Denktash Invites Pro-European Party To Form Northern Government
by Lorys Charalambous, Tax-News.com, Cyprus
31 December 2003

In a surprise move on Monday, leader of Northern Cyprus Rauf Denktash has ended the parliamentary deadlock which followed the recent elections by inviting the pro-European opposition party led by Mehmet Ali Talat to form the next government.

Talat has now been given fifteen days in order to form the new government which will then be subject to a vote of confidence. Failure to resolve the political deadlock would then likely result in a fresh general election in the New Year.

As leader of the pro-European Republican Turkish Party, Talat pledged to revive the UN settlement plan rejected by Denktash earlier in the year, though it is unclear whether he will be able to gather enough support from opposition parties in order to advance new negotiations.

However, the new government is likely to find a powerful ally in the form of Turkey which has formulated a seven-point plan entitled ‘The Turkish Side’s Stance’ based upon the UN settlement plan. The Turkish government is keenly aware that failure to resolve the Cyprus issue could well scupper the nation’s chances of joining the EU in 2005.

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