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Athens News Agency: Daily News Bulletin in English, 06-10-12

Athens News Agency: Daily News Bulletin in English Directory - Previous Article - Next Article

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

October 12, 2006

CONTENTS

  • [01] PM: 82pct of 4th CSF funds for Greece will go to the regions
  • [02] Minister adamant as striking teachers march in central Athens
  • [03] Alavanos again urges government to talk with striking teachers
  • [04] Interior ministry readies for local gov't elections
  • [05] PASOK leader Papandreou reiterates scathing attack against gov't
  • [06] Athens mayoral candidate Spyros Halvatzis addresses rally
  • [07] KKE leader: Education situation must be factor for local gov't voting
  • [08] FM spokesman replies to Ankara on 'derailment' of Turkey's EU candidacy
  • [09] Deputy FM Yiannis Valinakis holds talks with German SPD delegation
  • [10] ND's Kostis Hatzidakis among Eurodeputies awarded by 'Parliament Magazine'
  • [11] Foreign ministry spokesman condemns arson attack on Turkish embassy employee's car
  • [12] Deputy defense minister meets Georgia's ambassador to Athens
  • [13] Reform policy must have clear targeting, FinMin says
  • [14] FM puts Greece-UK trade at more than 2.6 bln euros in '05
  • [15] Greek economy grew 4.1 pct in 2nd quarter, yr/yr, Eurostat
  • [16] Analyst sees inflation slipping
  • [17] Grey economy seen at 30% of GDP
  • [18] PASOK deputy criticizes government's agricultural policy
  • [19] President Papoulias receives board of Light Industry Chamber of Piraeus
  • [20] Greek-Turkish trade ties booming, report
  • [21] International Convention Association to hold conference in Rhodes
  • [22] Greece, Cyprus launch trading platform Oct 30 (ADDS)
  • [23] Athens Bourse Close: Stocks rise
  • [24] Traffic on main north-south axis restored
  • [25] Interior Minister Pavlopoulos chairs meeting on floods in Magnisia Prefecture
  • [26] Agricultural development minister visits flood-hit areas in central Greece
  • [27] Country on alert for possible reappearance of bird flu
  • [28] Trikala police dismantle international drug trafficking ring
  • [29] Illegal migrants arrested on Samos
  • [30] Festival of Greek cuisine debuts at UN
  • [31] Russian cultural events next year in Athens
  • [32] Chinese sport journalists visit Olympic Stadium, ERT
  • [33] Greece beats Bosnia 4-0 away in Euro 2008 Championship qualifier
  • [34] Nicosia awaits final Finnish proposals before replying, says spokesman
  • [35] EU Commission President: Turkish signals on Cyprus not positive
  • [36] Responsibilities for air crash will be attributed, says spokesman

  • [01] PM: 82pct of 4th CSF funds for Greece will go to the regions

    ATHENS, 12/10/2006 (ANA/MPA)

    An overwhelming 82 percent of the funds that Greece will receive from the EU's Fourth Community Support Framework (CSF) will be earmarked for regions outside the capital, while only the remaining 18 percent will go to Attica, Prime Minister Costas Karamanlis announced after a Cabinet meeting on Wednesday.

    The Cabinet, chaired by Karamanlis, met Wednesday with the distribution of the 4th CSF funds as the exclusive item on the agenda.

    The premier noted that, after long and tough negotiations, the total CSF funding package for the country amounted to 36.4 billion euros and would be drawn from the 4th CSF, which covers the period 2007-2013, EU structural funds and other financial instruments.

    The funds secured for Greece from the EU's three Structural Funds came to 20.4 billion euros while, together with the funds to be received from the agricultural development and the fisheries financing instruments, the EU's overall participation in the 4th CSF funding to Greece was 24.4 billion euros. Adding the national participation in the funding, the total CSF sum for Greece was 36.4 billion euros, Karamanlis clarified.

    Of that total, the prime minister continued, 42 percent would be channeled to infrastructure development, 21 percent to innovation, digital convergence and competitiveness, 12 percent to employment, 14 percent to the education sector and 4 percent to health.

    Apart from the above funds, which were dedicated to structural measures, Greece would also be receiving additional funds from agricultural subsidies up until 2013 under the new CAP, amounting to 18 billion euros.

    "In other words, the agricultural population will have a total of 22 billion euros at its disposal. We can also draw an additional sum of about 2.3 billion euros from the 7th Research and Innovation Framework Program," the prime minister pointed out.

    Karamanlis said that utilization of the CSF resources would guarantee competitiveness and dynamic growth, stressing that management of the resources would be conducted with transparency and efficiency.

    The premier also emphasized that the government had specific economic and social goals, as well as a plan for achieving them.

    "We are already following a concerted plan of changes and reforms to the structures of the state and the economy, to education and to health. We have established a new developmental model and are continuing the reforms required for its improvement," he said.

    Regarding the work being done in regional areas, Karamanlis stressed that the government's goal was to diffuse development to all sectors of the economy and all regions in the country:

    "Our ultimate goal is constant growth of the domestic product produced, the creation of new jobs and to ensure an increasing social dividend to support the economically weaker," the premier said.

    Referring to the National Strategic Reference Framework (NSFR) for 2007-2013, Karamanlis said that this was the result of hard work and a carefully coordinated effort by the finance ministry, as well as unprecedented levels of collaboration with Greece's EU partners, and stressed that making full use of this was a "national challenge".

    "It is the government's unswerving wish, as well as that of all the EU partners I believe, to not repeat the mistakes and omissions of the past, which came at such a high cost," he emphasized.

    To this end, the NSRF had been given a more flexible and simplified form with fewer programs but better implementation structures, he added.

    Addressing his government, Karamanlis called for maximum speed, efficiency but also transparency in the handling of the Community funds flowing into Greece.

    "Your choices must be informed by contemporary views on development, they must ensure autonomous and executive management and guarantee efficient decentralization of their execution to a few and capable bodies," he stressed.

    He also underlined the government's determination to continue reforming the long-term weaknesses of the state in order to provide better services to citizens and businesses, constantly improve the developmental model and increase support to the regions along the lines of the Lisbon Strategy.

    "I call on you to work systematically, intensively and in concert. We must create the terms and conditions that are needed for Greece to break away from the stragglers and find itself among the leaders of the EU," he urged ministers.

    PASOK party criticizes PM over 4th CSF: The main opposition PASOK party's economic sector commented on Wednesday on statements made by Prime Minister Costas Karamanlis on the 4th Community Support Framework (CSF), saying that "four days before the municipal and prefecture elections Karamanlis remembered to convene the cabinet on the issue of the 4th CSF."

    "The political expediency is obvious. The government is seeking a plank of communication salvation in the gloomy social and economic climate that is continuously worsening as a result of its policy," it said.

    "Characteristic of the interest of Mr. Karamanlis in the development of the country and the countryside is that he has not convened even one cabinet meeting on the dramatic state in which the 3rd CSF has found itself and for which the percentage of absorption is 46 percent almost two years before its end," PASOK added.

    KKE, Coalition parties comment: The Communist Party of Greece (KKE), commenting in an announcement on statements made by Prime Minister Costas Karamanlis after a cabinet meeting on Wednesday, said that "the prime minister's announcements on the 4th Community Support Framework are a repetition of previous announcements by the ND government and the PASOK government."

    KKE added that "the prime minister's claim that the main bulk of funding will be directed to regions in the countryside is a mockery for working people and the working classes in countryside regions and creates groundless expectations."

    Coalition of the Left, Movements and Ecology (Synaspismos) party Political Bureau member Panayiotis Lafazanis said that "Mr. Karamanlis, instead of explaining the reasons for the failure of the 3rd CSF to us, from which considerable funds will be lost, tried unsuccessfully to beautify the prospects of the 4th CSF on economic and social development."

    He further said that "Greece is the country, also according to the data of the EU, that holds the record in the systematic wasting of EU funds, without a corresponding productive, development and social result."

    [02] Minister adamant as striking teachers march in central Athens

    ATHENS, 12/10/2006 (ANA/MPA)

    The government will not take one step backward regarding teachers' demands, Education Minister Marietta Yiannakou stressed in a statement to reporters on Wednesday.

    "Let them understand this. [The government] is under political attack. There are specific political groups that want social upheaval. They are supporting an affair that is on the wane," she said after a meeting of the Cabinet.

    She also asserted that the number of high schools taken over by students did not exceed 5 percent, though this was also a problem.

    "In every school, the take over is being carried out by one or two teachers, four or five construction workers and five or six students," she added.

    In central Athens, a protest rally announced by striking primary and kindergarten teachers got underway at noon, with the participation of teachers from high schools and universities and students.

    Also represented were workers in the private sector and broader public sector, after the civil servants union ADEDY called a 24-hour strike in solidarity with teachers and the General Confederation of Employees of Greece (GSEE) voted for a four-hour work stoppage in Athens and Thessaloniki to allow workers to attend.

    The rally, held in support of primary teachers' demands for substantial pay rises (of up to 47 percent for newly appointed teachers) and an increase in funding for education to 5 percent of GDP, began at Syntagma Square and was followed by a march through central Athens that ended back at Syntagma, where the protestors dispersed.

    Responding to the minister's statements, the head of the primary teachers' union (DOE) Dimitris Bratis said they were adding "fuel to the flame" and disagreed that teachers were waning in their resolve, calling all teachers and students to attend the next rally program for the coming week.

    The head of the high school teachers' union OLME, Grigoris Kalomiris, denied that teachers were inciting school takeovers and demanded that the minister either retract or resign.

    A march and rally was also held in the northern Greek city of Thessaloniki, attended by teachers, university staff and students from some 30 high schools that have been taken over by protesting pupils.

    Primary school teachers are now in the midst of the fourth straight week of strike action, begun just days after the school term started. Apart from the base pay increase, which teachers' say is a demand shared with all public-sector staff, another bone of contention with the government is a €105 benefit that was promised to them and not paid.

    The government has so far offered to give the benefit incrementally, in six-month installments spread over three years that would cut the amount teachers' want by about two thirds. Teachers are adamant that they will not back down, while the government is equally adamant that it will not give in, stressing that it doesn't have the funds to meet the 47% pay rise teachers are demanding.

    The labor mobilization has latterly been joined by high-school teachers, who held 48-hour strikes in the past weeks, and was this week complicated by high school takeovers that raise a new set of demands over university entrance examinations and the curriculum.

    Statements by Education Minister Yiannakou: National Education and Religious Affairs Minister Marietta Yiannakou, following the Cabinet meeting on Wednesday, told reporters that from the total distribution of the 4th Community Support Framework (CSF) funds, the Education Ministry will receive 14 per cent, against just seven percent from the 3rd CSF.

    The minister noted that "the government is keeping its pre-elections promises, and this is why it has determined on how the subsidy of 105 euros will be given to teachers."

    Yiannakou added that "the government is not retreating from the positions it has already announced."

    On the take-over of schools, she said that "there are very few schools in which a minimal number of pupils and teachers are declaring take-overs, often with irrelevant accusations."

    Yiannakou noted that "the amendment of the Constitution is exclusively the duty of Parliament and consequently, it is not possible for certain individuals to want to abolish Parliament through any form of protests."

    The Teachers' Union is scheduled to meet with Yiannakou on Tuesday.

    PASOK attributes responsibility to gov't over teachers' strike action: Main opposition Panhellenic Socialist Movement (PASOK) spokesman Nikos Athanassakis on Wednesday stated that "the strikes in the education sector are due to the intransigence, authoritarianism, the lack of dialogue and to the so-called reforms of the government."

    The PASOK spokesman added that "the government is intentionally causing tension and is making an effort to exploit the tension which itself created, either by turning parents against teachers, or by turning the working people with lower income against the teachers, or by turning social classes against opposition parties."

    [03] Alavanos again urges government to talk with striking teachers

    ATHENS, 12/10/2006 (ANA/MPA)

    Coalition of the Left, Movements and Ecology leader Alekos Alavanos on Wednesday repeated an appeal to the government to begin talks with striking primary and kindergarten teachers, presenting its own counter-proposals to their demands that were not "humiliating".

    During a tour of Piraeus, during which he visited the campaign centers of candidates supported by his party, he referred to the city's persistent problems, which he said had yet to be solved.

    He also expressed his support for protests by high school students who have taken over their schools, saying that the Coalition considered them "mature enough to have their own opinions on education issues and generally," so that they did not need someone to incite or guide them.

    [04] Interior ministry readies for local gov't elections

    ATHENS, 12/10/2006 (ANA/MPA)

    The public administration and interior ministry continued to gear up this week for Sunday's first-round municipal and prefectural elections throughout the country, with relevant Minister Prokopis Pavlopoulos on Wednesday briefing reporters presenting, among others, the IT system to be used during the poll.

    Additionally, several four-digit phone numbers were announced to provide information to voters, as the number for the Athens municipality, for instance, is 1564.

    The Internet site for information is the "YPESDA" site. The IT system was purchased from the firm Singular Logistic.

    [05] PASOK leader Papandreou reiterates scathing attack against gov't

    ATHENS, 12/10/2006 (ANA/MPA)

    Main opposition Panhellenic Socialist Movement (PASOK) leader George Papandreou on Wednesday evening launched a stinging attack against the government during a speech he gave at an open political rally in Piraeus' district of Nikea, ahead of this Sunday's local government elections.

    Papandreou said that "the country does not deserve the course it has taken," adding that "the Karamanlis government trembles from the indignation of the Greek people over the lies, hypocrisy, the distain of Greece, and a government which has no self-respect."

    The PASOK leader said that "the government is closing its cycle," while in another point of his speech and in reply to the slogan "down with the junta of (Prime Minister Costas) Karamanlis," he said that "it is not a junta, but it betrayed the democratic mandate of the Greek people and this is why in the (next) general elections the people will ask of PASOK to undertake the country's helm."

    Papandreou accused Prime Minister Costas Karamanlis that "he is hiding from the problems and is hiding the truth" and that "the (ruling) New Democracy (ND) cannot take the country forward because it has been proven that it does not serve Greece, it simply serves its own people."

    Referring to the crisis in the education sector, Papandreou said that "the ND's policy cannot deal with the problem of education."

    The PASOK leader accused the prime minister of an "irresponsible stance" in the handling of the country's economic matters and spoke of an "'alchemy' with the increase of the Gross Domestic Product (GDP) which places the country in danger of losing enormous sums from the Community Support Framework (CSF), but also of paying retroactively many billions of Euros."

    [06] Athens mayoral candidate Spyros Halvatzis addresses rally

    ATHENS, 12/10/2006 (ANA/MPA)

    Athens mayoral candidate Spyros Halvatzis, backed by the Communist Party of Greece (KKE) and other leftist groups, addressed a rally at the Pedion tou Areos Square in Athens on Wednesday evening, calling on voters to vote against bipartisanship and the compromise policy of the Coalition of the Left, Movements and Ecology.

    Halvatzis said that "a vote for New Democracy means that popular achievements at social and economic level will be brushed aside", while "a vote for PASOK will facilitate its leadership in utilizing the election result as a springboard in its aim to return to power and implement the same policy."

    He spoke of "hypocrisy" by the representatives of ND and PASOK, as well as of the effort being made by the Coalition of the Left, Movements and Ecology party "to hide its policy", who merely ascertain problems and make promises that are not kept.

    Halvatzis pointed out that the mayoral candidates of the two mainstream parties "are responsible for the anti-popular options of their governments and are refurnishing their activities in vain to enable their political origin and responsibility to be forgotten."

    Halvatzis further referred to problems facing working people, "the unemployed, the high cost of living, austerity, the lack of greenery, the domination of cement, the granting of free spaces to big capital and the huge profits of contractors."

    In addition, he focused on scandals that he considers to be "innate with capitalism and legislation being promoted by the government to ban demonstrations and for which the previous government also had a legislative bill ready."

    Lastly, Halvatzis called for the mobilization of even those who are weary "to struggle for the vision that does not fit in the EU and the laws of the market and to not allow Athens of struggles and sacrifices to become a capital of social injustice."

    KKE's candidate for the Athens supraprefecture, George Mavrikos, also addressed the rally, saying "pull out a red card in front of the ballot box. We are here all of us who are expressing Greece of insubordination to the modern-day masters and kings, Greece of resistance to the anti-labor policies of the governments of ND and PASOK, all of us who reject the logic of modern-day subservience towards the European Union, monopolies and the imperialists."

    [07] KKE leader: Education situation must be factor for local gov't voting

    ATHENS, 12/10/2006 (ANA/MPA)

    The situation in the education sector comprised a criterion for the upcoming local government elections, Communist Party of Greece (KKE) leader Aleka Papariga said on Wednesday, during a tour of the Vyronas municipality of Attica prefecture.

    The KKE secretary general said that "Greece must be flooded, from end to end, with people of all ages waging the battle for free public education with well-remunerated teachers".

    "This wind of battle must continue for a long time. It is a tough battle. For us, it is a basic vote criterion," she added, referring to the municipal/prefectural elections to be held throughout Greece on Sunday.

    [08] FM spokesman replies to Ankara on 'derailment' of Turkey's EU candidacy

    ATHENS, 12/10/2006 (ANA/MPA)

    Foreign ministry spokesman George Koumoutsakos, asked by reporters to comment on a statement made on Wednesday by Turkish foreign ministry spokesman Namik Tan regarding the possible "derailment" of Turkey's European Union candidacy, said that "replies and indications of such a tone and content, either to EU officials or to various member-states, do not change reality."

    Koumoutsakos added "every candidate country, in order to have a smooth development in its accession course, must respond to the terms and the prerequisites set by the European Union."

    Tan, asked to comment on Wednesday on a recent statement by his Greek counterpart George Koumoutsakos, said that "Greece's specialty are air and not rail accidents and I would advise them to address them."

    Tan had been asked in connection with a statement by Koumoutsakos that "if Turkey follows the rails it will not be derailed" and replied that "the Greek representative used some expressions that necessitate specialty. I am amazed."

    [09] Deputy FM Yiannis Valinakis holds talks with German SPD delegation

    ATHENS, 12/10/2006 (ANA/MPA)

    Deputy Foreign Minister Yiannis Valinakis held talks on Wednesday with a delegation of the German Socialdemocrat Party's (SPD) Parliamentary Group, stressing that a European Turkey means only benefits for itself, our region and all of Europe, according to a foreign ministry press release.

    Valinakis underlined "Greece's support for the neighboring country's European adjustment, without the prejudices and obsessions of the past on condition, of course, that it responds fully to the terms and prerequisites set by the European Union."

    The deputy foreign minister further said that "it is a strategic option of our country and not a 'circumstantial suit', since bordering with a European Turkey is of vital importance for Greece", something that can only be achieved through its accession process.

    Valinakis expressed his scepticism over delays being ascertained in reforms that Turkey must complete. He added that this skepticism functions constructively in avoiding the exclusion of Turkey and for its adjustment to European norms to go ahead.

    According to the press release, the deputy minister and the German Parliamentarians agreed that the "derailment of the train" in Turkey's course towards the European family is not being sought.

    "The full accession of Turkey constitutes the incentive for its total adjustment and for the activation of the forces of modernization and democratization in Turkish society," Valinakis said.

    [10] ND's Kostis Hatzidakis among Eurodeputies awarded by 'Parliament Magazine'

    BRUSSELS, 12/10/2006 (ANA-MPA)

    The European People's Party (EPP) announced on Wednesday that the "Parliament Magazine" this year awarded eight Eurodeputies for their performances in their sector, among them being Greece's New Democracy (ND) party Eurodeputy Kostis Hatzidakis, responsible for regional affairs issues.

    The EPP noted that seven of the eight Eurodeputies awarded are its members. The other was from the Party of Socialists.

    EPP President Hans-Gert Poettering congratulated the EPP Eurodeputies and stressed that "the awards prove that the EPP did and is continuing to make important work."

    [11] Foreign ministry spokesman condemns arson attack on Turkish embassy employee's car

    ATHENS, 12/10/2006 (ANA/MPA)

    Foreign ministry spokesman George Koumoutsakos on Wednesday condemned the arson attack on a car belonging to a Turkish embassy diplomatic employee.

    "The unacceptable act of setting fire to the car of a diplomatic employee of the Turkish embassy in Athens is condemned in the strongest way," he said.

    "It is self-evident that the security of Diplomatic Authorities and employees accredited to our country constitutes a firm care and concern of the Greek state," the spokesman added and pointed out that the relevant authorities are already investigating the case.

    [12] Deputy defense minister meets Georgia's ambassador to Athens

    ATHENS, 12/10/2006 (ANA/MPA)

    Deputy Defense Minister Vassilis Mihaloliakos had a meeting with Georgia's Ambassador to Athens Zviad Chumburidze on Wednesday to discuss the security situation in the Black Sea and the progress of bilateral relations between Greece and Georgia.

    Talking about the domestic situation in his country, Chumburidze said that Georgia wanted to be a stabilizing factor in the Black Sea region.

    Mihaloliakos repeated Greece's support for Georgia's efforts in this direction and its attempts to join Euro-Atlantic structures.

    The two sides expressed satisfaction with the course of bilateral relations while noting that there were margins for closer cooperation in economic, education, cultural and military affairs.

    [13] Reform policy must have clear targeting, FinMin says

    ATHENS, 12/10/2006 (ANA/MPA)

    An effective reform policy must have a clear targeting, to take in mind economic and social limitations and to analyze and discuss this policy, Greek Economy and Finance Minister George Alogoskoufis said on Wednesday.

    Addressing a seminar on "The policy of reforms", organized by the Constantinos Karamanlis Institute of Democracy in an Athens hotel, the Greek minister said that information and dialogue over a policy of reforms were necessary elements since if the society was not convinced, reforms could lead nowhere. "We proceeded with reforms because we had a clear mandate after the March 2004 elections: to change things,", he noted.

    Alogoskoufis referred in detail to reforms already made and added that the Greek economy positively responding to reforms despite a leap in oil prices.

    Government reforms included a reduction in income tax factors, restructuring of public sector enterprises, promoting joint venture projects between public and private sector, restructuring of a Third Community Support Framework program, strengthening the capital market and combating large-scale tax evasion.

    Alogoskoufis said tax evasion continued to exist, particularly among small businesses and stressed that the economy faced challenges in its transformation drive, such as innovation, business activity, exports and education.

    The Greek minister said more spending was needed for the education sector but noted that this should be accompanied by reforms.

    Commenting on Greek-EU relations, Alogoskoufis said Greece had adopted a passive, defensive logic. "We used to see EU as a bank. It is clear, though, that a country cannot have prestige and credibility when it sees its relations with the EU this way," he noted.

    Alogoskoufis stressed that after 25 years in the EU, Greece ranked in the middle of EU member-states on its living standards and underlined that Greeks have to realize that after 2013 the country would receive less money from EU funds than today. "We must welcome this development because it shows that has been progress in the country," he said.

    PASOK party official criticizes finance minister: Main opposition PASOK party economy sector official Vasso Papandreou on Wednesday criticized statements by Finance and Economy Minister George Alogoskoufis on the economy.

    "Unfortunately, it is the second time in two and a half years that the Greek citizens will pay from their pockets the craftiness of the finance and economy minister. Unfortunately, the fictitious wealth resulting from the new trick of Mr. Alogoskoufis with the GDP is accompanied by a heavy economic burden for every Greek man and woman," she said.

    Papandreou also called on the minister to explain "with what right he is preparing to give many billions of euros to the EU's funds, while he does not have the possibility of securing a dignified salary for teachers."

    [14] FM puts Greece-UK trade at more than 2.6 bln euros in '05

    ATHENS, 12/10/2006 (ANA/MPA)

    Foreign Minister Dora Bakoyannis focused squarely on the potential for cooperation by Greek and British companies in SE Europe, Turkey and the wider Middle East, speaking on Wednesday at a British-Hellenic Chamber of Commerce event in Athens.

    Bakoyannis said Greece's comparative advantages lie in the extensive and reliable network of Greek businesses and banks already operating throughout SE Europe, while praising the recent announcement paving the way for Bulgaria's and Romania's accession into the European Union as of Jan. 1, 2007.

    Regarding bilateral economic ties, the foreign minister said Greek-British trade exceeded 2.6 billion euros in 2005, with Greek exports to the UK, in fact, rising 38 percent.

    Finally, she said some three million British tourists visit Greece every year, although a slight decrease has been recorded over the past two years due to a trend in favor of “personal” holiday packages instead of package tours.

    [15] Greek economy grew 4.1 pct in 2nd quarter, yr/yr, Eurostat

    ATHENS, 12/10/2006 (ANA/MPA)

    Greek economic growth jumped to 4.1 percent in the second quarter of 2006, compared with the corresponding period last year, Eurostat said on Wednesday.

    The EU executive's statistics agency, in its report, said the Eurozone economy grew by 2.7 pct in the April-June period, while GDP growth was 3.5 pct in the US and 2.5 pct in Japan over the same period. Lithuania (9.2 pct), Finland (6.6 pct) recorded the biggest GDP growth rates in the second quarter of 2006, while Italy (1.5 pct) and Portugal (0.9 pct) the lowest rates.

    Eurostat said Greek GDP fell 0.4 pct in the second quarter from the first three months of the year, while GDP in the Eurozone and the EU-25 grew by 0.9 pct over the same period.

    Greek exports rose 8.5 pct in the second quarter while imports were up 0.3 pct, compared with the same period in 2005.

    [16] Analyst sees inflation slipping

    ATHENS, 12/10/2006 (ANA/MPA)

    Inflation is likely to fall to 2.8% in October 2006 from 2.9% a month earlier if global oil prices do not rise much above current relatively low levels, Alpha Bank said in a weekly market report.

    A decline of 0.3 percentage points is expected from introduction into the market of heating oil for winter at a lower price than in April this year.

    At the same time, a slight increase is expected from anticipated minor rises in the price of gasoline and fruit and vegetables, the report said.

    Average inflation for 2006 is seen at 3.2%, with a slight chance of rising to 3.3% if oil prices again show a rising trend, it added.

    [17] Grey economy seen at 30% of GDP

    ATHENS, 12/10/2006 (ANA/MPA)

    The country's informal economy is estimated at more than 30% of gross domestic product, Alpha Bank said in a weekly market report released on Wednesday.

    The official economy is represented by gross domestic product of 194 billion euros in 2006, which means that real GDP is about 260 billion euros for the same year, the report said.

    "It has been shown that recording data about the incomes and property of the state and private citizens does not represent reality," the report added.

    [18] PASOK deputy criticizes government's agricultural policy

    ATHENS, 12/10/2006 (ANA/MPA)

    Main opposition PASOK party Deputy and agriculture sector chief Theodoros Pangalos, speaking during a press conference on Wednesday, criticized the government's farm policy, focusing in particular on the latest announcements made by Agricultural Development and Food Minister Evangelos Basiakos.

    Pangalos said that intense activity by Basiakos "is being observed over the past 15 days so that, in view of the municipal and prefectural elections, he can mislead farmers again with so-called benefits, appropriating the work and achievements of PASOK governments."

    The PASOK deputy also said that during the first two years of the country's governance by the New Democracy party, "Greek farmers have lost 11.2 percent of their income, while over the 2000-2003 period agricultural income had been increasing at a rate of 4-4.9 percent."

    Replying to these statements, Basiakos said that "it is obvious that Mr. Pangalos is in a state of absolute confusion. Annoyed by decisions, measures and actions of the government in favor of farmers, he is basing himself on groundless positions."

    Basiakos added that it "would be very useful for all Greeks if both Mr. Pangalos and (former PASOK minister) Mr. Chrysohoidis contributed with the experience of their government tenure at the development ministry with proposals on handling cartels and controlling prices."

    "The Agricultural Development ministry, that has no right to shape the prices of farm products according to existing EU arrangements, has taken 26 specific measures in cooperation with stockbreeders' representatives to support the income of stockbreeders, as was reminded by the relevant Deputy Minister Mr. Al. Kontos with the Press Release dated 20/9/06," he said.

    [19] President Papoulias receives board of Light Industry Chamber of Piraeus

    ATHENS, 12/10/2006 (ANA/MPA)

    President of the Republic Karolos Papoulias on Wednesday received the administrative committee of the Light Industry Chamber of Piraeus.

    Taking part in the courtesy visit at the Presidential Mansion were the Chamber's president Evangelos Tsitouras, 1st vice-president Andrianos Michalaros, 2nd vice-president Asimina Yiannousiadou, Secretary-general Spyridon Alexopoulos and financial supervisor Nikolaos Stratis.

    Tsitouras referred to the Chamber's effort to contribute in the improvement and growth of the business climate.

    [20] Greek-Turkish trade ties booming, report

    ATHENS, 12/10/2006 (ANA/MPA)

    Turkey has emerged as a major trading partner for Greece, with prospects of further increasing bilateral trade relations still robust, a report by the Panhellenic Exporters' Association said on Wednesday.

    The report said Turkey was the fifth largest export market in 2005, with Greek exports totalling 937 million US dollars, accounting for 5.4 pct of total Greek exports. Imports from Turkey totaled 1.189 billion US dollars, or 2.3 pct of Greek imports, making Turkey the 14th largest supplier of Greek markets.

    Greek exports to Turkey grew an average annual rate of 30.2 pct in the 2001-2005 period, while imports (including vessels) grew 27.4 pct over the same period. Greek exports in total grew 11.9 pct while imports rose 15 pct over the same period.

    Greek exports covered mainly cotton (61 pct of total exports in 2005) and fuel, covering more than half the value of total exports to the neighbor country. The report said Greek exporters faced various obstacles in accessing Turkish markets.

    On the other hand, imports from Turkey covered a wide range of products. Bilateral trade relations expanded in the last few years with more than 80 Greek enterprises operating in the neighboring country. Greek investments in Turkey are expected to cover more than one-fifth - closer to 25 percent - of foreign direct investments in the country.

    [21] International Convention Association to hold conference in Rhodes

    12/10/2006 (ANA/MPA)

    The International Congress and Convention Association (ICCA) will hold its 45th International Conference at a hotel in Rhodes from October 29 to November 1.

    The ICCA is the world community of the "industry" of convention tourism. It was established in 1963 by a small group of travel agents and it currently has over 750 members in almost 80 countries. All its members are specialized in convention tourism and constitute the paramount source of information in this sector.

    At least 800 participations are expected in Rhodes from over 60 countries. The previous participation record in the history of ICCA conventions had taken place in Copenhagen in 2002 with 650 people.

    [22] Greece, Cyprus launch trading platform Oct 30 (ADDS)

    NICOSIA, 12/10/206 (ANA-MPA)

    The Athens Stock Exchange and the Cyprus Stock Exchange on Wednesday announced that they would launch a common trading platform on October 30 after the successful completion of pilot operation of the system.

    The platform will enable investors to trade in shares listed on both exchanges with a long-term goal of creating a single market under the auspices of the Greek bourse that will include other stock exchanges in the region.

    "Introduction of the euro for all market transactions is a major innovation," the president of the Cypriot market, Akis Cleanthous, told reporters.

    Nine major investment service firms from Greece had applied to become distance members of the Cyprus bourse, Cleanthous said.

    "The companies carry out total trades that top 80% of the Greek market," he added.

    The Cypriot bourse's trading session will be harmonized to the Greek and other European market, operating from 1000-1700 hours.

    [23] Athens Bourse Close: Stocks rise

    ATHENS, 12/10/2006 (ANA/MPA)

    The Athens share index closed at 4,008.19 points, showing a rise of 0.15%. Turnover was 376.9 million euros.

    The FTSE/ASE-20 index for high capitalization shares ended 0.44% up; the FTSE/ASE-40 for medium cap stocks 0.55% higher; and the FTSE/ASE-80 for small cap shares finished 0.58% up.

    Of stocks traded, advances led declines at 146 to 113 with 50 remaining unchanged.

    Stock Futures:

  • Most Active Contract (volume): National Bank (1348)

  • Total derivatives market turnover: 128.6 million euros

    Bond Market Close: 10-yr benchmark at 4.08 pct

  • Greek benchmark 10-year bond (exp. 20.7.2016): 4.08 pct yield

  • Most heavily traded paper: 10-year bond, expiring 20.7.2016 (1.4 bln euros)

  • Day's Total Market Turnover: 2.9 bln euros

    Foreign Exchange Rates

    Reference buying rates per euro released by the European Central Bank:

    U.S. dollar 1.264

    [24] Traffic on main north-south axis restored

    12/10/2006 (ANA/MPA)

    Traffic on Greece's main north-south axis, the Athens-Lamia national highway leading to Thessaloniki, was restored late on Wednesday afternoon.

    The road had earlier been partially closed due to landslides caused by heavy rain overnight, causing massive tailbacks and delays.

    The torrential rainfall affecting most parts of the country during the past few days created serious traffic problems on national motorways earlier in the day. The Athens-Lamia motorway was temporarily closed for motorists moving from Lamia to Athens at the Thermopiles section, while the Athens-Thessaloniki motorway was closed after Arkitsa.

    Traffic on the Athens-Thessaloniki motorway was partially restored between 7 and 9 am after being closed for motorists during the night when the Agios Konstantinos section was blocked by debris carried by a torrent. However, Traffic Police decided to close the motorway again when the torrent waters covered the road surface, while landslides were recorded at the Leventis section of the national motorway.

    Tens of houses were flooded in the region of Agios Konstantinos as a result of the torrential rainfall and also because the waters had no outlet to the sea.

    Meanwhile, traffic on Dionisos highway at Nea Makri was restored in the early morning hours after being closed since late Tuesday night when a large piece of rock from Mt. Penteli fell on the road surface.

    In Ampelokipi, Athens an old uninhabited house collapsed because of the rain, damaging a car parked nearby.

    In the prefectures of Thessaloniki and Halkidiki, north Greece, efforts continue to repair damage in the flood-stricken regions. The biggest problems are recorded in the regions of Redina, Melissourgos and Stavros where tens of houses, warehouses and other buildings suffered extensive damage.

    Bottled water is distributed to the local population at the initiative of EYATH (Thessaloniki Water Supply and Sewerage Co SA), while PPC (Public Power Corporation SA) crews continue efforts to restore the electricity supply network.

    Two bridges at Modi and Vamvakia have collapsed and motorists from Thessaloniki and Kavala can use only the Egnatia Odos motorway.

    [25] Interior Minister Pavlopoulos chairs meeting on floods in Magnisia Prefecture

    12/10/2006 (ANA/MPA)

    Interior, Public Administration and Decentralization Minister Prokopis Pavlopoulos on Wednesday chaired an extensive meeting in Volos with the participation of government officials, on ways of coping with the problems which have arisen in Magnisia Prefecture, east-central Greece, following the recent floods which were caused by heavy storms which swept the country these past few days.

    After the meeting, Pavlopoulos expressed the support of Prime Minister Costas Karamanlis and the government to those affected by the floods.

    The interior minister noted that "from the very first moment the State was present," assuring that "everything possible will be made for all the problems which were created in the broader region to be solved."

    Pavlopoulos said it was his duty "to publicly praise the effort of the Prefect and the mayors of the region, as they were in the 'front-line' of the overall effort so that human lives would be saved and for the devastation, under the specific conditions, to be restricted as much as possible."

    [26] Agricultural development minister visits flood-hit areas in central Greece

    12/10/2006 (ANA/MPA)

    Agricultural Development and Food Minister Evangelos Basiakos visited the prefecture of Larissa in central Greece, after the prefecture of Magnisia, on Wednesday afternoon for an on-the-spot inspection of damage caused to crops by heavy rain.

    He was given an account of damage at the offices of the Agricultural Cooperatives Union (EAS) and offered assurances that compensation will be paid soon to producers who suffered damage.

    "We do not want favors or offsetting but what we are entitled to," said EAS President Thanassis Kokkinoulis earlier, who estimated that 175,000 acres (of which 160,000 acres with cotton) have been damaged.

    Harvesting is impossible in much of this land, while elsewhere the rain resulted in a worsening in the quality of cotton, as well as in a decreased quantity.

    Apart from cotton, grape production in the region of the city of Tyrnavos was affected, as well as sugarbeet, industrial tomatoes, maize, fruit and vegetables.

    [27] Country on alert for possible reappearance of bird flu

    ATHENS, 12/10/2006 (ANA/MPA)

    Agricultural Development and Foods Minister Evangelos Basiakos announced on Wednesday that as of Monday, October 16, the authorities will be on the alert for the confrontation "of a possible appearance of bird flu (avian influenza)."

    Basiakos, following a meeting of his ministry's Scientific Consultative Committee, headed by academic Spyros Kyriakis, stated that "for the time being there is no cause for concern, the situation prevailing today and the bio-safety measures which have been taken since last May, will remain valid."

    At the same time, the Armed forces said that they are taking precautionary measures for the possible reappearance of bird flu.

    Within this context, the "Artemis" exercise will be organized by the National Defense General Staff on October 13 at the 251 Air Force General Hospital, with the participation of doctors and nurses from hospitals of the three branches of the Armed Forces.

    [28] Trikala police dismantle international drug trafficking ring

    ATHENS, 12/10/2006 (ANA/MPA)

    Police in Trikala, central Greece, dismantled an international drug trafficking ring and seized 7.5kg of heroin, it was reported on Wednesday.

    Police tracked down the drug trafficking ring after arresting two individuals trading small quantities of heroin. After questioning them, police were led to 5 kilos and 237 grams of heroin hidden in a rural area. Two kilos of the drug were sold earlier to a drug dealer active in the Aegean region, who was arrested on a Dodecanese island on Tuesday.

    Further questioning of the suspects led to the arrest of another man from the city of Larissa, central Greece. In addition, two bank accounts, used for money laundering, that belonged to two foreigners living in Athens were blocked and warrants have been issued for their arrest. A foreign national held in a Greek prison is allegedly the ring’s mastermind.

    [29] Illegal migrants arrested on Samos

    12/10/2006 (ANA/MPA)

    Police on the eastern Aegean island of Samos arrested 20 Afghan and 11 Lebanese abandoned in the region of Posidonio by a Turkish migrant smuggler who managed to escape.

    A total of 180 illegal migrants are currently staying at the Samos Migrant Reception Center.

    [30] Festival of Greek cuisine debuts at UN

    NEW YORK, 12/10/2006 (ANA-MPA)

    The Hellenic Foreign Trade Board's (HEPO) international campaign to promote the convivial and nutritional aspects of Greek cuisine and culinary culture -- dubbed "Kerasma" (www.kerasma.gr), the Greek word for treat and offering -- arrived at the United Nations on Tuesday evening with the inauguration of a two-week Festival of Greek Cuisine.

    The festival, which will be hosted in the UN's main restaurant, was opened by Athens' Permanent Representative to the United Nations, Amb. Adamantios Vassilakis.

    One of the spin-offs of the festival is also the showcasing of Greek cuisine by 25 of Manhattan's finest restaurants from Oct. 16 to Nov. 18.

    [31] Russian cultural events next year in Athens

    ATHENS, 12/10/2006 (ANA/MPA)

    The festival "Glorious Russia", sponsored by the cultural section of the Russian embassy in Greece, has been scheduled for the summer of 2007. The entire festival will last for four years and tour throughout Europe, culminating with events marking the sesquicentennial anniversary (2010) of the birth of Russian playwright Anton Chekhov.

    [32] Chinese sport journalists visit Olympic Stadium, ERT

    ATHENS, 12/10/2006 (ANA/MPA)

    Chinese sport journalists on Wednesday visited the Olympic Stadium and Greek Radio and Television (ERT).

    They arrived in Athens on Wednesday at the invitation of the Panhellenic Association of Sport Journalists.

    The Chinese delegation was received by Deputy Culture Minister responsible for Sports, George Orfanos, who had a discussion with them regarding Beijing's preparations for the 2008 Olympic Games, the utilization of the post-Athens 2004 Olympic Games installations and the impact the 2004 Games had on Greek sport.

    Orfanos wished the Chinese delegation a pleasant stay and good luck to China in hosting the 2008 Olympic Games.

    The delegation was given a tour of Athens' Olympic Stadium and ERT's installations.

    Soccer

    [33] Greece beats Bosnia 4-0 away in Euro 2008 Championship qualifier

    12/10/2006 (ANA/MPA)

    Greece beat Bosnia 4-0 (halftime 1-0) in a European 2008 Championship Group C soccer qualifier played in Bosnia on Wednesday night.

    Greece's goals were scored by Angelos Haristeas in the 9th minute with a penalty, Chriistos Patsatzoglou in the 82nd, Georgios Samaras in the 85th and Kostas Katsouranis (90+4).

    Bosnia's Sasa Papac was sent off with a red card in the 50th minute.

    In other Group C matches:

    Malta 2 Hungary 1

    Turkey 5 Molova 0

    Standings . P W D L F A Pts

    1 Turkey 3 3 0 0 8 0 9

    2 Greece 3 3 0 0 6 0 9

    3 Norway 3 2 0 1 6 2 6

    4 Bosnia 4 1 1 2 8 11 4

    5 Malta 3 1 0 2 4 8 3

    6 Hungary 4 1 0 3 5 8 3

    7 Moldova 4 0 1 3 2 10 1

    [34] Nicosia awaits final Finnish proposals before replying, says spokesman

    NICOSIA, 12/10/2006 (CNA/ANA-MPA)

    Cyprus will wait until the finalisation of the ideas tabled by the Finnish EU Presidency on Turkey's obligations to open its ports to Cypriot ships before giving its final reply, Cypriot Government Spokesman Christodoulos Pashiardis said here Wednesday, adding however that Nicosia does not accept any proposal that does not provide for the return of the fenced-off city of Famagusta to its legal inhabitants.

    The Finnish Presidency tabled some draft proposals in a bid to avoid a ''train crash'' in Turkey's accession talks, due to Ankara's refusal to implement an additional protocol, expanding its Customs Union to the ten new EU member states, including the Republic of Cyprus.

    ''There is such a possibility,'' Pashiardis said, replying to questions, adding that Cyprus ''is in consultations with the Finnish Presidency and appreciates its efforts to avoid a possible crisis in the relationship between Turkey and the EU.''

    He added that the Cypriot government is not aware of the response by Ankara, noting that ''in any case our answer will not depend on Turkey's reply.''

    ''Our final position will depend on the Finnish formula's final content, which did not take the form of a final and certain proposal subject to an immediate acceptance or immediate rejection,'' Pashiardis added.

    The spokesman did not elaborate on the Finnish proposal's content.

    Reports say that the Finnish proposal envisages that the fenced-off area of Famagusta should be put under UN administration, in return for the opening of the port of the occupied city under EU administration and the opening of Turkish ports for Cypriot ships.

    ''We do not accept any proposals, ideas, thoughts or any formulas that do not provide for the return of Varosha (the fenced-off city) and the reestablishment of its legal inhabitants,'' Pashiardis said.

    Cyprus, which joined the EU in May 2004, has been divided since 1974, when Turkey invaded and occupied its northern third.

    Turkey, a country aspiring to become an EU member state, does not recognise the Republic of Cyprus and refuses to implement the EU-Turkey Customs Union Protocol, by opening its ports and airports to Cyprus.

    [35] EU Commission President: Turkish signals on Cyprus not positive

    NICOSIA, 12/10/2006 (CNA/ANA-MPA)

    European Commission President Jose Manuel Barroso expressed skepticism on Wednesday about Turkey's readiness to meet EU demands to open its ports and airports to traffic from EU member Cyprus.

    Speaking in Germany and asked about the Cyprus issue, he said ''the signals that we are getting don't give us much hope. They are not positive.''

    ''But the talks continue,'' he added.

    [36] Responsibilities for air crash will be attributed, says spokesman

    NICOSIA, 12/10/2006 (CNA/ANA-MPA)

    The responsibilities for an Helios air crash in Athens on August 14, 2005, will be attributed after the completion of the investigating work of the Commission of Inquiry headed by former Supreme Court judge Panagiotis Kallis, Cypriot Government Spokesman Christodoulos Pashiardis said here Wednesday, one day after the presentation of the final report into the causes of the plane crash to Cypriot authorities.

    Akrivos Tsolakis, President of the Greek Air Accident Investigation and Aviation Safety Board, presented on Tuesday to Cypriot President Tassos Papadopoulos and to Minister of Communications and Works Charis Thrasou the final report into the cause of the crash of a Boeing 737-300, which killed all 121 people on board. The report was also given to Kallis as a ''tool'' for the continuation of his investigating work.

    Replying to repeated questions whether Thrasou should resign, since the report points out ''organizational safety deficiencies on behalf of the Cyprus Department of Civil Aviation (DCA), Pashiardis called for patience until the completion of the investigating work by Kallis.

    ''Then Thrasou,'' whose ministry is responsible for the DCA, ''will judge whether his responsibilities and the burden he bares are such which will morally oblige him to resign,'' Pashiardis said.

    Tsolakis' 198-page report outlines the causes of the crash but does not attribute responsibilities.

    ''For the government, the detection of the causes is not enough, the detection of those responsible is necessary,'' Pashiardis said, adding that ''those responsible, whoever they are, will be brought to justice and will be liable to sanctions according to the law.''

    Pashiardis also said that what is at stake with this tragedy is not Thrasou's ''public beheading, as if he is the main person responsible for the crash,'' adding that ''the public opinion will only be absolutely satisfied with the prosecution of those responsible.''

    The Commission of Inquiry headed by Kallis is expected to name those involved in the tragedy so that the Attorney General can bring criminal liability charges against those persons.

    The investigation by the Commission is being carried out in an open public hearing procedure, during which the conditions under which the

    company, the planes and the crew got their licenses, are also examined. The Commission is also examining how the security and other checks were carried out for that flight and that plane.

    The Boeing 737 was on its way to Prague, via Athens, when it crashed into the mountain side north of the Greek capital killing 121 passengers and crew on board, most of them Cypriots going on holiday.

    The Boeing came down as two Greek F-16 jets were accompanying it after it failed to respond to calls from Athens' control tower.


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