Cyprus Mail newspaper

Page 1

Cyprus Mail www.cyprus-mail.com

Thursday, September 13, 2012

€1

CYPRUS

SPORT

BRITAIN

Court hears testimony from Mari eyewitness

Hodgson confident of England progress back

Cameron apologises for Hillsborough tragedy 7

5

Trying to defend ‘basic conquests’ Christofias tries to reassure public servants as troika measures leaked and Russian loan nowhere near By George Psyllides

A

S PRESIDENT Demetris Christofias last night promised public servants that the government would “try to at least” defend their most “basic conquests”, reports surfaced outlining a list of austerity measures being sought by the troika. Labelled ‘exclusive’, webbased InBusinessNews carried a lengthy list of measures including, a 15 per cent cut in the state payroll by 2013, scrapping of wage indexation (CoLA), and 13th salaries in the public sector, cutting 13th pensions of between €1,000 and €1,500 by 50 per cent, and those over €1,500 by 75 per cent, taxing allowances in the public sector, extending a wage freeze until the end of 2015, and introducing pension contributions for all public servants. It also includes a rise in taxes of tobacco, cigarettes, alcohol and fuel. The troika, a collective of the IMF, the ECB and the European Commission, presented their draft proposals at the end of their second mission in July. A new round of consultations is expected to take place later this month in September or October. If the list of measures is

validated, it will be bad news for the government, which has been avoiding having to touch the public sector, especially with an election looming next February. There was more bad news for the government yesterday when Moscow said the €5 billion loan being sought by Cyprus would not materialise any time soon. This will leave the island no option but to turn to the troika. Despite this, Christofias last night continued his tirade against the “greed and bankers’ mistakes” as he voiced anew his opposition to austerity without stimulus. He told a gathering of public servants at the opening of the new town planning central offices that Cyprus was trying to draft its own strategic plan for the economy that will be put to the international lenders. He did acknowledge that Cypriots would have to make sacrifices for the country to tackle its economic woes. “But I have to tell you that we must try to at least defend your most basic conquests,” he said, most likely referring to CoLA and the 13th salary. “Of course, we will not

TURN TO PAGE 2

A two-storey private chapel is seen during a press conference for the opening of the exhibition “Zuhaus Fischerweber” at the Glentleiten Open-Air Museum near Munich yesterday (EPA)

Obama vows justice after US envoy to Libya is killed By Matt Spetalnick PRESIDENT Barack Obama vowed yesterday to bring to justice the killers of the U.S. ambassador and three other diplomats in Libya as he sought to avoid election-year fallout from an attack that cast a spotlight on his administration’s handling of “Arab Spring” unrest. Standing in the White House Rose Garden, Obama condemned the attack in Benghazi as “outrageous and shocking”, but insisted it would not threaten

relations with Libya’s new elected government, which took power in July after rebel forces backed by NATO air power overthrew Muammar Gaddafi. The targeting of US diplomats in deadly militant violence sparked by a USmade film seen as insulting the Prophet Mohammad, could raise questions about Obama’s policy toward Libya in the post-Gaddafi era as he seeks reelection in November. Obama, apparently seeking to seize the initiative in the aftermath of the attack, pledged to work with the Libyan

government to “see that justice is done for this terrible act.” “And make no mistake: justice will be done,” Obama said, with Secretary of State Hillary Clinton at his side. He ordered increased security at US embassies around the world, and a Marine antiterrorist team was dispatched to boost security for US personnel in Libya. Ambassador Chris Stevens and three embassy staff were killed late on Tuesday when Islamist gunmen attacked the

TURN TO PAGE 9


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.