Athens News Agency: News in English, 06-09-10

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

CONTENTS

[01] Reform is a 'one-way street', prime minister tells press conference in Thessaloniki

[02] Main opposition sees blanket gov't failure

[03] Thessaloniki pavilions, events launched

[04] Premier welcomes ANA-MPA's performance

[01] Reform is a 'one-way street', prime minister tells press conference in Thessaloniki

"There are not many roads to success, although there may be differing opinions and tactics, but reform is a one-way street," Karamanlis told the premier's annual across-the-board news conference at Thessaloniki international trade fair.

"I don't believe in talk of the political cost, and it is has no relevance to me," he stated.

As Greece was lagging in productivity and efficiency, improvement would lead to a rise in wealth and output, benefitting the public's standard of living.

"The country has to move forward and it needs change and reform," the prime minister underlined.

He also ruled out early national elections. "In my (economic policy) speech yesterday you will have ascertained that we have a full agenda for this coming period of time, and I have no other thought (early polls) in my mind."

In addition, the economy would not be held hostage to concessions before local elections in October, which would lead to a vicious circle.

"I have no political or moral right to mortgage the country's future, and at a time when we lean towards tidying up the economy," Karamanlis noted.

"The government is keeping its pledges (from March 2004 elections) and will continue to do so. Adhering to pledges is one thing and election concessions are another. The country has paid dearly for this phenomenon, and we must show that we are mature enough to take a step forward," he added.

Education reform key to future

The premier said he was unhappy with a decision by political parties and political trade union tendencies to withdraw from talks with the government on educational reform, which he termed key to the future.

"These are trade union ploys of the old school....During talks, the government was criticised for not stating its position. But when we produced a draft, we were asked to begin talks from a zero basis," he complained. "Something has to change in education, as the chief means of producing wealth is the use of knowledge."

Investor interest in Olympic Airlines

Asked to comment on the future of Olympic Airlines, Karamanlis reported that investor interest existed and the government still supported privatisation of the embattled operator - but stumbling blocks remained.

"Despite an onerous legacy of wasteful spending and mismanagement, there is also an enormous complex of legal problems. Tough, lengthy negotiations are being conducted with the European Union on this issue," he noted.

Zero tolerance of corruption

The prime minister repeated that there was zero tolerance of state corruption, for which a head-on approach was employed.

At the same time, corruption could not be eliminated from one day to the next.

"The government is bolstering mechanisms that will reduce the opportunities for corruption. And breach of faith in services has been made into a crime from a misdemeanour," he noted.

Furthermore, a new system of tendering public works has been introduced and the powers increased of inspectors of public administration, who now had the right to check the means declaration of supervisors in town planning authorities and tax offices.

"At the same time, I'm not satisfied yet, but the drive is continuing. Only in 2005, 43 civil servants were dismissed from the disciplinary council, and 33 in the first half of 2006," the premier reported.

"The whole of society has to contribute to this effort, so that instances of corruption may decline," he added.

No sign of opposition to oil pipeline

Asked if the USA was anxious about a plan to build a pipeline that would carry Russian oil to Greece through Bulgaria, Karamanlis replied: "I have no indication that any country has a differing view."

The prime minister said that the project was of historical significance, partly due to the function it would perform, and partly because it had been delayed for around 13 years.

Drive to curb tax evasion

High on the government's agenda was a campaign to crack down on tax evasion as part of moves to tidy up the economy, Karamanlis reported.

At the same time, the new drive would not incorporate blanket tax burdens or tax measures.

"A great attempt has been made at fiscal adaptation, which is clearly recognised by the European Commission. This drive is continuing...Our aim is to reduce public spending...This year for the first time, the deficit will fall below 3% of gross domestic spending," the premier said.

Joblessness still too high

Turning to unemployment, Karamanlis reported that progress had been made but the jobless rate was still high at 9.7% in the first half of 2006.

"We will lower the rate, but in order to achieve that we must go ahead with our policy. Unemployment can only be tackled by growth, which generates jobs and attracts investment," he added.

[02] Main opposition sees blanket gov't failure

Papandreou told an open rally in the northwestern town of Ioannina that the government's incompetence was revealed in Prime Minister Costas Karamanlis' annual economic policy speech and across-the-board news conference at the weekend.

"(Revealed) are his failure in all areas, his inability to handle major issues of the time, his removal from the day-to-day problems of Greeks, his indifference to the income of Greek citizens, indifference to what Greek citizens experience very day," the PASOK leader claimed.

"With the premier's speech in Thessaloniki, the government's cycle has ended," he forecast.

The government was also incapable of cracking down on corruption, lowering inflation, boosting regional growth, reforming education, handling the country's social insurance problem, and curbing high consumer prices along with profiteering by banks, Papandreou charged.

"When the premier pledges a rise in a low-pension supplement and farmers' pensions, he conceals the fact that the money is (already) owed by the government, and that increases promised today are no more than backdated cheques, money taken over 2.5 years from the pockets of Greek working people and pensioners," he stated.

Turning to tax relief and exemption promised by the government for the public, Papandreou claimed that major assistance had been given to the wealthy totalling one billion euros a year as evidenced in legislation since Karamanlis assumed power.

Earlier, Papandreou spoke in the northwestern town of Preveza.

Other opposition parties, unions counter PM

The Communist Party of Greece (KKE) on Sunday criticised Prime Minister Costas Karamanlis for statements he made at an annual across-the-board news conference earlier in the day.

"The premier condemned people who do not take part in the so-called social dialogue. As far as the party is concerned, we repeat: The KKE does not take part in 'dialogue' that has a pre-determined outcome and whose aim is to strip workers and the people of their rights," the party said in a statement.

Turning to Karamanlis' annual economic policy speech on Saturday at Thessaloniki international trade fair, the party claimed that "big capital had cause to rejoice," as expounded in over two thirds of the oration.

In Larissa, KKE leader Aleka Papariga told a news conference that the party was radically opposed to both the ruling New Democracy party and the main opposition Panhellenic Socialist Movement.

"New Democracy is consistent in serving the oligarchy of the wealthy, scattering a few crumbs and bits of tax relief to people on low wages and pensions in order to make a good impression and pull votes," Papariga complained.

The Coalition of the Left, Movements and Ecology shrugged off the prime minister's annual economic policy speech.

"It's a great mistake that the trade fair is held in early September. It should take place at the beginning of April. Only on April Fool's Day would you hear so many lies," party leader Alekos Alavanos replied to a reporter's question.

"The prime minister gave a picture of an idyllic Greece, failing to inform us that out of the 10 basic economic indicators for social protection, poverty, education and research, Greece comes last in the EU-15," Alavanos stated.

According to the General Confederation of Workers of Greece (GSEE), the content of Karamanlis' speech had totally disillusioned people on low wages and pensions but pleased the wealthy.

"Working people have given a Red Card to the government's economic policy, and they will do the same with the 2007 budget," GSEE leader Yiannis Panagopoulos told a news conference.

The head of the ADEDY civil servants union, Ilias Vrettakos, said that real incomes for his members had shrunk.

In a second day Saturday of protests outside the trade fair, one person was detained by Thessaloniki police and another 69 released after hooded youths threw fire bombs at parked cars, set fire to garbage cans, and smashed windows.

The rioting followed a peaceful march to protest against the government's economic policy arranged by GSEE and ADEDY.

[03] Thessaloniki pavilions, events launched