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Cyprus News Agency: News in English, 10-05-05

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From: The Cyprus News Agency at <>




    Negotiations between the leaders of the two communities in Cyprus, aiming to solve the Cyprus problem and reunify the island, will resume on the 26th of May. According to an announcement by the United Nations Peacekeeping Force in Cyprus (UNFICYP), Cyprus talks will resume on Wednesday, 26th of May at 10 am local time (0700 GMT) at the United Nations Protected Area in Nicosia.

    This announcement comes following consultations between the Special Adviser of the Secretary General on Cyprus, Alexander Downer, and the leaders of the two communities,`` UNFICYP said.

    Cyprus has been divided since 1974, when Turkey invaded and occupied its northern third. Cypriot President Demetris Christofias and former Turkish Cypriot leader Mehmet Ali Talat began in September 2008 UN-led talks for a mutually agreed settlement to the problem of Cyprus, divided since 1974 when Turkey invaded and occupied its northern third. The process was interrupted on March 30 because of the so-called elections for a new Turkish Cypriot leader, which Dervis Eroglu has won.


    Israel supports a solution of the Cyprus problem based on UN resolutions and EU principles and values, President of the House of Representatives Marios Garoyian has said, after a meeting he held in Jerusalem with President of Israel Shimon Perez. Garoyian, who is paying Israel a three - day official visit, at the invitation of his Israeli counterpart, Reuven Rivlin, said after the meeting with President Perez that they discussed the Cyprus problem, ways to further enhance relations between Cyprus and Israel in the fields of economy, tourism, science and culture, the Middle East issue, as well as the prospects for the resumption of dialogue between Israel and Palestinians.

    Regarding the Cyprus issue, he said that Israel supports the Republic of Cyprus in the framework of the UN and other international fora and always stresses that the solution of the Cyprus problem must be based on the UN resolutions, the principles and values of the EU. Noting that Israel has a firm policy of principles in international fora, Garoyian expressed the view that the further enhancement of bilateral relations would contribute to the wider efforts for peace, security and stability in the wider Middle East region.

    The Republic of Cyprus is a peaceful country, we have excellent relations with all our neighbors and with the Arab world and with Israel and we can remain the bridge which can help efforts for peace in the wider region, he said. Garoyian said that the Israeli President showed special interest in science and the ways to further enhance bilateral cooperation, adding I believe that there are possibilities to intensify our contacts on all levels.

    Earlier, Garoyian held a meeting with his Israeli counterpart, Speaker of the Knesset Reuven Rivlin, with whom he discussed the Cyprus problem, the Middle East issue, the prospects for the resumption of the dialogue between Israel and Palestine and other regional issues. During the meeting, the two delegations agreed to have closer contacts on the level of their parliaments.


    Cyprus GDP growth is expected to average at -0.4% in 2010 and at 1.3% in 2011, according to the European Commission Spring Forecast, published today. Inflation is expected to reach 2.7% in 2010 and 2.5% in 2011.

    According to the forecast unemployment is expected to increase by 1.4% in 2010 and reach 6.7% and in 2011 it is expected to reach 7.0%. Budget deficit is expected to reach 7.1% of GDP in 2010, compared to 6.1% in 2009. The deficit is set to increase further to 7.7% of GDP in 2011.

    The Commission spring forecast confirms that economic recovery is in progress in the EU. After having experienced the deepest recession in its history, the EU economy is set to grow by 1% in 2010 and 1.7% in 2011. ``The improved outlook for economic growth this year is good news for Europe. We must now ensure that growth will not be derailed by risks related to financial stability. Sustainable growth calls for determined fiscal consolidation efforts and reforms that enhance productivity and employment, EU Commissioner for Economic and Monetary Affairs, Olli Rehn, said.


    Minister of Communications and Works Erato Kozakou Markoullis has met with European Commission Vice President responsible for Transport, Siim Kallas to whom she underlined Cyprus important role in merchant shipping in Europe as well as worldwide, noting that the Cypriot ship registry ranks third in Europe and tenth in the world.

    She also briefed the EU Commissioner about Turkey`s embargo imposed on vessels carrying the Cypriot flag, which affects Cyprus` shipping economic interests and as a result EU interests. During their meeting, they discussed about the new Commissions programme in the area of transport as well as Cyprus role in 2012 when the Mediterranean island will take over the EU rotating presidency for the first time.

    Markoullis informed the EU official about Cyprus preparations ahead of the assumption of the EU presidency and expressed her readiness to cooperate closely with the Commission to promote the goals set by the Commissioner in the field of transport.

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