Turkish Cyprus to hold talks for transition to the euro
by Emre Diner
NICOSIAOct 14, 2015 - 12:00 am GMT+3
by Emre Diner
Oct 14, 2015 12:00 am
Turkish Cyprus has come to a critical stage in the half-century-long negotiations on the island. As part of the preparations to conclude a resolution for reunification, EU experts will come to Turkish Cyprus to meet with officials at the end of this month.
Concurrently with the studies for the transition to the euro, a process for a customs union will also begin. Reportedly, the customs legislation of Turkish Cyprus will be integrated with EU procedures. Considering the accession of Greek Cyprus to the EU in 2004, the two sides should agree on many issues regarding a common currency, and customs need to be adopted in line with EU regulations. The harmonization process will begin after a resolution is concluded.
In this regard, Turkish Cypriot President Mustafa Akıncı, taking the floor at a conference at Eastern Mediterranean University, said that they proposed to form a technical committee on Turkish Cyprus's transition to the euro. Answering a question about when Turkish Cyprus will adopt the euro, Akıncı said that the issue is on the agenda. "A proper infrastructure needs to be formed," he said, adding that current preparations are focused on a resolution. After an agreement is approved with a referendum, the transition process, which will take a year, will begin for Turkish Cyprus. Akıncı said that the Turkish lira will continue to be circulated in this period.
Corina Cretu, the incumbent European commissioner for regional policy, is expected to visit Turkish Cyrus on Thursday. Prior to her visit Cretu said: "This visit is related to the growth of the Cohesion Policy and what we can do about creating employment in Turkish Cyprus. Our investments made between 2014 and 2020 aim to protect the environment, encourage the sustainable usage of natural sources and support a low carbon economy and innovation capacities of local managements. Moreover, I am here to highlight the support of the European Commission for the solution on Cyprus once again upon the instructions of Jean-Claude Juncker, the president of the European Commission. As the incumbent European commissioner for regional policy, my duty is to support the economic development of the society of Turkish Cyprus and encourage communication and dialogue."