TEHRAN -- Cyprus' Foreign Minister George Iacovou on Saturday confirmed EU's change of tack over Iraq and said the European bloc had backed down on its initial anti-occupation stance.

"At present, the European Union is after adopting a pragmatic approach," he told reporters at the Mehr News Agency building here.

"After the (U.S.-led) attack on Iraq, (the European Union) held the position that the United Nations must play a role in Iraq, but it has not managed yet to implement this policy," Iacovou said.

"The European Union has not been able to pursue a unified foreign policy in this regard," he added.

Iacovou also reiterated his country's position that "the indigenous representatives of Iraq must decide on running the country's affairs in order to resolve the problems of the Iraqi people", IRNA reported.

The foreign minister arrived here early Saturday on a two-day visit for bilateral talks with several Iranian officials, including President Mohammad Khatami and Parliament Speaker Mahdi Karrubi.

Earlier in the day, he met with his Iranian opposite number, Kamal Kharrazi, who announced Tehran's support for a UN plan to reunify Cyprus.

Iacovou also said that there existed several obstacles on the way to bolstering ties between the European Union and Iran, but there were yet many things for understanding.

He predicted that the two side's signing of a landmark trade agreement could come through by the end of this year.