers beginning on the Dodecanese island on Monday. Four hundred and fifty police officers will be flown in from Athens for the summit, while frogmen will patrol the waters off the coast of the island, where the complex is located.

Pessimism about less tension in Aegean

National Defence Minister Akis Tsohatzopoulos said today he was pessimistic about the prospects of Athens and Ankara coming to some agreement on confidence-building measures (CBMs) in the Aegean and clarified he would not be discussing the issue with NATO Secretary-General Javier Solana in Rhodes. Solana is scheduled to arrive in Greece on Friday ahead of a two- day Western European Union foreign and defence ministers meeting on Rhodes which begins on Monday.

New plans for Greek Post Offices

The business plan for the streamlining of the Hellenic Postal Service (ELTA) includes departmental transfers of employees to meet the needs that will arise in the restructuring of the organisation, but there will be no dismissals, according to statements by National Economy and Finance Minister Yannos Papantoniou and Transport Minister Tassos Mantelis after a meeting during which the plan was approved.

Hopes for a Karadzic support group

The brother of Radovan Karadzic, the former Bosnian Serb leader indicted by the United Nations war crimes tribunal, arrived in Thessaloniki today to establish a support committee to look into the veracity of the claims against his brother. Luca Karadzic, accompanied by Alexandros Lykourezos, Karadzic's attorney, arrived in the northern capital today and was expected to hold a news conference on the issue later. In statements to reporters, he said he was confident that the International Court would absolve his brother of all charges.

Scuffles at teachers' rally

Riot police used tear gas and batons to prevent a teachers' protest march from reaching a press conference being given by Prime Minister Costas Simitis in the centre of Athens today. Protesters clashed with the police near the parliament building after being blocked from marching to the nearby Zappion Hall where Simitis was giving a press conference on the government's positions regarding economic and monetary union (EMU).

Albanian PM in Thessaloniki tonight

Albanian Prime Minister Fatos Nano arrives this afternoon in Thessaloniki, invited by the Federation of Industries of Northern Greece (SBBE), to address Greek businessmen on investment potentials in his country. SBBE sources that Nano's address on the Albanian economy and investment potential was of great interest to the business community given the recent signs of economic recovery in Albania and the ongoing issue of international tenders for the construction of major public works there, in which many Greek construction companies have expressed interest.

State-run Ionian Bank to be sold through bourse

The government said yesterday it will sell Ionian Bank, a subsidiary of state-run Commercial Bank, through a bidding process on the Athens Stock Exchange. National Economy and Finance Minister Yiannos Papantoniou announced the decision after talks with the chairmen of Ionian and Commercial Banks. Both banks are listed on the bourse. Under the plan, Commercial Bank, which holds a 62 per cent stake in Ionian Bank, will offer a majority stake through the bourse.

Athens' priorities for CoE presidency outlined

Alternate Foreign Minister George Papandreou yesterday outlined the priorities of Athens' Council of Europe (CoE) presidency, as Greece is set to assume the six-month rotating presidency from Germany. He noted that Greece will promote decisions of the 102nd conference of the CoE's Ministerial Committee, which concluded here yesterday.

Kranidiotis criticises latest Holbrooke mission

Foreign Undersecretary Yiannos Kranidiotis yesterday criticised US presidential envoy for the Cyprus problem Richard Holbrooke for not having exerted appropriate pressure on the Turkish Cypriot side. Mr. Kranidiotis was speaking before the parliamentary foreign affairs committee on Holbrooke's failure last weekend to restart reunification talks on Cyprus.

Gov't, PASOK delegation to visit US

A joint government and ruling PASOK delegation begins a six-day visit in the United States today, headed by party secretary Costas Skandalidis. Activities during the visit include participation of a conference on expatriate Greeks and a conference of PASOK branches in North America, focusing on finalising the partyYs organisational shape.

Cyprus-Greece cooperation 'excellent', Clerides states

President Glafcos Clerides has reiterated that cooperation with Athens is "perfect" and fully backed Greek government policy on the Cyprus question. In a written statement, the president also thanked Greece for its unwavering support in Cyprus' efforts to find a peaceful settlement of the Cyprus question, adding that bilateral ties should be safeguarded at all costs.

Finnish House speaker in Athens today

The Finnish president of Parliament Ritta Maria Uosukainen begins a three- day official visit to Greece today, on the invitation of Parliament President Apostolos Kaklamanis. Ms Uosukainen is scheduled to meet with President Kostis Stephanopoulos, Kaklamanis and Foreign Minister Theodoros Pangalos,

Piraeus mayor jailed over financial irregularities

Piraeus Mayor Stelios Logothetis was remanded in custody yesterday after being charged with seven offences, including embezzlement of 1 billion drachmas from the municipality's coffers. The reasoning for the decision was that Mr. Logothetis might commit further offences.

Gov't denies friction with new Archbishop

The government yesterday denied press reports citing friction between Prime Minister Costas Simitis and newly appointed Archbishop of Athens and All Greece Christodoulos. "There is no such issue," government spokesman Dimitris Reppas said, commenting on press reports claiming the fact that Mr. Simitis would not be attending the prelate's enthronment ceremony on Saturday.

WEATHER

FOREIGN EXCHANGE

(M.P.)

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