Harsh terms for Cyprus` bailout agreement, such as the haircut on deposits, cannot be accepted, as they would amount to being shown the door to leave the Eurozone and the EU, Chairman of the Committee on Foreign and European Affairs of the House of Representatives and Vice President of the Democratic Rally Averof has said.

Neofytou discussed the issue in New York with Chairman of the Committee on Foreign Relations of the US Senate Robert Menendez, and had already conveyed the same message at his meetings in Washington with US officials, and believes that they will exert their influence to soften the terms set by the IMF.

He referred to President Nicos Anastasiades` commitment to reunify the island but noted that the priority of the new government was the recovery of the economy and thus any initiative regarding the Cyprus problem would not be helpful at this time.

However, he pointed out that confidence building measures would be welcome, such as the opening of Famagusta and its port under UN auspices.

Neofytou briefed Menendez on the prospects from the exploitation of natural resources in Cyprus` exclusive economic zone, from which the Turkish Cypriots would benefit if the Cyprus problem was solved, and praised the stance of the US, the EU and the UN towards Cyprus` right to exploit its resources.

Menendez reiterated his support to Cyprus and its reunification, and expressed annoyance regarding Turkey`s effort to militarise the Cyprus problem.

The US Senator also said he was peeved by a couple of issues concerning the stance of the previous government.

The first, he said, had to do with Cuba. Although he was not annoyed by the opening of a Cypriot embassy there, he was annoyed by Cyprus` silence regarding the daily violation of human rights there.

The second, according to Menendez, was the upgrading of the Palestinian representation in Cyprus, noting that this action did not serve the national interests of Cyprus, which were better served through strategic cooperation with Israel.

Menendez said he was against the unilateral actions of the Palestinians, noting that, as in the case of the Cyprus problem, a solution should be found through dialogue.

Neofytou also briefed Menendez on the government`s decision to apply to the Partnership for Peace for membership.

Furthermore, Neofytou extended an invitation to Menendez, on behalf of the House of Representatives and President Anastasiades, to visit Cyprus. Menendez promised to visit the island at the soonest possible opportunity.

Neofytou was in the United States to participate in the American Israel Public Affairs Committee and the meeting of the non governmental organisation European Friends of Israel. He also had meetings with various American officials, economists, think tanks and IMF officials and technocrats.