Roundup: There are good grounds for agreement: Cypriot community leaders

The leaders of the Greek and Turkish Cypriot communities embarked on an intensified stage of their negotiations for a Cyprus solution on Friday, reporting they were looking forward to an agreement.

"There has been progress and there is good ground to conclude (a settlement)," Cypriot President Nicos Anastasiades said after a four-hour meeting with Turkish Cypriot leader Mustafa Akinci.

Anastasiades and Akinci started their UN-brokered negotiations in May 2015. They decided earlier this month to hold more result-oriented meetings with a view to conclude an agreement by the end of this year.

They are scheduled to hold three more meetings this month and are expected to set up more in July hoping that by the end of the month, they will have a clear indication on the prospects of reunifying Cyprus.

The eastern Mediterranean island was partitioned when Turkey occupied its northern part in 1974, in reaction to a coup by the military leaders of Greece at the time.

Anastasiades said after returning to his office that Friday's meeting had been a productive one.

According to the president, they had discussed the powers of the central government of a two-community federal state and those of the constituent states.

When asked to comment on a two-day visit by UN Secretary-General Ban Ki-moon in Athens on Saturday, Anastasiades said that in telephone conversations with Greek Prime Minister Alexis Tsipras and Greek President Prokopis Pavlopoulos, he asked them to convey the message that the UN must work for a functional and viable solution.

"It has to take into consideration the concerns of both the Greek and Turkish Cypriots and to anticipate the problems stemming from a solution," Anastasiades said.

Analysts believe that among the most difficult problems to be expected is the relocation of about 170,000 Greek Cypriots who were driven out of their homes by Turkish troops.

Not all of them are expected to return to their homes under the jurisdiction of the Turkish Cypriots.

But those who will opt to return will have to wait until alternative accommodation is found for people who have been staying on their properties since 1974.

The cost of a solution is also a major concern.

The International Monetary Fund (IMF) and the World Bank are currently engaged in a survey on the cost of a solution which is unofficially estimated at 25 billion euros (28 billion U.S. dollars).

Anastasiades sought to alleviate fears that Cyprus would be asked to allocate the proceeds from offshore natural gas deposits to finance the solution.

Responding to opposition criticism that the Cypriots would once again be required to bear the cost of the Turkish occupation of Cyprus, Anastasiades said the IMF and the World Bank are seeking possible sources of financing.

He said a small part of the proceeds may go towards a Cyprus solution, but Turkey had to contribute and third countries would be asked to help. Endit