SEZER VETOES REVISIONS OF ANTI-TERROR LAW
President Ahmet Necdet Sezer yesterday vetoed provisions of the sixth European Union harmonization package designed to annul Article 8 of the Anti-Terror Law. In a statement explaining his veto, former jurist Sezer argued that removing the article would encourage terrorism and endanger the indivisible unity of the Turkish state. Parliament now has the option of trying to re-approve the vetoed provisions, which it unanimously passed last week in a bid to push forward Ankara’s EU accession. Commenting on this development, Deputy Prime Minister Mehmet Ali Sahin argued that Sezer’s fear that annulling article 8 would encourage terrorism was mistaken, adding that he believed the opposition Republican People’s Party (CHP) would close ranks with the ruling Justice and Development Party (AKP) on this matter. “I believe Parliament will re-approve these provisions without any changes,” predicted Sahin. /Aksam/

SEZER TRAVELS TO MACEDONIA, CROATIA
President Ahmet Necdet Sezer is due to pay a visit to Macedonia today as the guest of his counterpart Boris Trajkovski. The two leaders are to chair interdelegation meetings as well as issue a joint press release. Sezer is also expected to proceed to nearby Croatia later in the day for an overnight visit as the official guest of his Croatian counterpart Stipe Misic. /Cumhuriyet/

ERDOGAN MEETS WITH BUSINESSMEN, ASKS FOR SUPPORT ON EU ACCESSION AND ECONOMIC POLICY
Prime Minister Recep Tayyip Erdogan yesterday met with representatives from the Turkish Union of Chambers and Commodities Exchanges (TOBB) and the Turkish Industrialists’ and Businessmen’ Association (TUSIAD) at a banquet. Erdogan called on the businessmen to support the government on both EU harmonization laws and economic policy. Besides the businessmen, Foreign Minister Abdullah Gul and State Minister for Economy Ali Babacan also attended the dinner. /Sabah/

ERDOGAN TRAVELS TO PORTUGAL
Prime Minister Recep Tayyip Erdogan is to travel today to Portugal for a visit as the official guest of his counterpart Jose Manuel Curao Barosso. State ministers Ali Babacan and Kursat Tuzmen are to accompany Erdogan, who will meet tomorrow with representatives from the Portuguese Union of Industrialists and Exporters. He is expected to discuss with Portuguese officials recent international developments as well as Turkish-EU relations. /Star/

PARLIAMENT COMMISSION REPORTEDLY ESTIMATES COST OF CORRUPTION AT $150 BILLION
In recent years corruption in Turkey has exacted an economic toll of some $150 billion, says a draft version of a report by Parliament’s special Anti-Corruption Commission, news channel NTV reported yesterday. In the report, due to be sent to the full Parliament on Friday, banking sector corruption is reportedly blamed for $54 million in national economic losses and energy sector corruption for $40 billion. /Turkiye/

PROMOTIONAL CAMPAIGN SET TO TOUT BENEFITS OF EU MEMBERSHIP
Under a new promotional campaign, the expected benefits to Turkey of the nation’s possible European Union membership are to be touted to citizens living in 24 provinces. The campaign, prepared by Turkey’s EU Secretariat General and co-sponsored by the EU Commission and the Economic Development Foundation (IKV), is first set to host meetings on “Turkish-EU Relations in the Pre-Accession Period” in eastern Anatolia. EU Commission Representation in Turkey head Hansjoerg Kretschmer yesterday stated that the commission was very proud to sponsor the 900,000-euro project. /Star/

ITALIAN EU MINISTER BUTTIGLIONE: “THE MILITARY IS THE GUARANTOR OF TURKEY’S POLITICAL REGIME”
Speaking to Austrian daily Die Presse yesterday, Italian State Minister for European Union Affairs Rocco Buttiglione stated that Turkey’s military was the guarantor of the nation’s political regime. “If the military were to lose control over the political regime, Turkey would probably become an Islamic state,” warned Buttiglione. He argued that Ankara did not have a truly democratic regime since the military had total control over civilian state institutions, adding that nobody should expect Turkey to join the EU ranks in the immediate future. Italy today is set to take over the rotating EU term presidency for the next six months. /Cumhuriyet/

TURKEY POSTS STRONG Q1 GNP GROWTH OF 7.4%
The State Institute of Statistics (DIE) yesterday announced that Turkey’s gross national product (GNP) grew 7.4% in the first quarter of this year, well above market expectations of 6.2%. Gross domestic product (GDP) also grew 8.1%, beating expectations of 6.3%. The strong growth puts Turkey in line to meet the government’s annual growth target of 5%, said analysts. /All papers/

PRIVATIZATION BOARD APPROVES PETKIM’S SALE TO UZAN GROUP
The High Board of Privatization (OYK) yesterday approved the sale of an 88.9% stake in state petrochemical concern Petkim to a division of the Uzan Group. The approval comes in the wake of questions raised by some of whether Uzan’s bid was large enough. /Milliyet/

SOURCE: OFFICE OF THE PRIME MINISTER, DIRECTORATE GENERAL OF PRESS AND INFORMATION