TURKEY, IRAN AGREE TO COOPERATE ON FIGHTING PKK TERRORISM, BOOSTING TRADE
Prime Minister Recep Tayyip Erdogan yesterday arrived in Iran for a three-day official visit, a sign of strengthening bilateral ties between two neighbors whose relations in past years had been beset by deep-rooted ideological differences. Erdogan yesterday met with Iranian Vice President Mohammad Reza Aref on the first day of his visit. Erdogan told a press conference at the Turkish Embassy in Tehran that yesterday’s tête-à-tête and inter-delegation meetings had focused on bilateral relations and covered political, economic and cultural issues. Erdogan praised the rising bilateral trade volume, expressing hope that it would more than double to $5 billion in 2004 from last year’s $2.3 billion. Underlining the two countries’ historical and cultural commonalities, the premier also called for further broadening of bilateral cooperation in the fields of gas and energy, transportation, banking and tourism. Erdogan also added that he expected Iran to add the PKK to its official list of terrorist organizations. “Terrorism is considered a serious threat to the region and the whole world,” he said. “Tomorrow we will sign a memorandum of understanding on terrorism which will include PKK/Kongra-Gel as a terrorist organization.” Erdogan underscored the need for cooperation on shared borders, calling for further expansion of security cooperation between the two sides. Both countries believe that Iraq's territorial integrity should be safeguarded, he underlined, urging further cooperation in the reconstruction of the war-damaged country as well as in Afghanistan. The premier also met with Iranian Parliament Speaker Gholam Ali Haddad Adel, where both leaders reiterated that Ankara and Tehran were as one in supporting Iraq’s territorial integrity. /All Papers/

GUL: “WE EXPECT THAT THIS DECEMBER THE EU WILL MAKE A FAIR DECISION”
We expect that the European Union will make a fair decision on Turkey at its summit this December, Foreign Minister Abdullah Gul told the Istanbul Chamber of Industry (ISO) yesterday. “I believe that the EU wouldn’t treat Turkey unfairly this December,” added Gul. “Turkey has with great resoluteness fulfilled its duties to become an EU member.” Gul said that the Union would take great strides for the meeting of civilizations. Stressing that the government had an active foreign policy, Gul said that Turkey’s domestic political stability had paved the way for this. Gul also stated that he was planning to soon visit China. /Hurriyet/

ANKARA ASKS WASHINGTON ABOUT REPORTS OF ANTI-PKK OPERATIONS
Turkey has requested a response from Washington on recent reports that US troops are currently fighting with PKK terrorists in northern Iraq. Foreign Ministry Spokesman Namik Tan yesterday stated that the ministry had yet to receive any official information confirming these reports. Tan also denied recent media speculation that Iraqi Prime Minister Iyad Allawi did not want to visit Turkey. “Allawi is expected to pay a visit to our country after the summer break,” he added. /Cumhuriyet/

TRNC TO GO TO EARLY ELECTIONS
The Cabinet of the Turkish Republic of Northern Cyprus (TRNC) yesterday decided that the nation will hold early elections on Nov. 6. In its six-hour meeting, the TRNC Cabinet’s decision was made contingent on the agreement of non-coalition political parties. /Star/

IMF SEEKS DETAILS OF TURKEY’S NEW ECONOMIC PLANS
On his farewell visit yesterday, outgoing International Monetary Fund Turkey Representative Odd Per Brekk stated that the IMF lacks sufficient details about Turkey’s new three-year economic plans. Brekk stated that the IMF is expecting more information from Ankara. In his meetings with politicians and businessmen, Brekk said that Turkey needs measures to prevent its accelerating economy from overheating. Stressing that the banking sector is going well, but that this years’ revival had been spurred by consumer credit and credit cards, Brekk said that the question of this growth’s sustainability was key. /Sabah/

CB GOVERNOR: “TURKEY MUST CONTINUE ITS IMF-BACKED ECONOMIC PROGRAM”
Turkey must continue working in cooperation with the International Monetary Fund under the current circumstances, said Central Bank Governor Sureyya Serdengecti yesterday. He stated that Ankara must continue pursuing the IMF-backed economic program for the sake of the country’s future. “A halted program would lead to higher inflation and an economic slump, in other words, a deeper crisis,” warned Serdengecti. The current program is set to expire at year’s end, but relations between Ankara and the IMF are expected to continue in some form. /Turkiye/

FOREST DIRECTORATE TO HELP PORTUGAL FIGHT FIRES
As summer forest fires continue to rage across Portugal, the Portuguese government has appealed for help from its Mediterranean neighbors Spain, Greece and Turkey. In response, the Directorate General of Forests has ordered its Forest Fire Fighting, Search and Rescue Team (ORKUT) to prepare to travel to Portugal. Forest Minister Osman Pepe yesterday said that Turkey was one of the leading countries in fighting forest fires. /Aksam/