31 MARCH 2004

THE COMPREHENSIVE

SETTLEMENT OF THE

CYPRUS PROBLEM

 

List of Appendices

A. Foundation Agreement

B. Constituent State Constitutions

C. Treaty on matters related to the new state of affairs in Cyprus

D. Draft Act of Adaptation of the terms of accession of the United Cyprus Republic to the European Union

E. Matters to be submitted to the United Nations Security Council for Decision

F. Measures to be taken during April 2004

2

A. FOUNDATION AGREEMENT

Table of Contents

MAIN AR6

Annex I: Constitution of the United Cyprus Republic ......................................................................17

Attachment 1: Map of the United Cyprus Republic and its Constituent States ................................ 46

Attachment 2: Flag of the United Cyprus Republic........................................................................... 48

Attachment 3: Anthem of the United Cyprus Republic ..................................................................... 49

Attachment 4: Federal Property........................................................................................................ 50

Attachment 5: Catalogue of Human Rights and Fundamental Freedoms........................................ 51

Annex II: Constitutional Laws.............................................................................................................59

Attachment 1: Constitutional Law on the Elaboration and Adoption of Constitutional Laws............ 60

Attachment 2: Constitutional Laws on Police Matters and Composition and Functions of

the Joint Investigation Agency.......................................................................................................... 60

Attachment 3: Constitutional Law on Internal Constituent State Citizenship Status and

Constituent State Residency Rights ................................................................................................. 60

Annex III: Federal Laws .......................................................................................................................61

Attachment 1: Federal Law on the Anthem, Flag, Insignia and Honours of the United

Cyprus Republic ............................................................................................................................... 62

Attachment 2: Federal Law on Conduct of External Relations......................................................... 62

Attachment 3: Federal Law on Conduct of European Union Relations............................................ 62

Attachment 4: Federal Law on the Citizenship of the United Cyprus Republic and for

Matters Connected Therewith or Incidental thereto.......................................................................... 62

Attachment 5: Federal Laws on Aliens, Immigration and Asylum .................................................... 62

Attachment 6: Federal Law on the Central Bank of Cyprus ............................................................. 62

Attachment 7: Federal Law on Value-Added Tax............................................................................. 62

Attachment 8: Federal Laws on the Budget ..................................................................................... 63

Attachment 9: Federal Laws on International Trade, Customs and Excise ..................................... 63

Attachment 10: Federal Law on Civil Aviation and Airspace Management...................................... 63

Attachment 11: Federal Laws on International Navigation, Territorial Waters, and

Continental Shelf .............................................................................................................................. 63

Attachment 12: Federal Law on the Natural Water Resources of the United Cyprus

Republic, for Equitable Sharing of These Resources between the Constituent States and

for Purposes Connected Therewith .................................................................................................. 66

Attachment 13: Federal Law on Natural Resources......................................................................... 66

Attachment 14: Federal Laws on Implementation of Federal Laws ................................................. 66

Attachment 15: Federal Laws on Communications .......................................................................... 66

Attachment 16: Federal Law on the Meteorological Service of Cyprus and to Provide for

its Functions and for Purposes Connected Therewith...................................................................... 67

Attachment 17: Federal Law on the establishment of Standards of Weights and

Measures Based on the Metric System and to Provide for Matters Connected Therewith

or Incidental  67

Attachment 18: Federal Laws on Intellectual Property ..................................................................... 67

Attachment 19: Federal Laws on Antiquities .................................................................................... 67

Attachment 20: Federal Laws on Elections ...................................................................................... 68

Attachment 21: Federal Law on Federal Government Immunities and Exemptions........................ 68

Attachment 22: Federal Laws on Administration .............................................................................. 68

Attachment 23: Federal Law on the Official languages of the United Cyprus Republic................... 68

Attachment 24: Federal Law on Federal Police and Joint Investigation Agency ............................. 68

Attachment 25: Federal Law on Legislative Procedure and on Procedure for

Amendments of the Constitution....................................................................................................... 68

Attachment 26: Federal Laws on Administration of Justice.............................................................. 68

Attachment 27: Federal Law on Federal Offences........................................................................... 69

Attachment 28: Federal Law on Impeachment................................................................................. 69

Attachment 29: Federal Laws on the Award of Contracts ................................................................ 69

Attachment 30: Federal law on the Protection of Personal Data...................................................... 69

Attachment 31: Federal Laws on Regulation of Capital Markets ..................................................... 69

Attachment 32: Federal laws on Regulation of Insurance Markets .................................................. 70

Attachment 33: Federal Laws on Banking........................................................................................ 70

4

Attachment 34: Federal Law ON the Control of Concentrations between undertakings for

the purposes of Effective Competition.............................................................................................. 70

Attachment 35: Federal Law on the Protection of Competition ........................................................ 70

Annex IV: Cooperation Agreements between the Federal Government and the

constituent states.71

Attachment 1: Cooperation Agreement on External Relations......................................................... 72

Attachment 2: Cooperation Agreement on European Union Relations............................................ 72

Attachment 3: Cooperation Agreement between the Federal Government and the

Constituent States on Police Matters ............................................................................................... 72

Annex V: List of International Treaties and Instruments binding on the United

Cyprus Republic...73

Annex VI: Territorial Arrangements ...................................................................................................74

Attachment 1: Detailed Description of the Course of the Boundary between the

Constituent States ............................................................................................................................ 79

Attachment 2: Maps of Territorial Adjustment .................................................................................. 87

Attachment 3: Detailed Description of Phasing Lines of Territorial Adjustment ............................... 90

Annex VII: Treatment of Property affected by Events since 1963...................................................95

Attachment 1: Definitions.................................................................................................................. 106

Attachment 2: The Cyprus Property Board and Compensation Arrangements ............................... 110

Attachment 3: Measures in favour of Current Users ........................................................................ 126

Attachment 4: Property located in Areas Subject to Territorial Adjustment ..................................... 130

Attachment 5: Letter to the President of the European Court of Human Rights .............................. 133

Annex VIII: Reconciliation Commission ..........................................................................................134

Annex IX: Coming into Being of the New State of Affairs..............................................................137

Attachment 1: Letter to the Secretary-General of the United Nations.............................................. 139

Attachment 2: Letter to the President of the European Council ....................................................... 140

Attachment 3: Letter to the Secretary-General of the Council of Europe......................................... 141

5

MAIN ARTICLES

i. Affirming that Cyprus is our common home and recalling that we

were co-founders of the Republic established in 1960

ii. Resolved that the tragic events of the past shall never be repeated

and renouncing forever the threat or the use of force, or any

domination by or of either side

iii. Acknowledging each other’s distinct identity and integrity and that

our relationship is not one of majority and minority but of political

equality where neither side may claim authority or jurisdiction over

the other

iv. Deciding to renew our partnership on that basis and determined

that this new bi-zonal partnership shall ensure a common future in

friendship, peace, security and prosperity in an independent and

united Cyprus

v. Underlining our commitment to international law and the principles

and purposes of the United Nations

vi. Committed to respecting democratic principles, individual human

rights and fundamental freedoms, as well as each other’s cultural,

religious, political, social and linguistic identity

vii. Determined to maintain special ties of friendship with, and to

respect the balance between, Greece and Turkey, within a peaceful

environment in the Eastern Mediterranean

viii. Looking forward to joining the European Union, and to the day

when Turkey does likewise

We, the Greek Cypriots and the Turkish Cypriots, exercising our inherent

constitutive power, by our free and democratic, separately expressed

common will adopt this Foundation Agreement.

6

Article 1

Article 2

The new state of affairs

1. This Agreement establishes a new state of affairs in Cyprus.

2. The treaties listed in this Agreement bind Cyprus and the attached

legislation shall apply upon entry into force of this Agreement.

3. The Treaty of Establishment, the Treaty of Guarantee, and the Treaty of

Alliance remain in force and shall apply mutatis mutandis to the new

state of affairs. Upon entry into force of this Agreement, Cyprus shall

sign a Treaty with Greece, Turkey and the United Kingdom on matters

related to the new state of affairs in Cyprus, along with additional

protocols to the Treaties of Establishment, Guarantee and Alliance.

4. Cyprus shall be a full member of the European Union as of 1 May 2004.

5. Cyprus shall maintain special ties of friendship with Greece and Turkey,

respecting the balance in Cyprus established by the Treaty of Guarantee

and the Treaty of Alliance and this Agreement, and as a European Union

member state shall support the accession of Turkey to the Union.

6. Any unilateral change to the state of affairs established by this

Agreement, in particular union of Cyprus in whole or in part with any

other country or any form of partition or secession, is prohibited. Nothing

in this Agreement shall in any way be construed as contravening this

prohibition.

The United Cyprus Republic, its federal government, and

its constituent states

1. The status and relationship of the United Cyprus Republic, its federal

government, and its constituent states, is modeled on the status and

relationship of Switzerland, its federal government, and its cantons.

Accordingly:

a. The United Cyprus Republic is an independent state in the form of an

indissoluble partnership, with a federal government and two equal

constituent states, the Greek Cypriot State and the Turkish Cypriot

State. Cyprus is a member of the United Nations and has a single

international legal personality and sovereignty. The United Cyprus

Republic is organised under its Constitution in accordance with the

basic principles of rule of law, democracy, representative republican

government, political equality, bi-zonality, and the equal status of the

constituent states.

b. The federal government sovereignly exercises the powers specified

in the Constitution, which shall ensure that Cyprus can speak and act

with one voice internationally and in the European Union, fulfill its

7

obligations as a European Union member state, and protect its

integrity, borders, resources and ancient heritage.

c. The constituent states are of equal status. Within the limits of the

Constitution, they sovereignly exercise all powers not vested by the

Constitution in the federal government, organising themselves freely

under their own Constitutions.

2. The constituent states shall cooperate and co-ordinate with each other

and with the federal government, including through Cooperation

Agreements, as well as through Constitutional Laws approved by the

federal Parliament and both constituent state legislatures. In particular,

the constituent states shall participate in the formulation and

implementation of policy in external relations and European Union affairs

on matters within their sphere of competence, in accordance with

Cooperation Agreements modeled on the Belgian example. The

constituent states may have commercial and cultural relations with the

outside world in conformity with the Constitution.

3. The federal government and the constituent states shall fully respect and

not infringe upon the powers and functions of each other. There shall be

no hierarchy between federal and constituent state laws. Any act in

contravention of the Constitution shall be null and void.

4. The Constitution of the United Cyprus Republic may be amended by

separate majority of the voters of each constituent state in accordance

with the specific provisions of the Constitution.

Article 3 Citizenship, residency and identity

1. There is a single Cypriot citizenship. Special majority federal law shall

regulate eligibility for Cypriot citizenship.

2. All Cypriot citizens shall also enjoy internal constituent state citizenship

status. This status shall complement and not replace Cypriot citizenship.

3. Other than in elections of Senators, which shall be elected by Greek

Cypriots and Turkish Cypriots separately, political rights at the federal

level shall be exercised based on internal constituent state citizenship

status. Political rights at the constituent state and local level shall be

exercised at the place of permanent residency.

4. To preserve its identity, Cyprus may adopt specified non-discriminatory

safeguard measures in conformity with the acquis communautaire in

respect of immigration of Greek and Turkish nationals.

5. In addition, for a transitional period of 19 years or until Turkey’s

accession to the European Union, whichever is earlier, Cyprus may limit

the right of Greek nationals to reside in Cyprus if their number has

reached 5% of the number of resident Cypriot citizens holding Greek

Cypriot internal constituent state citizenship status, or the right of Turkish

nationals to reside in Cyprus if their number has reached 5% of the

8

number of resident Cypriot citizens holding Turkish Cypriot internal

constituent state citizenship status.

6. To preserve its identity, a constituent state may adopt specified nondiscriminatory

safeguard measures, in conformity with the acquis

communautaire, in respect of the establishment of residence by persons

not holding its internal constituent state citizenship status.

7. In addition, for a transitional period a constituent state may, pursuant to

Constitutional Law, limit the establishment of residence by persons

hailing from the other constituent state. To this effect, it may establish a

moratorium until the end of the fifth year after entry into force of the

Foundation Agreement, after which limitations are permissible if the

number of residents hailing from the other constituent state has reached

6% of the population of a village or municipality between the 6th and 9th

years and 12% between the 10th and 14th years and 18% of the

population of the relevant constituent state thereafter, until the 19th year

or Turkey’s accession to the European Union, whichever is earlier. After

the second year, no such limitations shall apply to former inhabitants

over the age of 65 accompanied by a spouse or sibling, nor to former

inhabitants of specified villages.

Article 4

Article 5

Fundamental rights and liberties

1. Respect for human rights and fundamental freedoms shall be enshrined

in the Constitution. There shall be no discrimination against any person

on the basis of his or her gender, ethnic or religious identity, or internal

constituent state citizenship status. Freedom of movement and freedom

of residence may be limited only where expressly provided for in this

Agreement.

2. Greek Cypriots and Turkish Cypriots living in specified villages in the

other constituent state shall enjoy cultural, religious and educational

rights and shall be represented in the constituent state legislature.

3. The rights of religious minorities, namely the Maronite, the Latin and the

Armenian, shall be safeguarded in accordance with international

standards, and shall include cultural, religious and educational rights as

well as representation in federal Parliament and constituent state

legislatures.

The federal government

1. The federal Parliament composed of two chambers, the Senate and the

Chamber of Deputies, shall exercise the legislative power:

a. Each Chamber shall have 48 members. The Senate shall be

composed of an equal number of Greek Cypriots and Turkish

Cypriots. The Chamber of Deputies shall be composed in proportion

to persons holding internal constituent state citizenship status of

9

each constituent state, provided that each constituent state shall be

attributed no less than one quarter of seats.

b. Decisions of Parliament shall require the approval of both Chambers

by simple majority, including one quarter of voting Senators from

each constituent state. For specified matters, a special majority of

two-fifths of sitting Senators from each constituent state shall be

required.

2. The Office of Head of State is vested in the Presidential Council, which

shall exercise the executive power:

a. The Presidential Council shall be elected on a single list by special

majority in the Senate and approved by majority in the Chamber of

Deputies for a five year term. It shall comprise six voting members,

and additional non-voting members should Parliament so decide.

The composition of the Presidential Council shall be proportional to

the number of persons holding the internal constituent state

citizenship status of each constituent state, though no less than onethird

of the voting members and one-third of any non-voting members

of the Council must come from each constituent state.

b. The Presidential Council shall strive to reach decisions by

consensus. Where it fails to reach consensus, it shall, unless

otherwise specified, take decisions by simple majority of members

present and voting, provided this comprises at least one member

from each constituent state.

c. Notwithstanding voting rights, the members of the Council shall be

equal. The Council shall decide on the attribution of Departments

among its members. The heads of the Departments of Foreign

Affairs and European Union Affairs shall not come from the same

constituent state.

d. Unless the Presidential Council decides otherwise, it shall elect two

of its members not hailing from the same constituent state to rotate

every twenty months in the offices of President and Vice-President of

the Council. The member hailing from the more populous constituent

state shall be the first President in each term. The President, and in

his absence or temporary incapacity, the Vice-President, shall

represent the Council as Head of State and Head of Government.

The Vice-President shall accompany the President to meetings of the

European Council. The President and Vice-President shall not enjoy

a casting vote or otherwise increased powers within the Council.

e. The heads of government of the constituent states shall be invited to

participate without a vote in all meetings of the Council in the first ten

years after entry into force of the Agreement, and thereafter on a

periodical basis.

3. The Central Bank of Cyprus, the Office of the Attorney-General and the

Office of the Auditor-General shall be independent.

10

Article 6

Article 7

Article 8

The Supreme Court

1. The Supreme Court shall uphold the Constitution and ensure its full

respect.

2. It shall comprise an equal number of judges from each constituent state,

and three non-Cypriot judges until otherwise provided by law.

3. The Supreme Court shall, inter alia, resolve disputes between the

constituent states or between one or both of them and the federal

government, and resolve on an interim basis deadlocks within federal

institutions if this is indispensable to the proper functioning of the federal

government.

Transitional federal and constituent state institutions

1. The federal institutions shall be in place upon entry into force of the

Foundation Agreement, and shall evolve in their operation during

transitional periods.

2. The transitional constituent state legislatures, executives and judiciaries

shall be in place upon entry into force in accordance with this agreement.

At the federal level, the office of Head of State shall be vested in a Co-

Presidency. The federal government shall be composed of a Council of

Ministers of six members (three Greek Cypriots, three Turkish Cypriots).

Delegates from each constituent state parliament shall sit in the

transitional federal Parliament (24 Greek Cypriots, 24 Turkish Cypriots)

and in the European Parliament (four Greek Cypriots, two Turkish

Cypriots).

3. There shall be general elections at constituent, federal and European

Union level on 13 June 2004, after which the constituent state and

federal governments shall operate regularly, though the office of

President and Vice-President at the federal level shall rotate every 10

months during the first term of the Presidential Council.

4. The Supreme Court shall assume its functions upon entry into force of

the Foundation Agreement.

Demilitarisation

1. Bearing in mind that:

a. The Treaty of Guarantee, in applying mutatis mutandis to the new

state of affairs established in this Agreement and the Constitution,

shall cover, in addition to the independence, territorial integrity,

security and constitutional order of the United Cyprus Republic, the

territorial integrity, security and constitutional order of the constituent

states;

11

b. Greek and Turkish contingents shall be permitted to be stationed

under the Treaty of Alliance in the Greek Cypriot State and the

Turkish Cypriot State respectively as follows:

i) each contingent not to exceed 6,000 all ranks, until

2011;

ii) each contingent not to exceed 3,000 all ranks

thereafter until 2018 or the European Union accession

of Turkey, whichever is sooner; and

iii) the Greek contingent not to exceed 950 all ranks and

the Turkish contingent not to exceed 650 all ranks

thereafter, subject to three-yearly review with the

objective of total withdrawal;

c. Greek and Turkish forces and armaments shall be redeployed to

agreed locations and adjusted to agreed levels, and any forces and

armaments in excess of agreed levels shall be withdrawn;

d. There shall be a United Nations peacekeeping operation to monitor

the implementation of this Agreement and use its best efforts to

promote compliance with it and contribute to the maintenance of a

secure environment, to remain as long as the federal government,

with the concurrence of both constituent states, does not decide

otherwise;

e. The supply of arms to Cyprus shall be prohibited in a manner that is

legally binding on both importers and exporters; and

f. A Monitoring Committee composed of representatives of the

guarantor powers, the federal government, and the constituent

states, and chaired by the United Nations, shall monitor the

implementation of this Agreement,

Cyprus shall be demilitarised, and all Greek Cypriot and Turkish Cypriot

forces, including reserve units, shall be dissolved, and their arms

removed from the island, in phases synchronized with the redeployment

and adjustment of Greek and Turkish forces.

2. There shall be no paramilitary or reserve forces or military or paramilitary

training of citizens. All weapons except licensed sporting guns shall be

prohibited.

3. The constituent states shall prohibit violence and the incitement to

violence against the United Cyprus Republic, the federal government,

the constituent states, or the guarantor powers.

4. Cyprus shall not put its territory at the disposal of international military

operations other than with the consent of both constituent states; until

the accession of Turkey to the European Union, the consent of Greece

and Turkey shall also be required.

5. The federal government and the constituent states shall cooperate with

the United Nations operation. The United Cyprus Republic shall bear

half the cost to the United Nations of the operation in the first three years

and two-thirds thereafter. This arrangement shall be reviewed in 2010.

12

6. These provisions do not prejudice the provisions of the Treaty of

Establishment, the Treaty of Guarantee, the Treaty of Alliance, the

mandate of a United Nations peacekeeping operation and the provisions

of the Constitution on federal and constituent state police and the Joint

Investigation Agency.

Article 9

Article 10

Constituent state boundaries and territorial adjustment

1. The territorial boundaries of the constituent states shall be as depicted in

the map which forms part of this Agreement.1

2. Areas subject to territorial adjustment which are legally part of the Greek

Cypriot State upon entry into force of this Agreement, shall be

administered during an interim period by the Turkish Cypriot State.

Administration shall be transferred under the supervision of the United

Nations to the Greek Cypriot State in six phases over a 42 month period,

beginning 104 days after entry into force of this Agreement with the

transfer of administration of largely uninhabited areas contiguous with

the remainder of the Greek Cypriot State. United Nations supervision of

activities related to territorial transfer shall be enhanced in the last

months before handover of specified areas as outlined in the Agreement.

3. Special arrangements shall safeguard the rights and interests of current

inhabitants of areas subject to territorial adjustment, and provide for

orderly relocation to adequate alternative accommodation in appropriate

locations where adequate livelihoods may be earned.

Property

1. The claims of persons who were dispossessed of their properties by

events prior to entry into force of this Agreement shall be resolved in a

comprehensive manner in accordance with international law, respect for

the individual rights of dispossessed owners and current users, and the

principle of bi-zonality.

2. In areas subject to territorial adjustment, properties shall be reinstated to

dispossessed owners.

3. In areas not subject to territorial adjustment, the arrangements for the

exercise of property rights, by way of reinstatement or compensation,

shall have the following basic features:

a. Dispossessed owners who opt for compensation, as well as

institutions, shall receive full and effective compensation for their

1 Observation: There are, in fact, two maps attached to the Constitution. The first map

depicts the territory of the United Cyprus Republic and the territorial boundaries of the

constituent states upon entry into force of the Foundation Agreement. The second map

depicts the territory of the United Cyprus Republic and the territorial boundaries of the

constituent states upon entry into force of the Additional Protocol to the Treaty of

Establishment.

13

property on the basis of value at the time of dispossession adjusted

to reflect appreciation of property values in comparable locations.

Compensation shall be paid in the form of guaranteed bonds and

appreciation certificates;

b. All other dispossessed owners have the right to reinstatement of onethird

of the value and one-third of the area of their total property

ownership, and to receive full and effective compensation for the

remaining two-thirds. However, they have the right to reinstatement

of a dwelling they have built, or in which they lived for at least ten

years, and up to one donum of adjacent land, even if this is more

than one-third of the total value and area of their properties;

c. Dispossessed owners may choose any of their properties for

reinstatement, except for properties that have been exchanged by a

current user or bought by a significant improver in accordance with

the scheme. A dispossessed owner whose property cannot be

reinstated, or who voluntarily defers to a current user, has the right to

another property of equal size and value in the same municipality or

village. S/he may also sell his/her entitlement to another

dispossessed owner from the same place, who may aggregate it with

his/her own entitlement;

d. Current users, being persons who have possession of properties of

dispossessed owners as a result of an administrative decision, may

apply for and shall receive title, if they agree in exchange to

renounce their title to a property, of similar value and in the other

constituent state, of which they were dispossessed;

e. Persons who own significant improvements to properties may apply

for and shall receive title to such properties provided they pay for the

value of the property in its original state; and

f. Current users who are Cypriot citizens and are required to vacate

property to be reinstated shall not be required to do so until adequate

alternative accommodation has been made available.

4. Property claims shall be received and administered by an independent,

impartial Property Board, governed by an equal number of members

from each constituent state, as well as non-Cypriot members. The

Property Board shall be organized into branches in accordance with

sound economic practice. No direct dealings between individuals shall

be necessary.

Article 11 Reconciliation Commission

1. An independent, impartial Reconciliation Commission shall promote

understanding, tolerance and mutual respect between Greek Cypriots

and Turkish Cypriots.

2. The Commission shall be composed of men and women, in equal

numbers from each constituent state, as well as at least one non-Cypriot

member, which the Secretary-General of the United Nations is invited to

14

appoint in consultation with the federal government and the constituent

states.

Article 12

Article 13

Past acts

1. Any act, whether of a legislative, executive or judicial nature, by any

authority in Cyprus2 whatsoever, prior to entry into force of this

Agreement, is recognised as valid and, provided it is not inconsistent

with or repugnant to any other provision of this Agreement or

international law3, its effect shall continue following entry into force of this

Agreement.4 No-one shall be able to contest the validity of such acts by

reason of what occurred prior to entry into force of this Agreement.

2. Any claims for liability or compensation arising from acts prior to this

Agreement shall, insofar as they are not otherwise regulated by the

provisions of this Agreement, be dealt with by the constituent state from

which the claimant hails.

Entry into force and implementation

1. This Agreement shall enter into force upon approval by each side at

separate simultaneous referenda conducted in accordance with the

Agreement and the signature by Greece, Turkey and the United

Kingdom of the Treaty on matters related to the new state of affairs in

Cyprus.

2. Upon entry into force of this Agreement and the Treaty related to the

new state of affairs in Cyprus, there shall be ceremonies throughout the

island at which all flags other than those prescribed in the Constitution

are lowered, the flags of the United Cyprus Republic and of the

constituent states raised in accordance with the Constitution and

relevant legislation, and the anthems of the United Cyprus Republic and

of the constituent states played.

3. Upon entry into force of this Agreement, the Co-Presidents shall inform

the United Nations that henceforth the membership rights and

obligations of Cyprus in the United Nations shall be exercised in

accordance with the new state of affairs. The agreed flag of Cyprus shall

be raised at United Nations Headquarters.

2 Observation: The term Cyprus here is to be understood in the sense of the island of

Cyprus excluding the Sovereign Base Areas.

3 Observation: The criterion of inconsistency with or repugnance to international law refers

to any act which by its nature is contrary to international law. This reference, like the whole

Article, is without prejudice to the question of the legitimacy or status of the relevant

authorities under international law.

4 Observation: Matters of citizenship, immigration, and properties affected by events since

1963 are dealt with in a comprehensive way by this Agreement; any validity of acts prior to

entry into force of this Agreement regarding these matters shall thus end unless they are in

conformity with the relevant provisions of this Agreement.

15

4. This Agreement shall be implemented in accordance with the binding

timeframes laid down in the various parts of the Agreement and reflected

in the calendar of implementation.

Article 14 Annexes

The above main articles are reflected in detailed legal language in the

Annexes which form an integral part of this Agreement.

16

ANNEX I: CONSTITUTION OF THE UNITED CYPRUS

REPUBLIC