Four Freedoms - what the Turkish side wants

By Esra Aygin

The term ‘four freedoms’ for Turkish nationals in a federal Cyprus entered our lives at the Geneva Conference in January.

Not because it was a new demand, but because the equitable treatment of Turkish and Greek nationals in Cyprus – an issue as old as the negotiations themselves – only came to be referred to as the ‘four freedoms’ at that Conference.

The balance of power between Turkey and Greece was first established in the constitution of the 1960 Republic of Cyprus, which gave the two countries the ‘most favoured nation’ status.

The Annan Plan included provisions to maintain the balance of power and extend equitable treatment to Turkish and Greek nationals in Cyprus.

Former leaders Demetris Christofias and Mehmet Ali Talat had agreed “to extend to Turkish citizens, treatment as close as possible to the results of the enjoyment of the four freedoms of the EU by nationals of Greece.”

This agreement was also accepted by the current leaders Mustafa Akinci and Nicos Anastasiades in 2015. It must be underlined here that the sides also agreed that this arrangement would be of a “bilateral nature and limited to Cypriot territory”.

Per the Ankara Agreement, its Additional Protocol and Decisions of the Association Council and the Customs Union, Turkey already partly enjoys the EU’s four freedoms – namely the free movement of persons, goods, services and capital.

The European Court of Justice has also decided that these agreements give specific rights to Turkish nationals and businesses that are legally present in an EU member state (i.e. visa-free travel for Turkish service providers). Turkey being its fifth biggest trading partner, the EU market is already open to Turkish products from textiles to automotives.

Under Article 63 of the Lisbon Treaty all restrictions on the movement of capital between EU member states and third countries are prohibited. So what are the Turkish side’s demands in the context of a solution? The Turkish side wants Turkish nationals, who come to a federal Cyprus as tourists or students to be able to enter the country only with their passports without needing a visa – similar to the practice in the Greek islands.

When it comes to residence, the Turkish side is seeking a balance between the Turkish and Greek nationals residing on the island with the understanding that this doesn’t upset the demographic structure of the island. The sides are yet to agree on the ratio of Greek and Turkish residents, with the Greek Cypriot side demanding a 4:1 ratio.

While the Greek Cypriot side wants the 4:1 ratio to also apply for the Greek and Turkish workers on the island, the Turkish side argues that imposing a limit on Turkish labour force in a federal Cyprus would be a violation of the Ankara Agreement, which covers the free movement of workers, businesses and services between Turkey and EU.

Turkish and Greek Cypriot sides have already agreed that work permits in a federal Cyprus will be decided upon and given by a federal body with an equal number of Turkish Cypriot and Greek Cypriot members. Therefore, the fear that Turkish workers will flood Cyprus does not hold much ground.

Despite widespread reports claiming otherwise, the EU Commission has never came out publicly against granting equitable treatment to Turkish and Greek nationals in Cyprus.

The message repeatedly given by the Commission to the sides has been that the priority of the EU is the settlement of the Cyprus problem and that equitable treatment of Turkish and Greek nationals can be accommodated without any need for any special arrangements or derogations from EU law.

In fact, the practice is not novel to the EU as there already are some EU member states that extend such rights to non-EU countries (Portugal’s extension of such rights to Brazil).

"Four freedoms" in a gist

Actually this is not anything new that has just been introduced on the table. Those against it started calling it four freedoms to make it seem like a new demand. This is the principle of equivalent/equitable treatment of Turkish and Greek nationals that is in the 1960 RoC constitution. It was also in the Annan Plan (most favored nation) in the agreements between Christofias and Talat as well as Anastasiades and Akinci. If applied, it will only be effective in Cyprus and not in the rest of the EU... Very briefly, Turkish Citizens will be able to visit the federal Cyprus with their passports (This is already the case with all the Greek islands and last time I checked the islands were not flooded with lowly Turks. When it comes to residence, the agreement is that there will be a proportion (to be agreed on) between the resident Turks and Greeks on the condition that this doesn't upset the demographic structure of the island. In terms of working here, the work permits will be given by a federal body so there should be no concern there. When it comes to products, the EU and thus Cypriot market is open to Turkish products from textiles to automotive as per customs union. And there is no restriction of the free flow of capital anyway...
The principle of most favored country is not novel to the EU and in line with values and principles (see Portugal's extension of such rights to Brazil)

There may be Trouble Ahead

By Esra Aygin

The negotiations process aimed at reunifying Cyprus under a federal umbrella have run into difficulty as the Cypriot sides seem unable to bridge the remaining differences between them, while guarantor powers Turkey and Greece enter a new period of increased tension.

Over the last 20 months, Turkish Cypriot leader Mustafa Akinci and Greek Cypriot leader Nicos Anastasiades made important progress in governance and power sharing, property and territory, and almost completed the chapters of economy and EU.

A meeting in Geneva on January 12, which brought together the Cypriot sides and guarantor states Turkey, Greece and the United Kingdom to find a compromise on the contentious chapter of security and guarantees, however, failed to produce a result.

With increased tension over Greece’s Supreme Court’s rejection to extradite eight Turkish military officers accused with involvement in the July 15 failed coup and reciprocal provocations over the islet of Imia/Kardak in recent days, Ankara and Athens are not likely to engage in a constructive dialogue over security in Cyprus.

And the Turkish Cypriot and Greek Cypriot sides have been finding it difficult to reach further convergences on the remaining most difficult issues – such as some aspects of political equality and who will have the right to return to their property – without knowing what will happen in the security chapter.

In a last-ditch effort to prepare the ground for a second international meeting in early March, with the participation of the guarantors, Akinci and Anastasiades will meet weekly this month. However, there is no clear plan yet as to how they will handle the outstanding issues.

“The leaders are trying to buy time and keep the process alive as they try to work out how to proceed,” a source close to the negotiations said.

“This time they have to go to the meeting with guarantors having reached maximum possible convergences.”

The UN Secretary General’s Special Advisor on Cyprus, Espen Barth Eide, on the other hand, is set to engage in extensive shuttle diplomacy between Ankara and Athens in the coming days, in an effort to lay the groundwork for a compromise in security and guarantees.

Some political observers believe that the only way out of the current deadlock is for the sides to finalise all chapters independent of the security and guarantees chapter, and then put pressure on the guarantors to agree on security.

“Akinci and Anastasiades made the tactical mistake of deliberately leaving certain important issues open to keep them as bargaining chips at the table where security and guarantees would be discussed,” wrote Professor Niyazi Kizilyurek in Turkish Cypriot daily Yeniduzen.

“This was a grave mistake, as Turkey and Greece’s take on the Cyprus problem is very different from Turkish Cypriots’ and Greek Cypriots’… The only way out is for the leaders to go back to looking for the solutions in Cyprus… Akinci and Anastasiades have to reach an agreement in all chapters and create a draft solution…”

“Only after creating such a text and gaining the support of the world, should they knock on the door of Ankara and Athens. Otherwise, the agendas of Turkey and Greece will determine the future of the island.”

Observers agree, however, that prospects of reaching an agreement in the coming months have diminished substantially.

Akinci and Anastasiades only have a couple of months to find ways of removing the obstacles, getting the guarantors to compromise and reach an agreement before the process is hindered by the campaign period for the Greek Cypriot presidential elections scheduled for February 2018.

By the time elections are over and the sides can return to the table, many internal and regional developments may have already taken Cyprus into uncharted waters.

http://in-cyprus.com/there-may-be-trouble-ahead/

Turk equality card

By Esra Aygin

Reviving the Conference on Cyprus will largely depend on whether the Cypriot leaders are able to reach agreement on how Turkish and Greek nationals will be treated post settlement.

It is understood that Turkey signalled flexibility in guarantees only if there is agreement between the two sides on the four freedoms of the European Union to apply for Turkish nationals in the event of a solution.

“It seems that only after this issue is clarified, can a date for the next political session of the conference be set,” said a diplomatic source close to the negotiations. “The ball is back in the Cypriot leaders’” and the EU institution’s court.

Turkey’s demand is aimed at securing equal treatment of Turkish and Greek nationals – something based on the principle of ‘balance of power’ between Turkey and Greece which was originally established in the 1960 Constitution.

The Annan Plan also had provisions to retain the greatest possible balance between the rights in Cyprus of EU member Greece and non-EU member Turkey.

The principle of equal treatment of nationals from Turkey and Greece in the event of a solution had been agreed in principle by former Cypriot leaders Mehmet Ali Talat and Demetris Christofias, on condition that it did not affect the demographic structure of the island.

Leaders Mustafa Akinci and Nicos Anastasiades had confirmed this agreement at the beginning of the current process.

But positions at the table seem to be different, as Ankara’s demand for ‘equal treatment with Greece’ may well now mean applying the four freedoms of the EU unrestrictedly to Turkish nationals.

Turkey’s Deputy Prime Minister Tugrul Turkes reiterated this demand on Wednesday, hours before Akinci and Anastasiades were to meet.

“We requested that the four freedoms should apply to Turkey,” said Turkes. “If not, then Greek nationals should be deprived of this also. In other words, let’s create equality in rights and privileges or in deprivation.”

Political observers agree that the full application of four freedoms of the EU to Turkish nationals is not realistic, while saying that certain parameters of the freedoms could apply in a way that furthers Turkey’s already existing privileges arising from the Customs Union and Ankara Agreements with the EU.

Observers also question how far Turkey can push this demand, as it could well lead to a deadlock in the process – something Turkey would not want to be responsible for.

An international Conference on Cyprus two weeks ago in Geneva brought together the Cypriot leaders and the foreign ministers of guarantor states – Turkey, Greece and the United Kingdom – to discuss the thorny issue of security and guarantees.

The Conference continued last week in Mont Pelerin, Switzerland, where a working group of experts from all five parties discussed the issue at a technical level.

Although the agreement was to reconvene the Conference on a political level immediately thereafter, no date has yet been set, since any progress on security and guarantees now clearly depends on progress on the issue of equal treatment of Turks and Greeks.

http://in-cyprus.com/turk-equality-card/