By Jean Christou

DESPITE the significant reduction in public service wages, Cyprus’ compensation of government employees remains among the highest in the EU, the International Monetary Fund (IMF) said yesterday.

Even after wage cuts of 9–15 per cent and a 3 per cent decline in central government employment, compensation of public employees as a share of GDP is the fourth largest in the EU, it said.

And, on the basis of current projections, the compensation is expected to remain around 14 per cent of GDP by 2018 “which is still about 3 percentage points of GDP higher than the 2013 Eurostat database average of 11 percent of GDP”.

The observations were made in the IMF’s Staff Supplement of October 17, updating information on recent developments, and released as part of the Staff Report prepared by an IMF team for the Executive Board’s consideration on October 20.

This followed discussions that ended on July 30, with Cypriot officials on an Article IV consultation. The staff report was completed on October 3. The documents, including a summary, were released under embargo yesterday.

Where the summary takes an overview of what has been achieved so far under Cyprus’ €10bn bailout programme to which the IMF is a party, the Staff Supplement focuses on selected issues, in this instance including non-performing loans (NPLs) and public service wages.

The IMF said that to address high levels of public salaries and pensions, they could be further reduced.

“To reduce the gap with the private sector, salary cuts could be relatively more targeted to the levels of the salary distribution where gaps are the largest,” it said.

It also suggested subjecting public pension gratuities to income tax, which are currently tax free though the government recently tried suggesting they be taxed. It backed off when public service union PASYDY threatened to strike.

The IMF said currently lump-sum payments received at the start of retirement, averaged around €104,637 per person in 2013.

“Taxing them is estimated to yield about 0.2 per cent of GDP,” said the IMF. “Alternatively, fully phasing them out over time could yield up to 0.5 per cent of GDP. Such measures may need to be accompanied by an increase in the eligibility age to receive a gratuity and/or an unreduced pension to limit incentives for early retirement.”

Another way to cut the public service wage bill would be to reduce employment in select sectors such as education.

“The authorities could consider increasing working hours, increasing class size, extending school schedules, and rationalising non-teaching staff,” the IMF said.

These strategies would all result in a reduced need for workers on renewable contracts. For example, reducing 2,000 workers on renewable contracts could save about 0.4 per cent of GDP in three years.

A low and declining student-teacher ratio for basic education was indicative of excess employment in the education sector, the IMF said.

“While the number of students has been declining due to smaller cohorts, the number of teachers increased almost continuously since the 90s and only recently stabilised.” Secondary education seemed to show the largest excess, with an average of only eight students per teacher in 2011, compared to the European average of 14 in 2010 for basic education.

In fact, according to the report, Cyprus spent relatively more than other countries on general public services, defence, public order, and safety and education, of which wage costs exceeded 65 per cent of the spending in each of these categories by the end of 2012.

It said that measures to rationalise the compensation of employees should be accompanied by a reform of the public administration. The reform would need to address the fiscal consequences of the unfreezing of wages as from 2017, which allows for a resumption of automatic salary increase of 3.6 per cent on average and other wage increases.

Key measures the government needs to consider include carrying out a compensation survey to benchmark government salaries with appropriate private sector comparators, aligning salaries with those of the private sector, reforming pay scales to eliminate automatic increases unrelated to performance, revamping the performance appraisal system and facilitating mobility across the public sector. To maximise its benefits, the reform should also apply to the broader public sector, including semi-government organisations, said the IMF.

By Jean Christou

OF all the obstacles to putting the economy back on track, the IMF yesterday honed in on the banks’ non-performing loans (NPLs), citing the urgency for Cyprus to implement a foreclosures framework.

“The recovery of the Cypriot banking sector now hinges primarily on the successful and sustainable resolution of NPLs,” the IMF said in the Staff Supplement to its report. “Uncertainties related to NPLs also contribute to high funding costs, which translate into lending rates that further constrain credit demand,” it added.

NPLs have risen rapidly, and standing at 54 per cent of total loans or 143 per cent of GDP at the end of June. The growing strain was hindering credit and economic recovery.

On top of that, new lending is expected to be limited, given that the economy remains in recession and the recovery is expected to be modest, reducing the banking sectors’ to generate profits, build capital, and attract funding, said the IMF.

A positive result from the upcoming EU bank stess tests would help to boost confidence in the Cypriot banking sector and reduce liquidity pressures

“In sum, while progress has been made to stabilise the banking sector, addressing NPLs resolutely will be key to banks’ long-term viability and the resumption of credit and growth,” the IMF said.

“The reform of the legal regime for foreclosures and insolvency is a critical element.”

Cyprus’ sixth tranche of its bailout programme has been held up due to differences between the executive and legislature on foreclosures legislation. The Supreme Court is to rule on October 30 on whether four instruments tagged to the legislation by parliament are constitutional.

The IMF said a foreclosures framework needed to be implemented without delay and without interference from government agencies.

It described the law’s add-ons as “new obstacles”, including processes to delay foreclosures, moratoria, and debt-write-offs irrespective of viability considerations.

“These obstacles should be removed to protect the payment culture and provide incentives for debt restructuring.”

It said the banks were expected to use the law sparingly and mainly as a negotiation tool, as potentially declining collateral values due to foreclosures would affect their capital.

“To protect vulnerable groups, implementation of the foreclosure law for primary residences should be aligned with the new personal-bankruptcy legislation, and the authorities should ensure adequate implementation of the new safety-net reform protecting those most in need,” the IMF said.

It said supervisory tools also needed to be strengthened. Banks need stronger capacity and better incentives and tools to proactively restructure NPLs to spearhead the recovery. The Central Bank needed to follow up on its review of banks’ operational capacity and ensure that remaining deficiencies were being addressed.

“Early policy initiatives have not managed to curb the rising NPL trend,” the IMF said.

“NPLs are very high both in a historical and cross-country context. This reflects not only the severe recession, but also increasing strategic default. Indeed, NPLs exceed what could be explained by unemployment, especially given the large and positive asset position of households.”

EIGHT measures will be taken to counter the violations of the Cyprus EEZ by Turkey’s ships. These were decided at a two-day National Council meeting, in what the government spokesman described as a “spirit of complete consensus,” and were not very different from those decided a couple of weeks earlier. This time there was no talk of the need for the president to meet President Putin as he had already done a few days ago, during an official dinner in Milan.

A couple of the measures were not more than an expression of intent – the possibility of filing a recourse at the UN Security Council; possibility of taking legal action against companies involved in the Turkish actions – while most involved reporting Turkey’s illegal actions to international organisations and forums, which we have been doing for decades, in relation to the occupation, with no obvious, practical benefit. It was also decided that President Anastasiades would report Turkey to the European Council, which meets today and tomorrow, with a view to securing a condemnation of the violation.

The only practical measure would be the Republic vetoing the opening of new chapters in Turkey’s EU accession negotiations. This had been done before, in response to Turkey’s refusal to comply with the Ankara Protocol and open its ports to Cypriot ships, but it did not secure compliance. However, it is in line with the calls of the hard-line parties for a new strategy on the Cyprus problem that centres on inflicting a cost on Turkey for its continuing occupation. Government spokesman Nicos Christodoulides said on Tuesday that “it is clear who is escalating the crisis and they should feel some pressure or cost for what they are doing.”

None of these measures, unfortunately, will stop the Turkish ship Barbaros violating Cyprus’ EEZ, nor is it likely that the government would secure anything other than some verbal backing for its position from international forums and organisations. The government and the parties seem content that they are seen to be doing something, even though they know it will not achieve anything. They created high expectations with their angry rhetoric and now have to pretend to be taking a tough line. At least they resisted the temptation of calling on the Greek government to send frigates to protect our EEZ as some politicians had suggested. And the suggestion for the closing of the checkpoints was also ignored.

The question is what happens next? Will the president stay away from the talks until the Barbaros heads back to Turkey? And when it does, would he return to the negotiating table or insist that “I do not intend to return to a dialogue of the deaf”? It would appear that the president would be happy to remain trapped in the corner he has manoeuvred himself into.

By Jean Christou

CYPRUS needs to redouble its efforts to put its adjustment programme back on track after derailment by “heightened political opposition, entrenched vested interests, and reform fatigue”, which were taking a toll, the International Monetary Fund (IMF) said yesterday.

“The authorities need to redouble their efforts to achieve a durable economic recovery and an eventual exit from official financing,” the IMF said in a Staff Report at the end of discussions with Cypriot officials on an Article IV consultation.

It said delays in programme implementation had recently emerged. Following the break-up of the governing coalition in February 2014, the government lost its majority in parliament.

“Since then, political opposition to the programme has risen, signs of reform fatigue have emerged, and vested interests have been gaining traction,” said the IMF.

As a result, the authorities have encountered difficulties in implementing key elements of the debt-restructuring legal framework to address non-performing loans (NPL), with parliament having approved foreclosure legislation “that is not in line with programme objectives”.

Cyprus’ sixth tranche of its €10bn bailout programme has been held up due to differences between the executive and legislature on the foreclosures legislation. The Supreme Court is to rule on October 30 on whether four instruments tagged to the legislation by parliament are constitutional.

“In light of these developments and ensuing legal uncertainty, the completion of the fifth review has been delayed… after 18 months of strong implementation,” said the IMF. “The authorities need to overcome recent delays in the implementation of their adjustment programme.”

But, it conceded, overcoming the legacy of the crisis would be challenging. “The crisis has imposed a large cost on the economy and on the population. A painful but unavoidable recession is underway, and unemployment remains very high. Both the private and public sectors remain heavily indebted and the banking sector remains vulnerable, given high and rising NPLs, tight liquidity and capital buffers, and the need to maintain external payment restrictions to protect financial stability,” the report added.

IMF Executive Director for Cyprus, Menno Snel, in statements accompanying the report, said the Cyprus case had raised important policy issues, not least in the areas of modern bank resolution, programme design and timing, the size of financial systems/institutions, corporate governance as well as the inability of regulators or other international economic surveyors – including the Fund – “to ring louder bells in the years leading to this”.

The Cyprus story also served as another stark example of how inaction could lead to severe economic dislocations.

“In a still fragile environment such as the current one, it is a timely reminder that timid policies will only postpone underlying problems which will come to haunt the country later on,” he said.

Firm upfront action could lead to a faster adjustment.

Snel said Cypriot authorities were cognizant that the achievements to date would be jeopardised if there was even a hint of complacency and were therefore determined to push through their commitments “even as headwinds have emerged”.

The IMF report said that with important structural reforms initiated, the focus now needed to be on implementation. The authorities recently legislated key reforms to the welfare system, public financial management, and revenue administration.

“They should ensure that reform implementation continues and manage the transition period prudently. Privatisation efforts should be stepped up. Growth-enhancing structural reforms could help increase the economy’s long-term potential,” the IMF said.

It forecast that Cyprus’ output would contract 3.2 per cent this year before recovering modestly next year. “The outlook is difficult, with the recession expected to continue this year, followed by a modest recovery starting next year. Risks remain tilted to the downside,” said the IMF.

Output is projected to grow by 0.4 per cent next year and expand gradually thereafter. Private consumption will remain subdued, as households reduce debt, rebuild financial wealth, and adjust to lower non-financial wealth.

House prices are projected to fall by a further 5–15 per cent before reaching equilibrium, the report said. Over the medium term, potential growth is expected to remain well below pre-crisis levels. “The crisis will likely have a long-lasting impact on Cyprus’ potential growth, due to physical capital becoming idle and eventually obsolete, human capital shortfalls owing to hysteresis effects, and to individuals leaving the labour force after long unemployment spells.

As a result, long-term potential growth is estimated at 2 per cent, half its pre-crisis level, driven by modest growth in the labor force—underpinned by long-term demographic trends—and education-led productivity improvements, while capital accumulation remains subdued, as resources shift away from construction toward tourism and non-financial services, where Cyprus has a comparative advantage.

“Additional adjustment measures are needed over the medium term to ensure fiscal sustainability. The adjustment should start in 2016, be growth-friendly and balanced over time, and focus on reversing the statutory spending increases that took place before the crisis,” said the report.

“To prevent a rapid rise in public sector wages following their expected unfreezing after the programme period, the wage bill needs to be further rationalised, including by revising current wage levels and pay scales, eliminating automatic increases, reducing employment in overstaffed areas,” it added.

In addition, further tax administration, and welfare reforms would also be needed, the IMF said.

“Even if the authorities manage to put the programme back on track, deeper and more prolonged private sector deleveraging, exacerbated by the impact of persistently low inflation on indebtedness, could weigh on domestic demand and endanger debt sustainability.”

By Andreas Vou

AFTER what has been a hectic few weeks for the club, Apollon will be eager to get back in action on Thursday when they take on Borussia Monchengladbach on Matchday 3 of the Europa League (10.05pm).

Despite a hugely successful last two seasons which have seen Apollon lift the Cyprus Cup as well as reaching the groups stages of the Europa League two years running, the board of the Limassol club opted to part ways with manager Christakis Christoforou two weeks ago.

The shock decision came largely due to two heavy defeats which led the board to lose faith in the 50-year-old. Apollon were beaten 4-0 by Villarreal in their second Europa League group match in Spain and then suffered defeat by the same scoreline at the hands of Nea Salamina a few days later in the Cyprus championship.

The man chosen to take over at the helm is 54-year-old Ioan Andone who now has the unenviable task of preparing his side for their trip to Monchengladbach. Thursday’s match will be Apollon’s first game in over two weeks due to the international break coupled with the pause in the Cypriot first division last weekend.

Monchengladbach have not made an ideal start to their European campaign having drawn against both Villarreal and FC Zurich 1-1.
As far as league form is concerned, however, they are surpassing all expectations as they currently lie second in the Bundesliga just two points behind Bayern Munich and came away with a comprehensive 0-3 victory over Hannover on Saturday.

Apollon sit a place above the Germans in Group A, despite their heavy defeat to Villarreal last time out, thanks to their 3-2 win against Zurich on Matchday 1.

Ibrahima Traore and German international Christoph Kramer have returned to training and are once again at the disposal of manager Lucien Favre after missing the game against Hannover through injury and illness respectively.

Apollon welcome back Spanish midfielder Marcos Gullon from suspension and have a fully-fit squad to choose from.

Monchengladbach sporting director Max Eberl recalls the last time his side faced a team from Limassol and that a high level of focus would be needed to take all three points from Thursday’s encounter.

“The team from Limassol is a difficult opponent. Two years ago, we had endured difficult times in a Europa League match with the other team from Limassol, AEL, but in the end we won 2-0. Thursday’s match requires the necessary concentration to win it.”

As far as the pressure on new boss Andone to get a result, Apollon press officer Fanourios Constantinou downplayed such a suggestion and instead spoke of his confidence as to what lies ahead.

“We are not expecting miracles. It has pleased us that, from his comments, he showed that he knows where he is. Our target is the league and this fills us with confidence.

“It is a tough match, a big test against one of the best teams we have had in Europe. We will go up against a very strong side. We hope to worthily represent Cypriot football and the history of Apollon,” he concluded.

By Leah Schnurr and Randall Palmer

Canada will not be intimidated by a pair of attacks that killed two soldiers this week, Prime Minister Stephen Harper said on Wednesday, adding that security agencies would do everything needed to counter threats to the country.

“Let there be no misunderstanding. We will not be intimidated. Canada will never be intimidated,” Harper said in a brief address to the nation.

“In fact, this will lead us to strengthen our resolve and redouble our efforts – and those of our national security agencies – to take all necessary steps to identify and counter threats and keep Canada safe here at home.”

Harper said it would become clear in days to come whether the man who launched a gun attack on parliament – and whom he called “a terrorist” – was acting alone or had accomplices. A Canadian soldier was shot dead near parliament at the National War Memorial on Wednesday.

“This week’s incidents are a grim reminder that Canada is not immune to the types of terror attacks we have seen elsewhere around the world,” he said.

“Attacks on our security personnel and on our institutions of government are by their very nature attacks on our country, on our values, on our society and on us Canadians.”

On Monday, a Muslim convert ran over two Canadian soldiers with his car in a Quebec parking lot, killing one. That attacker, 25-year-old Martin Rouleau, was among 90 people being tracked by the Royal Canadian Mounted Police on suspicion of taking part in militant activities abroad or planning to do so. Rouleau was shot dead by police after a car chase.

It was not known whether the gun man in Wednesday’s incident was among those 90 people.

By Gul Yousafzai

Eight Shi’ite members of Pakistan’s ethnic Hazara minority were killed and one wounded on Thursday, when gunmen opened fire on a bus in the volatile province of Baluchistan, police said.

No one immediately claimed responsibility. Lashkar-e-Jhangvi, a radical Sunni militant group, has carried out many gun and bomb attacks on Hazaras in the past.

The men were returning from a vegetable market when gunmen intercepted the bus.

“Two gunmen boarded the bus and shot the men,” police officer Imran Qureshi told Reuters. All the victims were Shi’ite Hazaras, said Asad Raza, another senior police officer.

Television broadcast images of the bus surrounded by security officials after the attack.

Hundreds of Shi’ite Hazaras have been killed in bomb attacks and shootings in southwestern Baluchistan in the last few years.

Lashkar-e-Jhangvi has virtually turned Quetta, where the Hazara community is concentrated, into a hunting ground for Shi’ites, with leaflets shoved under doorways warning they are infidels deserving to die.

Given the history of attacks on Hazaras, police usually provide them with security when they go shopping in the main fruit and vegetable market in the city of Quetta.

“This particular group of Hazaras had not informed us about their movement,” senior police officer Aitzaz Goraya said in televised remarks.

As many as 200,000 Hazaras have moved to other cities or abroad, Tahir Hussain Khan, an official of leading rights group the Human Rights Commission of Pakistan, told reporters this month.

Shi’ite Muslims make up about a fifth of Pakistan’s population of around 180 million. More than 800 Shi’ites have been killed in attacks in Pakistan since the beginning of 2012, according to Human Rights Watch.

UN Secretary General Ban Ki-moon is optimistic that the objective for a comprehensive settlement of the Cyprus problem can be achieved, provided that the current political will of the leaders and of their respective communities prevails and that there is continuing support from the international community.

In a report of the UN General Assembly on the organisation`s special missions, including Cyprus, dated September 4 and circulated on October 22, the UN Secretary General notes that, `following an intensive period of discussions between the two sides which started in September 2013, the leaders resumed full-fledged negotiations in February 2014 by adopting a joint declaration which set out the parameters of a unified Cyprus`.

`During the period from January to May 2014 the leaders met twice (in February and March) and five bilateral meetings were held between the United Nations and the two leaders. Following the resumption of negotiations, negotiators appointed by the two leaders replaced the representatives at the negotiation table in July 2014`, he says.

He adds that `the Office of the Special Adviser will continue to facilitate meetings of the two negotiators who have agreed to meet once a week`.

`The negotiators of the two sides have been exchanging papers on topics related to the various chapters for the negotiations. Besides joint meetings of the negotiators, the United Nations continues to engage in regular “shuttle” meetings with the two sides separately, in order to facilitate the discussions on specific issues`, he points out.

Referring to the work of the technical committees, he says that `between January and May 2014 the bicommunal technical committees formulated three new confidence-building measures in the areas of health, cultural heritage and broadcasting, which were approved by the leaders and implemented`, adding that `it is expected that the technical committees will continue to implement further confidence-building measures during the remainder of 2014`.

The Secretary General notes that, following the departure of Alexander Downer as Special Adviser to the Secretary General from his position in April 2014, Acting Special Adviser Lisa Buttenheim, who is the Special Representative of the Secretary General and Head of UNFICYP, `has engaged intensively with the two sides in order to maintain the momentum for the peace process that was gained by the adoption of the joint declaration in February 2014`, adding that `with the appointment of the new Special Adviser to the Secretary General in August 2014, it is expected that the process will continue at a reinvigorated pace, with a combination of direct and shuttle meetings through the end of 2014, with possibly more frequent bilateral meetings between the United Nations and the two leaders`.

On the planning assumptions for 2015, Ban says `the Office of the Special Adviser does not foresee any major changes in its priorities, activities and operational requirements in 2015`, noting that `it will continue to facilitate meetings of the two leaders, their negotiators and experts until a comprehensive settlement is reached and continue its regular “shuttle” meetings with the two sides separately, and engage with a variety of interlocutors, including representatives of political parties, civil society and women’s groups, and with regional and international stakeholders in support of the process`.

Furthermore, the Office will also continue to facilitate the technical committees, including any new committees that may be established, and support confidence-building measures`.

`Should significant progress be achieved in 2015, the United Nations may be called upon to host a multilateral conference to address the final outstanding issues of the negotiations. Should a settlement be reached in 2015, the role of the Office of the Special Adviser may need to be redefined, possibly to assist in the implementation of the agreement`, Ban says.

Referring to his new Special Adviser on Cyprus Espen Barth Eide, the Secretary General notes that he will be based in Geneva and will undertake regular travel to Cyprus to hold meetings with the two sides and facilitate the negotiations. The Special Adviser will also undertake regional travel and travel to New York for consultations with the Secretary-General and other senior officials, as needed, he says.

`In the joint declaration concluded on 11 February 2014, the leaders of the parties agreed to a more comprehensive approach and results-oriented negotiations. Accordingly, the specialized technical expertise of external consultants will continue to be required for resolving areas of disagreement and to facilitate negotiations across chapters. While the staff and facilitators of the Office assume overall responsibility on each chapter of the negotiations, the consultants provide specialized technical expertise, when needed, to contribute to resolving areas of disagreement and devising ideas for implementation strategies`, Ban says.

The Secretary General notes that 26 meetings between the leaders of the two communities were held in 2013, with an estimated 40 in 2014 and a target of 60 in 2015. On the other hand, the negotiators of the leaders held 73 meetings in 2013 to identify areas of convergence, with an estimated 82 meetings for 2014 and a target of 100 for 2015.

Regarding the number of meetings of the working groups and technical committees to discuss specific areas of expertise and identify areas of convergence, 202 meetings were held in 2013, with an estimated 229 for 2014 and a target of 229 for 2015.

The number of papers indicating movement towards convergence between the parties within the full-fledged negotiation process reached 100, with an estimated 100 in 2014 and a target of 150 in 2015.

Furthermore, regarding the implementation of confidence-building measures formulated by the technical committees and approved by the leaders, aimed at easing the daily life of Cypriots across the island, there were 31 confidence-building measures in 2013, with an estimated 37 in 2014 and a target of 40 in 2015.

The Secretary General notes that `the objective is expected to be achieved, provided that the current political will of the leaders and of their respective communities prevails and that there is continuing support from the international community`.

Regarding the budget, Ban says the resource requirements for 2015 represent a decrease of $205,100 compared to the appropriation for 2014, mainly due to a decrease in operational costs, primarily attributable to the reduced travel costs of the incoming Special Adviser who is based in Geneva, unlike the previous Special Adviser, and the reduced requirements for firefighting equipment, cleaning services and consumption of electricity.

CNA

President Nicos Anastasiadeswas taken to a hospital in Brussels this morning after suffering prolonged nosebleeds.

According to government spokesman Nicos Christodoulides, doctors confirmed that the nosebleeds were a result of high blood pressure.

“He was given the proper treatment but due to the nosebleeds and need to avoid a recurrence of the phenomenon, it was recommended he remain in bed for the next 48 hours,” said the spokesman, adding that the president will be closely monitored by a doctor.

As a result of his ailment, the president will miss the European Council meeting where he was intending to drum up support for the denunciation of Turkey’s seismic research in Cyprus’ Exclusive Economic Zone (EEZ).

Instead, he spoke on the phone with European Council President Herman Van Rompuy and with the head of the European People’s Party Joseph Daul, informing them that he will not be able to attend the EPP Summit or the European Council. He will, however, give his views in writing, which will be distributed at both meetings.

Christodoulides said the president relayed Cyprus’ views on Turkey’s actions, as outlined in the recent National Council meeting, to both Van Rompuy and Daul.

It was not yet clear whether Anastasiades would be able to meet with UK Prime Minister David Cameron in Brussels, as scheduled.

By Evie Andreou

The debris found last night floating at sea belonged to the twin-prop Diamond DA42 training plane that went missing on Wednesday night en route to Beirut from Cyprus, Defence Minister Christophoros Fokaides has confirmed.

“By 6.30am today, the aircraft’s debris was been collected on which its registration number is visible and it has been identified as the missing aircraft, but so far neither missing men have been found,” said an announcement from the Larnaca Joint Rescue Coordination Centre (JRCC).

The debris was spotted last night by a Greek tanker, 45 nautical miles from Larnaca.

It is reported that on board the aircraft, that disappeared from the Nicosia flight information region (FIR) some 80 kilometres south east of Larnaca were two men, Cypriot Avgoustinos Avgousti and Lebanese George Obagi.

Sigmalive reported that the debris was being currently collected and loaded on a German war ship and would be transferred to Larnaca airport where investigations will begin on the circumstances of the accident.

According to protocol the accident will be investigated by a three-member committee.

The aircraft took off from Paphos Airport at 6.20pm on Wednesday and reports suggested, the plane, belonging to a pilot training school based in Paphos, started circling over Akrotiri at 9,000 feet.

The pilot was asked if he was encountering a problem and he replied that he had a minor problem and that he was trying to solve it.

The aircraft fell to 6,000 feet and then it disappeared from the radar at 7.04pm.

The Cyprus Civil Aviation department announced at 7.18pm that Nicosia FIR was on alert and notified the JRCC, which deployed a search and rescue operation.

The search for the two men was led by the JRCC with two coast guard vessels and a helicopter, while Israel sent two C130 transport aircrafts and two CH – 53 helicopters.

Lebanon sent also one C130 aircraft to assist in the search.

The JRCC announced that ships and helicopters of the United Nations Interim Force  in Lebanon (UNIFIL) also participated in the search as well as a German vessel, a Brazilian Navy frigate and a Lynx helicopter.

WHENEVER football hooligans go on the rampage, pelting police with rocks, damaging property and injuring each other, politicians and officials waste no time in publicly condemning these actions. They all parade through the morning radio shows expressing abhorrence for the violence, condemning the ‘brainless’ supporters and demanding a clampdown on hooliganism. Everyone takes the moral high ground, criticising the government and the police for not taking action that would deal with the problem.

And now that a government has decided to go beyond words for the first time and take practical measures aimed at tackling football-related violence, all the people that had been calling for action have turned against it. The hapless minister of justice, Ionas Nicolaou, has been under criticism from political parties, football clubs and rights crusaders because he decided to introduce a fan identity card as a way of controlling hooligans. Anyone attending a football match would have to have this ID card from the beginning of next year.

Supporters’ groups opposed it and so did the football clubs. The Cyprus Football Association (CFA) refused to take over the administration of the ID cards, because the clubs that run it were opposed to the plan. This is indicative of how childishly irresponsible the CFA and the clubs are – they did not want to have anything to do with a scheme aimed at ensuring less violence at football matches, so as not to alienate supporters. KOA, the Cyprus Sports Federation has now grudgingly agreed to administer the plan.

Meanwhile, AKEL, which has been particularly sensitive to human rights issues thanks to its historic, close ties to the Soviet Union, have been vehemently opposed to the ID card on the grounds that it infringed on the protection of personal data. By this logic, it should also be opposed to State ID cards, but it is not.

On Wednesday the Commissioner for Personal Data joined the debate, claiming the ID card contravened the principle of proportionality because it was imposed on everyone when the trouble at matches was caused by only a few hundred youths. He suggested that only people between the ages of 15 and 30 should be obliged to have ID. Had he carried out a survey and found there were no troublemakers over the age of 30?

We can only conclude from this mindless disparaging of the government plan that a sizeable section of our society including the clubs and AKEL want to protect the hooligans that are ruining football. Otherwise, they would all back the minister’s commendable effort to actually do something about the problem, which no politician had dared to touch until now.

By Stefanos Evripidou

PRESIDENT Nicos Anastasiades was forced to pull out of a key EU summit yesterday after suffering continuous nose bleeds, a result of high blood pressure, requiring him to spend the night in a Brussels hospital.

The Cypriot delegation, headed by 68-year-old Anastasiades, went to the Belgian capital with the specific aim of convincing EU partners to strongly condemn Turkey’s violations of Cypriot sovereignty in its Exclusive Economic Zone (EEZ).

Turkey’s seismic research vessel Barbaros continued its work uninterrupted yesterday in Cyprus’ EEZ, accompanied by two support ships and Turkish warships, one of which is monitoring ENI’s exploratory drilling in its offshore concession block 9.

Ankara says if the Barbaros finds evidence of gas, it will send a drilling rig to the area. The navigational telex (NAVTEX) issued by Turkey earlier this month reserved large swathes of Cyprus’ EEZ for seismic studies from October 20 to December 30.

The Turkish leadership argues hydrocarbon resources belong to both communities in Cyprus and appears to suggest joint management of the gas before joint management of the island can be agreed.

The president had two forums- the European People’s Party (EPP) summit and the European Council- to sound the alarm at Ankara’s increasingly aggressive energy ambitions, as well as defend his own decision to pull out of UN-sponsored peace talks as a result.

The focus of the EU leaders’ summit was expected to be climate change policy and the economy, but Anastasiades saw it as an opportunity to rally support for Cyprus, which has pledged to use diplomatic, legal and political measures against a bullish Turkey that is viewed by many in the west as a difficult yet necessary ally in the fight against jihadists in Syria and Iraq.

As EU leaders gathered in Brussels to attend the Council meeting, Anastasiades was taken to hospital in the morning complaining of constant nose bleeds. Doctors diagnosed him with high blood pressure.

After being treated, he was discharged and advised to remain in bed for the next 48 hours to avoid a recurrence of the symptoms.

Anastasiades called European Council President Herman Van Rompuy and EPP leader Joseph Daul, informing them that he will not be able to attend the EPP Summit or the European Council. He said he would, however, give his views in writing, to be distributed at both meetings.

According to government spokesman Nicos Christodoulides, the president relayed Cyprus’ views on Turkey’s actions, as outlined in the recent National Council meeting, to both Van Rompuy and Daul.

The spokesman said the changes brought about by the Treaty of Lisbon only allow a head of state or government to attend a European Council meeting.

Anastasiades is both for Cyprus. In such cases, an EU leader has the power to authorise another member of the European Council to represent him at the EU summit. Anastasiades passed the torch to Greek Prime Minister Antonis Samaras, in the hope he would help drum up support for a tougher stance against Ankara’s actions.

Samaras visited Anastasiades at his Brussels hotel where the two coordinated their positions ahead of the EPP summit and two-day European Council, which started yesterday.

By late afternoon, the president was admitted for a second time to a Brussels hospital, this one specialising in Ear, Nose and Throat ailments, to undergo a nasal cauterisation.

Christodoulides said the president’s health was in “good condition”, adding that it was his personal choice to remain in hospital overnight for “purely precautionary reasons”.

He stressed that reports Anastasiades’ health had deteriorated were unfounded.

Meanwhile, Anastasiades had to cancel a scheduled meeting with British Prime Minister David Cameron on the sidelines of the EU summit.

According to public broadcaster CyBC, Cameron asked to be informed on the president’s health from the Greek PM while Van Rompuy said he would visit Anastasiades in hospital today.

It remains to be seen whether Anastasiades’ positions, forwarded by Samaras, will suffice to convince the European Council to rattle Ankara’s cage over its walkabout in Cypriot offshore blocks.

In an interview with Bloomberg last week in Milan, Anastasiades threatened to veto any EU push to expand or prolong sanctions against Russia over its encroachment in Ukraine unless the EU took a stronger stand against Turkey’s provocations in Cyprus.

The CyBC’s Brussels correspondent said last night that so far, the Council’s draft conclusions, to be finalised today, express the EU’s deep concern over the increase of tension in the eastern Med and call on Turkey to respect Cyprus’ sovereign rights. The draft statement says the Council considers it more important than ever to reach a comprehensive solution to the benefit of all Cypriots.

Speaking to the press from Brussels, Christodoulides said: “We expect from our EU partners to send a very strong message to Turkey, so that it terminates its illegal actions in the region, which unfortunately continue.”

According to Cyprus Mail sources, the government’s main supporter at the EU summit is Germany.

An article by German paper Die Welt’s Istanbul correspondent Boris Kalnoky, published online yesterday, suggests Turkey has invested in an ambitious and expansive programme to beef up its navy in recent years with the aim of securing a share of the natural resources in the eastern Med. The paper writes that Cyprus will seek to block Turkey’s EU negotiations in response to the gunboat diplomacy used by Ankara to push its claims on hydrocarbon deposits in the region.

Meanwhile, CyBC reported that Italy, whose ENI energy company has licences for three Cypriot blocks, is also very concerned about Turkey stirring tensions in the eastern Med.

The UK, however, appears to take the view that strong statements against Turkey would only serve to stoke the fire and push the sides further away from resuming peace negotiations.

On Wednesday, the UK Foreign Office said the UK refused to support an EU demarche at the UN against Turkey’s incursion into Cyprus’ EEZ because it risked raising tensions and frustrating peace talks.

The UK’s view was reportedly supported by Sweden and Finland.

The Cypriot government argues that resuming peace talks is a priority, but as long as the Barbaros is sailing off the southern coast of Cyprus, and the NAVTEX continues to be in effect, making direct talks seem increasingly unlikely before December 30.

Turkish Cypriot leader Dervis Eroglu yesterday wished Anastasiades a speedy recovery, adding that he expected him to return to the negotiating table after his illness.
Speaking after a meeting with Turkish Cypriot parties, Eroglu accused the Greek Cypriots of seeking too much territory in the now frozen peace negotiations.

By Ellen Wulfhorst

A New York City doctor who treated Ebola patients in West Africa became the first person to test positive for the virus in America’s largest city, setting off fresh fears about the spread of the disease.

New York Mayor Bill de Blasio said residents were safe to travel around the city, even as officials disclosed that Dr. Craig Spencer had ridden subways, taken a taxi and visited a bowling alley since returning from Guinea on Oct. 17.

Spencer, 33, had worked with the humanitarian organization Doctors Without Borders in Africa. He first developed Ebola symptoms on Thursday morning and was taken from his Manhattan apartment to isolation at Bellevue Hospital by a team wearing protective gear, according to city officials. He had been taking his temperature twice a day since coming home, said city Health Commissioner Mary Travis Bassett.

Two friends and his fiancée are quarantined, she said. His fiancee was quarantined at the hospital, and all three were healthy. The taxi driver did not come into close contact and was not considered at risk, she said.

Spencer is the ninth Ebola case seen in the United States and the first case in America’s largest city, setting off renewed fears about the spread of the virus, which has killed nearly 4,900 people, largely in Liberia, Sierra Leone and Guinea.

The virus is spread through direct contact with bodily fluids from an infected person and is not airborne.

“There is no reason for New Yorkers to be alarmed,” de Blasio said at a news conference at Bellevue. “Being on the same subway car or living near someone with Ebola does not in itself put someone at risk.”

Spencer was not feeling sick and would not have been contagious before Thursday morning, the health commissioner said.

“We consider that it is extremely unlikely, the probability being close to nil, that there would be any problem related to his taking the subway system,” Bassett said.

The U.S. stock market reacted to the new Ebola case after Spencer’s test result was announced late on Thursday. S&P futures fell 9 points or 0.45 percent. The dollar slipped against the euro and the U.S. 10-year Treasury rose, lowering its yield to about 2.24 percent.

The Centers for Disease Control and Prevention (CDC) will confirm the test results within 24 hours, Bassett said.

Spencer’s apartment in Manhattan’s Harlem neighborhood is isolated and sealed off, the health commissioner said.

“I see no reason for the tenants in the apartment building to be concerned,” she said.

Joyce Harrison, who lives in the building across the street, said, “I feel sorry and hope they can nip this in the bud.

“I’ll go right on with my daily routine and hope to God it doesn’t come my way,” she said.

The health commissioner said Spencer completed work in Guinea on Oct. 12 and arrived at John F. Kennedy International Airport in New York on Oct. 17.

Spencer’s Facebook page, which included a photo of him clad in protective gear, said he stopped over in Brussels.

Spencer has specialized in international emergency medicine at Columbia University-New York Presbyterian Hospital in New York City since 2011.

Columbia in a statement said he has not been to work nor seen any patients since his return.

A woman named Morgan Dixon was identified on Spencer’s Facebook page as his fiancee. Her Linked In profile described her as working in nonprofit management and international development with the Hope Program, a career development program for homeless and welfare-dependent adults.

The first person diagnosed with Ebola on U.S. soil flew from Liberia to Texas and died in a Dallas hospital. Two nurses who treated him became infected and one took a commercial flight with a fever, prompting officials in several states to take steps to become better prepared to contain the virus.

The CDC did not name Spencer but said he “participated in the enhanced screening for all returning travelers from these countries” at Kennedy.

The enhanced screening was introduced this month at five major U.S. airports – including Kennedy – for travelers coming from Guinea, Liberia and Sierra Leone.

The doctor “went through multiple layers of screening and did not have a fever or other symptoms of illness,” the CDC added in a statement.

President Nicos Anastasiades is feeling much better today and will possibly be discharged from the hospital specialising in ear, nose and throat treatment in Brussels later today, sources told CNA on Friday.

The president, who travelled to Brussels to take part in the European Council meeting, was forced to pull out of the EU summit after suffering prolonged nosebleeds. He was admitted to hospital on Thursday morning where tests established he was suffering from hypertension.

In a written statement issued yesterday, government spokesman Nicos Christodoulides said the president underwent nasal cauterisation following a nosebleed and was admitted to the specialised hospital in the afternoon where he remained overnight for purely precautionary reasons.

By Iain Rogers

Clashes between Real Madrid and Barcelona are rarely short on drama and Saturday’s La Liga ‘Clasico’ (7pm) may have more than its usual share with Luis Suarez poised to return from a biting ban and Barca team-mate Lionel Messi on the brink of equalling the top-flight scoring record.

Watched by millions around the world, meetings between the European heavyweights have, over the years, showcased the spectacular talents of the game’s best, while occasionally being marred by ugly controversy.

The matches are also played out against the background of national politics and the latest edition has an added edge given the ongoing battle between the central government in Madrid and the Catalan administration in Barcelona over the region’s independence drive.

It is not for nothing that a recent book chronicling the Real-Barca rivalry by Spanish football specialist Sid Lowe was entitled ‘Fear and Loathing in La Liga’.

Those who have graced the ‘Clasico’ over the years include Real greats Alfredo Di Stefano, Ferenc Puskas and Raul and Barca legends Ladislao Kubala, Cesar Rodriguez and Diego Maradona, while the current crop of players boasts multiple Ballon d’Or winners Cristiano Ronaldo and Messi.

The unseemly side of arguably the biggest fixture in club football has seen Barca fans toss the head of a suckling pig at Real midfielder Figo – who left Barca to join their arch rivals – and his Portuguese compatriot Jose Mourinho, at the time in charge at Real, poking Barca assistant coach Tito Vilanova in the eye during a mass brawl.

Saturday’s game at the Bernabeu, the 169th La Liga meeting between the world’s richest clubs by income, is unlikely to produce incidents of similar magnitude and Barca will be hoping Suarez and Messi make headlines for the right reasons.

Suarez’s four-month ban for biting an opponent at the World Cup expires on Friday and the Uruguay forward could make his official Barca debut in a formidable three-pronged attack with Messi and Neymar.

Messi, meanwhile, is one goal short of the Liga scoring record of 251, set six decades ago by Telmo Zarra, and the 27-year-old Argentina captain is the leading scorer in ‘Clasicos’ with 21 goals in all competitions, two more than Di Stefano.

Barca midfielder Ivan Rakitic, who joined from Sevilla in the close season and could feature in his first Real-Barca game, summed up what taking part in a ‘Clasico’ means to a player.

“I dreamed about it as a child but now I don’t want to dream about it I want to experience it,” Rakitic said in an interview with Spanish television broadcaster Gol Television this week.

“I used to watch them at home with my wife as a football fan because it’s a match in which the world’s best players clash,” added the Croatia international.

“Hopefully I won’t have to watch it on TV again because I want to experience it on the pitch.”
After an early-season wobble, Real have been in scintillating form in recent weeks and Ronaldo has netted a jaw-dropping 15 goals in seven La Liga outings.

Messi and Neymar have also been typically prolific, with the Argentine on seven goals and the Brazilian on eight.
A win for leaders Barca, who have yet to concede a goal in eight La Liga matches this term and won both fixtures last season, would stretch their advantage over third-placed Real to seven points.

Real are likely to be without Wales winger and record signing Gareth Bale, who has a buttock muscle strain and missed the Liverpool game, while Spain centre back Sergio Ramos has been sidelined by a calf injury.

“We’re in good form and in good shape, focused and playing really well,” Real coach Carlo Ancelotti said after Wednesday’s 3-0 Champions League success at Liverpool.

“We go into the Clasico in great shape and Barcelona also go into the match in ideal condition.”
The stage is set then for another titanic battle when there will be far more than a mere three points in the La Liga title race at stake.

By Randall Palmer, David Ljunggren and Leah Schnurr

Canada’s capital faced a third day of heightened security on Friday as police searched for any clues that the man who shot and killed a soldier and charged into the parliament building had help in plotting his attack.

The Royal Canadian Mounted Police ordered a detail of officers to remain with Prime Minister Stephen Harper, 24 hours a day, seven days a week, after it emerged that he briefly hid in a closet-like room during Wednesday’s attack.

Michael Zehaf-Bibeau, a 32-year-old Canadian citizen with a record of criminal drug violations was named by police as having carried out the brazen attack. He had undergone a “radicalization process” and applied recently for a passport, hoping to travel to Syria, police said.

He had no apparent links to Martin Rouleau, a 25-year-old convert to Islam who two days earlier drove over two Canadian soldiers, killing one, in Quebec, police said.

Both men were shot dead by security officers.

RCMP Commissioner Bob Paulson said investigators had linked Zehaf-Bibeau to someone charged with what he called a terrorist-related offence. He did not give details other than saying Zehaf-Bibeau’s email was found in the hard drive of that person.

“The investigation is ongoing and will rapidly determine if Zehaf-Bibeau received any support in the planning of his attack,” Paulson told reporters on Thursday.

US officials said on Wednesday they had been advised Zehaf-Bibeau was a convert to Islam. Zehaf-Bibeau, who was born in Montreal and had gone on to live in Calgary and Vancouver, had traveled to Ottawa on Oct. 2 and was trying to secure a passport, said Paulson, who added that he had wanted to go to Syria but had been frustrated by a delay in issuing the passport.

Checks by the RCMP did not turn up any evidence of criminality related to national security, although he did have a record of infractions related to drugs, violence and other criminal activities, Paulson said.

Zehaf-Bibeau was not one of a group of 93 people the RCMP are investigating as “high-risk travelers,” he added.

The attacks took place in a week when Canada sent six warplanes to the Middle East to participate in U.S.-led air strikes against Islamic State militants who have taken over parts of Iraq.

Harper said the attack would only strengthen Canada’s response to “terrorist organizations.”

By Simon Johnson

The Swedish military said on Friday that it had called of its search for a suspected foreign submarine in waters off Stockholm after a week-long hunt, ending the country’s biggest military mobilisation since the Cold War.

More than 200 troops, stealth ships and helicopters have scoured waters off Stockholm since last Friday after reports of foreign “underwater activity” – suspected to be a Russian sub.

“This means the bulk of ships and amphibious forces have returned to port,” the armed forces said in a statement, adding that some smaller forces would remain in the area.

The military had received what it described as credible reports of activity by foreign submarines or divers using an underwater vehicle. The vessels were unidentified, but during the 1980s the Swedish navy from time to time hunted suspected Soviet submarines in its waters

The incident heightened tensions in a region where governments are increasingly worried about Russian assertiveness since the Ukraine crisis.

In another incident, NATO and Swedish fighter jets were scrambled to intercept a Russian intelligence-gathering plane that briefly entered Estonian airspace on Tuesday. The Estonian Foreign Ministry formally protested to Russia.

By Dave Graham

The governor of a Mexican state roiled by the disappearance of dozens of students that has sparked protests and embarrassed President Enrique Pena Nieto, bowed to pressure on Thursday and said he was standing down.

Angel Aguirre, governor of the impoverished state of Guerrero in southwest Mexico, said he was taking a leave of absence. The move is the only option open to him given he cannot resign by law. His replacement will be chosen by the Guerrero state assembly.

Aguirre, 58, a member of the leftist Party of the Democratic Revolution (PRD), has faced sustained criticism since the disappearance of 43 students in the city of Iguala after clashes with police there the night of Sept. 26.

Police suspected of being in league with local gangsters shot dead one of the students that night and abducted at least two dozen more, according to Mexico’s attorney general.

A gaunt-looking Aguirre said he was standing down to help improve the political climate around the investigation.

“Let it be clear that Angel Aguirre, even though he’s no longer in the job, will be ready to contribute to investigations to clear up the facts,” PRD leader Carlos Navarrete said.

Dozens of bodies have been uncovered in mass graves in the hills around Iguala, whose mayor, accused with his wife and police chief of orchestrating the students’ disappearance, is on the run. However, investigators say they have yet to identify the remains of any of the students.

The incident, which has shocked the country and sparked protest marches across Mexico, was the latest in a string of killings and discoveries of mass graves in recent months.

Ruling party politician Gilberto Sanchez, a former Mexico City lawmaker who is standing in for federal Congressman Manuel Anorve, was shot dead outside his home in Mexico City late on Wednesday.

Two other politicians have been murdered since September, one of whom was kidnapped in broad daylight from his vehicle on a busy highway.

Lawmakers fear the security lapses will undermine Pena Nieto’s reforms aimed at bringing in investment to revive the economy, which has been the main focus of his government.

Critics say Pena Nieto’s economic reforms have come at the expense of a strategy to stop gang violence that has claimed around 100,000 lives since the start of 2007.

Aguirre, who once belonged to Pena Nieto’s Institutional Revolutionary Party (PRI), also served as governor of Guerrero for the PRI from 1996 to 1999 after the then-incumbent stepped down following a massacre of 17 farmers by state police.

Over the past two years, government buildings and political offices in Guerrero have been trashed, occupied and set fire to by critics of the administration of Aguirre, who had cut an increasingly isolated figure within the PRD in recent weeks.

By Barbara Lewis and Alastair Macdonald

European Union leaders struck a deal on a new target to cut carbon emissions out to 2030, calling it a new global standard but leaving critics warning that compromises had undermined the fight against climate change.

Talks in Brussels stretched into the small hours of Friday as Poland battled to spare its coal industry and other states tweaked the guideline text on global warming to protect varied economic interests, from nuclear plants and cross-border power lines to farmers whose livestock belch out polluting methane.

In the end, an overall target was agreed for the 28-nation bloc to cut its emissions of carbon in 2030 by at least 40 per cent from levels in the benchmark year of 1990. An existing goal of a 20-per cent cut by 2020 has already been nearly met.

EU leaders called the 40-per cent target an ambitious signal to the likes of the United States and China to follow suit at a UN climate summit France is hosting in December next year.

“Europe is setting an example,” French President Francois Hollande said, acknowledging that it had been a hard-won compromise but calling the final deal “very ambitious”.

“Ultimately, this is about survival,” said summit chair Herman Van Rompuy, the president of the European Council.

But environmentalists had already complained that the deal could still leave the EU struggling to make the at least 80-percent cut by 2050 that its own experts say is needed to limit the rise in global average temperatures to two degrees Celsius.

Natalia Alonso of Oxfam welcomed the 40-per cent goal but said: “(It) falls far too short of what the EU needs to do to pull its weight in the fight against climate change. Insufficient action like this from the world’s richest countries places yet more burden on the poorest people most affected by climate change, but least responsible for causing this crisis.”

RENEWABLE ENERGY

The European Union accounts for about a tenth of world greenhouse gas emissions and has generally done more than other major industrial powers to curb the gases blamed for global warming.

But Green campaigners said Friday’s deal signalled the EU was becoming less ambitious.

Aside from the headline emissions goals, they were disappointed by a softening in the final agreement of targets for increasing the use of solar, wind and other renewable energy sources and for improving efficiency through measures such as insulation and cleaner engines.

Diplomats said bargaining by Poland’s new prime minister Eva Kopacz, who faces an election next year, secured a complex set of financial incentives. They include free allowances in the EU system for trading carbon emissions to soften the impact of the target on Polish coal miners and the coal-fired power stations on which its 38 million people depend.

Concerns in Britain and some smaller states about additional EU regulation that might, for example, crimp a new expansion of emissions-free but controversial nuclear power, saw targets for increased use of renewable energy and for energy efficiency softened.

Van Rompuy said the two targets would be for at least 27 per cent. They would also only apply across the bloc as a whole, unlike the broad 40-percent target that binds each state individually.

Renewable energy sources produce about 14 percent of the EU’s energy at present.

Brook Riley of Friends of the Earth said: “This deal does nothing to end Europe’s dependency on fossil fuels or to speed up our transition to a clean energy future. It’s a deal that puts dirty industry interests ahead of citizens and the planet.”

Some industrialists have complained that EU climate regulations risk discouraging business and investment in the bloc at a time when its faltering economy can ill afford to lose it. But others, echoed by EU officials on Friday, see changes in energy use as an opportunity to develop new industries.

Portugal and Spain succeeded in getting a harder target for the level of cross-border connections, something they had been pushing France to accept so that they could export more of their spare energy across France and to the rest of the continent.

In the middle of a confrontation with Russia over Moscow’s role in the Ukraine conflict, the EU also took the opportunity to set out strategic objectives for “energy security” – code for reducing its heavy reliance on Russian natural gas.

By Barbara Goldberg

A hatchet-wielding attacker charged a group of New York City police officers posing for a photograph on Thursday, wounded two, one critically, before the assailant was shot dead, police said.

The officers were on foot patrol when they were asked by a freelance photographer to pose for a picture on a Queens street at about 2 pm, a New York Police Department spokesman said.

Suddenly a man carrying a hatchet charged the officers, swinging it and striking one officer in the right arm and then swinging it again and striking a second officer in the head, the spokesman said.

The remaining two officers fired their weapons at the man, hitting him. The suspect, whose identity was not yet confirmed but who was said to be approximately 32 years old, was pronounced dead at the scene.

A 29-year-old female bystander was struck by a stray bullet. She underwent surgery and was recovering at the hospital, the spokesman said.

Both officers were being treated at Jamaica Hospital, with the 25-year-old officer who was hit in the head in a critical but stable condtion after undergoing surgery, police said. The other officer, who is 24 years old, was in stable condition, the spokesman said.

“At this point, no known motive for this attack has been established,” Police Commissioner William Bratton told a press conference.

Police declined to comment on media reports that the attack was tied to “terrorism” and that an internal memo urged officers to maintain a heightened level of awareness in the wake of recent attacks in Canada.

All four officers involved in the New York City incident graduated on July 8 from the city Police Academy.