EU vows to help Turk Cypriots after failed vote

The European Union vowed yesterday to ease the economic isolation of Turkish Cypriots after they backed a UN plan to reunite their island in a weekend referendum only to see it rejected by rival Greek Cypriots. Turkish Cypriots, recognised only by Turkey and chafing under global trade sanctions, won EU praise for voting 'yes', while Greek Cypriots came under fire for killing off the plan.

The ironic result of Cyprus's continued division is that only the internationally recognised Greek Cypriot government will join the EU on May 1 and the Turkish Cypriots stay outside.

EU foreign ministers meeting in Luxembourg gave their Greek Cypriot colleague a tongue-lashing at a closed-door lunch after the Nicosia government spearheaded the campaign for a "no" to UN Secretary-General Kofi Annan's plan, diplomats said.

"This is an affront to Europe," Belgian Foreign Minister Louis Michel told Reuters. "Those who campaigned for a "no" may perhaps not have measured all the consequences."

In a statement, the 15 ministers called for €259 million set aside to back a settlement to be spent instead on the economic development of Turkish northern Cyprus.

The European Commission said it would cooperate to that end with Turkish Cypriot authorities, shunned by the international community since Turkey invaded Cyprus in 1974 in response to a short-lived coup in Nicosia fomented by Greece.

Officials said the EU executive could open an office in northern Cyprus.

The EU council "expressed its determination to ensure that the people of Cyprus wil soon achieve their shared destiny as citizens of a united Cyprus in the European Union". Diplomats said the wording hinted at a possible second referendum.

EU Enlargement Commissioner Guenter Verheugen said this was not tantamount to recognition of the self-styled Turkish Republic of Northern Cyprus (TRNC), but it was a clear gesture of irritation with the Nicosia government.

"Under no circumstances should we allow a situation in which Turkish Cypriots would be punished for the fact that a settlement could not be reached," Mr Verheugen said. "We will have to cooperate with the authorities in the north."

Turkey, which supports the TRNC with subsidies and keeps tens of thousands of troops stationed there, went on the diplomatic offensive to press its protege's case.

"Promises regarding the scrapping of restrictions on Northern Cyprus and making political, economic and social improvements there must be fulfilled," said Turkey's National Security Council, which groups political and military leaders.

Turkish government spokesman Cemil Cicek said the cabinet did not want the Cyprus stalemate to upset much-improved relations with Greece, historic mentor of the Greek Cypriots.