Disputes - international:
hostilities in 1974 divided the island into two de facto autonomous
areas, a Greek Cypriot area controlled by the internationally
recognized Cypriot Government and a Turkish-Cypriot area, separated
by a UN buffer zone; UN deadline on sides accepting a federation
plan for reunification have expired, diminishing chances of
Turkish-Cypriot participation in EU membership in 2004
Illicit drugs:
minor transit point for heroin and hashish via air routes and
container traffic to Europe, especially from Lebanon and Turkey;
some cocaine transits as well; anti-money-laundering laws
strengthened but few convictions