ANKARA

A prominent Turkish politician has called for a two-state solution in Cyprus. 

"For a future of Cyrpus where there is peace, respect, and equal rights, a bipartite sovereign state structure is necessary," Devlet Bahceli, leader of the Nationalist Movement Party, told his party's parliamentary group on Tuesday.

"Calling for federalism [in Cyprus] is useless. One-sided impositions remain inconclusive. Turkey's active and de facto [rights as] guarantor should continue without any pre-conditions," Bahceli said.

He added that Turkey expects the international community to lift embargos and restrictions on Turkish Cypriots on the island.

Cyprus has been divided since 1974 when a Greek Cypriot coup was followed by violence against the island's Turks and Ankara's intervention as a guarantor power.

It has seen an on-and-off peace process in recent years, including a failed 2017 initiative in Switzerland under the auspices of guarantor countries Turkey, Greece, and the UK.

Turkish President Recep Tayyip Erdogan recently suggested a two-state solution to end the lingering dispute on the island.

Bahceli said that Turkey would never give up its rights in the eastern Mediterranean.

"Turkish Cypriots cannot be discriminated against and kept away from the eastern Mediterranean," he said.

Turkey has consistently opposed Greece's efforts to declare an exclusive economic zone based on small islands near Turkish shores, violating the interests of Turkey, the country with the longest coastline in the Mediterranean.

Ankara has also said energy resources near Cyprus must be shared fairly between the Turkish Republic of Northern Cyprus (TRNC) and the Greek Cypriot administration.

The MHP leader also said that the new reforms will accelerate Turkey's economic growth.

Bahceli's remarks came after Lutfi Elvan was appointed on Nov. 10 as the country's new treasury and finance minister.

Speaking to the Turkish parliament's planning and budget committee on Tuesday, Elvan said they will make structural reforms to improve the investment climate for domestic and international entrepreneurs.

Turkey's risk premium will be reduced through the right economic policies, he said.