Turkey surprises Greek leaders

Mr Denktash had been under pressure to change his mind

Turkish Cypriot leader Rauf Denktash said on Monday he was ready to resume UN-backed talks on re-unifying Cyprus.

But he said he did not believe the issue could be resolved by 1 May, because "there is so much to do".

His comments came as Turkey's foreign minister challenged the Greek side to match its recent commitment to peace.

Turkey is keen for a deal before Cyprus joins the EU in May, as this would increase its own chances of beginning talks on membership next year.

We are waiting to see the stance of the Greek Cypriots... If the Greek side also takes steps, hopes for a solution emerge Turkish Foreign Minister Abdullah Gul

The country's powerful National Security Council, which includes top generals, declared on Friday it wanted to go back to the negotiating table, taking the UN plan as a reference point.

Turkish Prime Minister Recep Tayyip Erdogan then met UN Secretary General Kofi Annan in Davos on Saturday and asked him to renew his efforts to reach a resolution.

He said they would be ready to let Mr Annan "fill in the blanks" where the two sides failed to reach agreement - if the Greek side consented to this as well.

Such a move would greatly increase the chances of finishing the talks by 1 May.

Mr Annan said later he was "encouraged" by the offer and would study it carefully.

Referandum proposal

The UN has pressed Cypriot leaders to commit themselves to a referendum on the plan by 1 May, regardless of whether they have reached agreement.

Cypriot leaders, as well as Greece and Turkey, reject the idea.

Turkish Foreign Minister Abdullah Gul on Monday called on the Greek side to take the next step.

Turkey seeks UN plan

"We are waiting to see the stance of the Greek Cypriots... If the Greek side also takes steps, hopes for a solution emerge," he said.

But Greek Cypriot leader Tassos Papadapoulos said they needed "clarification" first.

"We have some unofficial information from the UN, but we are waiting for clarifications and an official statement," he said.

He was criticised in the Greek Cypriot media on Monday for being caught "napping" by Turkey's surprise announcements.

Greece's Foreign Minister George Papandreou reiterated the Greek side's readiness to have talks based on the UN plan.

But he was more cautious on the issue of letting Mr Annan fill in the blanks on contentious issues.

"It really depends on the number of blanks, and the issues that are blank," he was quoted by Reuters news agency as saying.

US Foreign Secretary Colin Powell called Mr Papandreou on Saturday to urge him to show more flexibility.

Talks on the UN plan ground to a halt last March when Turkish Cypriot President Denktash rejected it.

He later came under pressure to go back to the negotiating table - from Turkey and the new, less hardline, coalition which came into power in northern Cyprus following December's election.

Contentious issues include the return of 180,000 Greek Cypriot refugees to the north, the delineation of borders, the division of power in the new republic and the number of Turkish troops to remain on the island after re-unification.