Yugoslav Daily Survey, 97-08-25

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Yugoslav Daily Survey

CONTENTS

[01] PRESIDENT MILOSEVIC RECEIVED FOREIGN MINISTER MILUTINOVIC

[02] OSCE SUPPORTS RS PRESIDENT'S DECISION TO HOLD EARLY PARLIAMENTARY ELECTIONS

[03] YUGOSLAV GOVERNMENT ADOPTED A PLATFORM FOR MILUTINOVIC'S VISIT TO CHINA

[04] DELEGATION OF TOP HUNGARIAN ARMY OFFICIALS VISITED SUBOTICA

[05] YUGOSLAV ARMY DENIES REPORTS ON ITS GETTING READY FOR STATE OF EMERGENCY

[06] GELBARD SAYS BOSNIA'S PARTIES AGREE TO RE-OPEN ALL AIRPORTS

[07] PRESIDENT MILOSEVIC RECEIVED GERMAN FOREIGN MINISTRY POLITICAL DIRECTOR ISCHINGER

[08] ISCHINGER: GERMANY OPEN FOR FURTHER PROMOTION OF BILATERAL RELATIONS

[09] OSCE HAS DECIDED TO SEND OBSERVERS TO PRESIDENTIAL ELECTIONS IN MONTENEGRO

[10] DELEGATION OF OSCE CONSULTATIVE COMMISSION VISITS YUGOSLAVIA

[11] SERBIAN ELECTION COMMITTEE CHAIRMAN RECEIVED THE VISITING OSCE DELEGATION

[12] GERMANY AND EU DO NOT SUPPORT ANY SECESSION WITHIN FRY

[13] STABILITY OF PRICES AND RATE OF EXCHANGE OF NATIONAL CURRENCY

[14] REPUBLIKA SRPSKA GOVERNMENT: A SPECIFIC COUP IN BANJA LUKA SRNA.

[15] VOJVODINA PREMIER MEETS HUNGARIAN PRIME MINISTER

[16] WESTENDORP IN FAVOUR OF ELECTIONS IN REPUBLIKA SRPSKA

[17] MILUTINOVIC RECEIVED AMBASSADOR EIDE

[01] PRESIDENT MILOSEVIC RECEIVED FOREIGN MINISTER MILUTINOVIC

Tanjug, 1997-08-21

Yugoslav President Slobodan Milosevic received on Thursday Foreign Minister Milan Milutinovic who is to pay an official visit to China soon.

Milutinovic is to convey to China's leadership Milosevic's message for President Jiang Zemin.

[02] OSCE SUPPORTS RS PRESIDENT'S DECISION TO HOLD EARLY PARLIAMENTARY ELECTIONS

Tanjug, 1997-08-21

The Standing Council of the Organization for Security and Cooperation in Europe (OSCE), which met in session on Thursday, did not adopt a formal decision to organize and monitor early parliamentary elections in Republika Srpska, but expressed strong support to RS President Biljana Plavsic in her decision that these elections should be held as soon as possible.

Council chairman, Danish Ambassador Lars Vissing told a press conference that the OSCE would continue to cover the situation in Republika Srpska, and would shortly adopt a decision about the elections. He said the Contact Group would first have to reach accord on this issue.

Vissing said three alternatives were being considered for preparing and monitoring the elections. The first is just a supervision of the voting, the second is a stronger version, something like the operation in Albania, and the third is based on Plavsic's proposal, that the OSCE prepare, organize and monitor the elections, he said.

OSCE mission for Bosnia chief, U.S. Ambassador Robert Frowick presented to the Council members a concept for preparing and monitoring RS elections, and a draft budget set at about 12 million dollars. Frowick also appealed to the international community fully to support the RS President.

High Representative of the international community for Bosnia, Carlos Westendorp, who took part in a Contact Group meeting in Vienna on Wednesday, said all its members were in principle in agreement that elections were the best solution for the political crisis in Republika Srpska. He said, however, that Russia insisted the Republika Srpska leadership first reach accord on this issue.

Westendorp said only about 25 percent had been accomplished of the Dayton Accords a year and a half since their signing, and that their implementation should be stepped up. He concluded that the further democratization of Bosnia-Herzegovina was the most important thing for the future, to remove from the political scene all persons who started the war.

Westendorp said he hoped the people would vote for new personalities at free and fair elections.

[03] YUGOSLAV GOVERNMENT ADOPTED A PLATFORM FOR MILUTINOVIC'S VISIT TO CHINA

Tanjug, 1997-08-21

The Yugoslav Government adopted on Thursday a platform for Foreign Minister Milan Milutinovic's talks with China's Vice-Premier and Foreign Minister Qian Qichen in Peking on August 25-29.

In a session chaired by Prime Minister Radoje Kontic, the Government adopted draft laws on ratifying an Agreement on the avoidance of double taxation with Guinea, an Agreement on cooperation in the field of culture, education and sports with Macedonia and an Agreement on agricultural cooperation with Slovakia, a Government statement issued after the session said.

The Government also adopted platforms for Foreign Trade Minister Borislav Vukovic's talks with Turkish Minister of Trade and Industry Ali Riza Gonul in Izmir on August 25-27 and for the resumption of talks in Belgrade on August 25-26 between Yugoslav and Russian delegations on approving commodity credit for the financing of Russian goods deliveries and Russian services.

The Government established a basis for talks with Bulgaria on the exchange of prisoners deciding to propose an agreement under which Yugoslav nationals sentenced to prison in Bulgaria would serve their sentence in Yugoslavia and vice versa.

The Government appointed B.Vukovic head of the Yugoslav delegation on the Joint Committee for economic cooperation with India.

[04] DELEGATION OF TOP HUNGARIAN ARMY OFFICIALS VISITED SUBOTICA

Tanjug, 1997-08-21

A delegation of top Hungarian army officials, headed by Maj. Gen. Andras Havril, Commander of the Hungarian Army Third Mechanised Division, visited Subotica, Serbia's northern province of Vojvodina, on Thursday.

Maj. Gen. Ninoslav Krstic, Commander of the Novi Sad-based Yugoslav Army Corps, welcomed the delegation at the Yugoslav border with Hungary after which Yugoslav Army troops demonstrated their skill in preventing illegal crossings into the country.

The delegation and Yugoslav Army officials discussed border safety at the Subotica town hall after which the Hungarian delegation visited the Subotica-based Sever factory and the Karadjordjevo military facilities.

[05] YUGOSLAV ARMY DENIES REPORTS ON ITS GETTING READY FOR STATE OF EMERGENCY

Tanjug, 1997-08-21

Reports that the Army of Yugoslavia is about to proclaim a state of emergency or to take any other similar action are untenable and groundless, the Army of Yugoslavia General Staff said in a statement on Thursday.

The General Staff said that the statement had been prompted by a growing number of reports in certain media that the army would interfere in the resolution of current social and political problems.

The General Staff said the aim of these allegations was to draw the Army of Yugoslavia into current political developments and to use it as an instrument for achieving individual or party interests and goals.

The General Staff and the Army of Yugoslavia as a whole take the view that current problems should be dealt with by parties that have triggered them, in a civilised and democratic manner and in keeping with the Yugoslav Constitution and the commitment to Yugoslavia's speedy reintegration into the international community on the footing of equality.

The Army of Yugoslavia consistently performs its duties defined under the Constitution and carries out its regular tasks according to plan, strongly rejecting any manipulation of its constitutional role.

[06] GELBARD SAYS BOSNIA'S PARTIES AGREE TO RE-OPEN ALL AIRPORTS

Tanjug, 1997-08-21

Special U.S. envoy in charge of the implementation of the Dayton Peace Accords, Robert Gelbard, has said that Bosnia's parties have reached agreement on civil aviation calling for the re-opening of airports throughout Bosnia-Herzegovina.

Gelbard told a news conference late on Wednesday that headway had also been made in the area of common currency, stressing that there had been no common ground on the issue before the talks.

Commenting on a meeting of the Moslem-Croat Federation Forum held on Wednesday afternoon, Gelbard said the most important decision taken at the meeting was that common cantonal police be set up in all municipalities of the Herzegovina-Neretva canton by August 22. He described as crucial also the Forum's decision to reorganise police throughout the Federation by September 9.

Referring to the situation in the (Bosnian Serb) Republika Srpska, Gelbard said Biljana Plavsic was legally elected R.S. President and that the international community took the view that she was behaving in a democratic manner.

The international community continues to fully support President B.Plavsic in all ways possible, he said.

[07] PRESIDENT MILOSEVIC RECEIVED GERMAN FOREIGN MINISTRY POLITICAL DIRECTOR ISCHINGER

Tanjug, 1997-08-21

Yugoslav President Slobodan Milosevic received on Thursday Political Director of the German Foreign Ministry Wolfgang Ischinger.

The talks dealt with the ongoing implementation of the Dayton Peace Agreement, major elements that would contribute to its speedier and more successful implementation and issues concerning bilateral cooperation between Yugoslavia and Germany, a statement issued by the Presidential Office said.

Also present were Yugoslav Foreign Minister Milan Milutinovic, high representative in charge of regional issues M.Luz and German Ambassador in Belgrade Wilfried Gruber.

[08] ISCHINGER: GERMANY OPEN FOR FURTHER PROMOTION OF BILATERAL RELATIONS

Tanjug, 1997-08-21

Bilateral relations between FR Germany and Yugoslavia have developed positively since the visit of Foreign Minister Klaus Kinkel to Yugoslavia and Germany is "open for their further improvement," German Foreign Ministry Political Director Wolfgang Ischinger said here on Thursday.

Ischinger, who was speaking at a news conference following a meeting with Yugoslav President Slobodan Milosevic and Foreign Minister Milan Milutinovic, described the talks as "very constructive."

The talks focused on the further implementation of the Dayton Peace Agreement where, he said, Germany's engagement matched that of the United States. Talks also tackled developments in Republika Srpska and the issue of Kosovo, Ischinger said.

In regard to the crisis in Republika Srpska, Ischinger said that he set out in Belgrade the view that Contact Group states and the Government of Germany "support resolutely" the legitimate President of Republika Srpska (RS), Biljana Plavsic.

Germany does not support an independent Kosovo and condemns any form of terrorism. This is not an acceptable world policy, the German diplomat said, pointing out that his country will make this position also known to ethnic Albanian leaders in Kosovo.

"We can not support a policy involving a border change, as that would constitute a risk for regional stability," Ischinger said, recalling that Germany and the European Union do not support any secession in the territory of the FRY.

Germany, Ischinger said, favours the opening of a process of dialogue and understanding. In that sense, Ischinger said, we can influence Albanians to adopt a realistic policy in order to start a dialogue."

The German diplomat, who besides Belgrade and Pristina visited also Skoplje and Tirana, where he met with the new socialist Premier Fatos Nano, assessed also that the time was right for starting a direct and constructive dialogue between Belgrade and Tirana.

[09] OSCE HAS DECIDED TO SEND OBSERVERS TO PRESIDENTIAL ELECTIONS IN MONTENEGRO

Tanjug, 1997-08-21

The Organization for Security and Cooperation in Europe (OSCE) on Thursday decided to send its observers to presidential elections in Montenegro scheduled for October 5, 1997, the OSCE's permanent Council Chairman, Danish Ambassador Lars Vissing, told Tanjug on Thursday.

[10] DELEGATION OF OSCE CONSULTATIVE COMMISSION VISITS YUGOSLAVIA

Tanjug, 1997-08-21

A delegation of the Organisation for Security and Cooperation in Europe (OSCE) Consultative Commission has visited Yugoslavia at the invitation of the Yugoslav Government Commission for the implementation of the subregional arms control agreement.

The delegation, headed by ambassador Vigleik Eide, met separately with Yugoslav Defence Minister Pavle Bulatovic and Yugoslav army Chief of General Staff Lt. Gen. Momcilo Perisic, said a statement released by the Yugoslav Defence Ministry Press Section.

The delegation was informed about measures to implement the military aspect of the Dayton Peace Accords, the statement said.

The statement said it had been stressed that the Army of Yugoslavia had consistently and highly professionally met all obligations assumed under the agreement. Subsequently, it is realistic to expect that the Army of Yugoslavia will meet all deadlines concerning cuts in some types of heavy weapons, the statement said.

It was agreed that, through its unequivocal commitment to the consistent implementation of the agreement, Yugoslavia had a positive bearing on the overall stability in the region and security in Europe, the statement said.

[11] SERBIAN ELECTION COMMITTEE CHAIRMAN RECEIVED THE VISITING OSCE DELEGATION

Tanjug, 1997-08-21

Republican Election Committee Chairman Balsa Govedarica received an Organization for Security and Cooperation in Europe (OSCE) delegation, headed by Anthony Welch, that arrived here on Thursday to make preparations for an arrival of its observers to the coming presidential and parliamentary elections in Serbia, the Republican Election Committee said in a statement.

Govedarica voiced satisfaction that the OSCE had accepted Serbian Parliament Speaker's invitation to send its observers to the elections.

The Republican Election Committee has already instructed all 29 constituencies in Serbia to provide in their respective territories full assistance to the accredited observers and secure all the necessary conditions for their successful mission.

Welch thanked the Republican Election Committee for providing the OSCE preparatory delegation on their arrival to Belgrade with all the necessary documents and information to help them become acquainted with the election legislation and estimate the number and the mandate of the observers who are due in Serbia in September.

Govedarica and the OSCE delegation agreed that this was the first contact between the Republican Election Committee and the OSCE and voiced readiness to continue regular cooperation until the elections are over.

[12] GERMANY AND EU DO NOT SUPPORT ANY SECESSION WITHIN FRY

Tanjug, 1997-08-20

Germany and the European Union do not support any secession in the territory of the Federal Republic of Yugoslavia, including the ambitions of Kosovo Albanians for the secession of Kosovo and Metohija, said Wolfgang Ischinger, Director of the Political Department of the Ministry for Foreign Affairs of the Federal Republic of Germany.

Ischinger is heading a ranking German diplomatic delegation for talks with Kosovo District Deputy Chief Veljko Odalovic.

Germany's only interest is that a political solution be found by peaceful means, said a statement issued by the Province's Secretariat of Information.

Renouncing the option for an independent Kosovo by ethnic Albanian political leaders would mean greater participation of ethnic Albanians in Serbia's political life, and their taking part in the elections in Serbia would enable the Albanian national minority to use its constitutional right and elect its representatives in the political system of the country they are living in, the statement said.

It was mutually assessed, the statement said, that all problems must be solved within the institutions of the system, by way of talks and dialogue.

The opening of foreign offices and the presence of missions in Kosmet would help perceive the situation more realistically in these territories, Ischinger assessed.

Veljko Odalovic stressed that all of this depended upon the full return of the FRY into international institutions, which would help observe the situation in Kosovo and Metohija from all angles, the statement said.

It was stressed in the talks that recent developments in Albania and in western Macedonia, in terms of security, were reflected on these territories, so that the perception of problems in the entire region was essential for peace and stability in the Balkans, the statement said.

[13] STABILITY OF PRICES AND RATE OF EXCHANGE OF NATIONAL CURRENCY

Tanjug, 1997-08-20

Thanks to the current economic policy, basic indicators of the stability of prices and the rate of exchange of the national currency show that 1997 is the most stable year compared to a number of other years. This was assessed at an expanded session on Wednesday of the Central Coordinating Serbian Government team.

In Serbia, in the past seven months this year, industrial production increased by 8.3%, and compared to the same month last year, the increase is 9%.

Chairman of the Central Coordinating team Dragan Tomic pointed out that the Serbian Government will make efforts to further improve the realized economic trend by the end of the year. In that respect the activity of other coordinating teams will be intensified, Tomic said.

Tomic stressed that businessmen were expected to be fully mobilized, as the state had become one huge building site, and preconditions existed for further increasing production and exports.

The beginning of reforms and the work of the Serbian fund for development inspire hope that the economy will realize by the end of the year a satisfactory rate of growth, so as to become competitive on the world market, Tomic said.

Ownership Transformation Minister Milan Beko stressed that the Central Coordinating team and the Serbian Government should be given credit for the good results in the realization of the program of reforms and transition.

Beko pointed out that the adoption of the Law on concessions had opened the door to foreign capital, and announced that the Serbian Parliament will review at its upcoming sessions (September, October) a number of bills, the most important ones being the bills on frozen foreign currency deposits, taxes, information...

Beko pointed to the significant role of the Fund for development which received this year, from the privatization of infrastructure systems, 1.5 billion DEM, of which 1.2 DEM have been invested. A total of 164 export programs, which have received 257 million DEM, are expected to make a profit of 1.2 billion DEM, or one DEM invested in export programs will bring four and a half marks.

Beko said that the Serbian Government had invested in the revival of production of the Kragujevac Zastava motorcar industry 190 million dinars, and from the Fund for development 10 million DEM.

Minister of Trade Srdjan Nikolic announced the further liberalization of the trade system, activities for reducing the deficit and for a good supply of the market.

"There are no economic reasons for any price changes or corrections," Nikolic said.

Yugoslav Minister of Agriculture Nedeljko Sipovac said that the central obligation of all was the further increase of production, exports and the return of all workers to work.

Sipovac said that the wheat harvest this year was double compared to last years, that there was 300,000 tons of surplus of wheat, and that a record corn harvest was expected.

Sipovac added that agricultural production growth realized so far was 5.6%, which is double compared to the period prior to the introduction of sanctions, when it was 3%.

Beogradska Banka General Director Borka Vucic pointed to the contribution of the banking system to the stabilization of the overall economy, adding that huge progress had been made in the opening of credit lines.

"Although the International Monetary Fund and the World Bank are still far away from us, we have succeeded to open on the London market a 150 million- dollar credit line over a three year period," Borka Vucic said and added that 50 million dollars have been used so far, which is the first cash credit after the embargo.

She considered that work should be accelerated on the consolidation of our banks, in order to encourage deposits, as a condition for the arrival of foreign partners who are very interested in the privatization of our enterprises.

"We have lowered our interest rates, which is highly appreciated as a great achievement of our monetary policy," Borka Vucic said.

[14] REPUBLIKA SRPSKA GOVERNMENT: A SPECIFIC COUP IN BANJA LUKA SRNA.

Tanjug, 1997-08-20

The Republika Srpska Government released a proclamation describing today's developments in Banja Luka as "a certain state coup."

"Today's developments in Banja Luka present so far the most dangerous assault on the RS institutions, and thus also on its very existence," said the proclamation received by the local news agency

The International Peace Force SFOR and the U.N. police IPTF on Wednesday morning seized the Public Security Centre in Banja Luka, the Police Academy building and three police stations in the town, claiming the actions were part of an investigation of the RS Interior Ministry.

The action followed a meeting late on Tuesday between Biljana Plavsic and international mediators Carlos Westendorp and Robert Gelbard, who supported the RS President in her stand not to recognize the RS Constitutional Court decisions regarding the political conflict in that Entity.

Agencies said today's action by SFOR and IPTF, in which 350 British and Czech troops took part and about 50 armoured vehicles and helicopters, had been requested by Plavsic, while Associated Press said Plavsic was drawing even deeper international mediators and NATO into the intra-Serb conflict on the side of the RS President.

AP said Republika Srpska was closer to a de facto division after today's action.

The RS Government said in today's proclamation that the developments in Banja Luka were "more than a state coup, since it is evidently an attempt at foreign occupation with the help of domestic collaborators."

"Biljana Plavsic calls foreigners to help her concentrate all power in the country in her own hands, in order more easily to realize the goal of part of the international community - RS's closing inside the borders of an imaginary multi-ethnic and unitary Bosnia-Herzegovina," said the proclamation.

The Government said that, with the exception of the institution of republican President, all other RS organs are functioning as usual on Wednesday and in keeping with the Constitution, adding that it would see that this grave crisis is settled peacefully.

If this is not possible, "the RS Government will use all legitimate means available at its disposal to defend the constitutional organization and peace, as well as the Dayton Peace Process," the proclamation warned.

Bosnia-Herzegovina Presidency member from RS Momcilo Krajisnik warned in Banja Luka today against the danger of a possible duality of government and said he was concerned that Plavsic's unconstitutional decisions might lead to anarchy in the Republic, SRNA said.

Addressing members of the City Board of the Serbian Democratic Party (SDS) and the party candidates for the September elections, Krajisnik warned also against the danger of the "cantonization of entire Bosnia-Herzegovina" and attempts by certain factors to separate the western from the eastern part of the RS along geographical differences.

RS Prime Minister Gojko Klickovic, speaking at the same meeting, announced a possible revision of future cooperation with SFOR, unless they disarm and remove from the Public Security Centre in Banja Luka all those who seized the building by force.

IPTF Spokesman Liam MacDowell said on Wednesday that international organizations do not intend to expand actions against the RS Interior Ministry outside of Banja Luka for the time being, but added that this option was still open.

Speaking at a press conference in Pale, MacDowell explained today's actions in Banja Luka as part of a detailed investigation of the General Headquarters of the RS Interior Ministry. Following talks with High Representative Westendorp and Plavsic, the IPTF decided to continue with the investigation in all police stations in Banja Luka, he said.

[15] VOJVODINA PREMIER MEETS HUNGARIAN PRIME MINISTER

Tanjug, 1997-08-20

Premier of Serbia's northern province of Vojvodina Bosko Perosevic met Hungarian Prime Minister Gyula Horn on Wednesday in Opustaser, near Szeged.

Perosevic is heading a Vojvodina Government delegation to the celebration of Hungarian national holiday - the Szent Istvan Day - being celebrated as Statehood Day.

Horn and Perosevic pointed to the importance of linking the infrastructures of the two countries, and Horn said Hungary had been happy to learn that a section of the Belgrade-Budapest highway from Feketic to Horgos would shortly be completed.

They also pointed to the importance of creating the Euro-region Danube-Tisa- Maros that would include Vojvodina, Hungarian county Czongrad and some Romanian counties whose representatives were also visiting Opustaser on Wednesday.

The relations between Hungary and the Federal Republic of Yugoslavia could serve as a model for good relations between two peoples, Perosevic and Horn noted.

The talk also focused on the prospects for promoting the cooperation between the Socialist Party of Serbia (SPS) and the Hungarian Socialist Party. Horn said his party was ready to strengthen such cooperation.

During his visit Perosevic also met representatives of Hungarian counties Czongrad and Bacz-Kiskun and of the Romanian county Tamis.

[16] WESTENDORP IN FAVOUR OF ELECTIONS IN REPUBLIKA SRPSKA

Tanjug, 1997-08-20

Elections are the only solution for the political crisis in Republika Srpska, High Representative of the international community for Bosnia- Herzegovina Carlos Westendorp said on Wednesday in Vienna after meeting representatives of the Contact Group member-states.

Westendorp told the press that the activities of the international community in Bosnia would focus on creating and developing democratic institutions and free media and on reorganizing the police force.

The Contact Group, which met unexpectedly on Wednesday in Vienna to discuss the latest developments in Bosnia, namely Republika Srpska, has agreed that elections must be held in Republika Srpska and that they must be monitored by observers of the Organizations for Security and Cooperation in Europe (OSCE).

Russia's representative has expressed reservations regarding this initiative, Westendorp said and added that Moscow believed that Republika Srpska leadership should first reach agreement on whether to hold early parliamentary elections. Russia's representative said he thought there was no need to hurry with a decision on sending OSCE observers and that local elections in Bosnia scheduled for September 13 and 14 should be held first.

The OSCE Standing Council will discuss on Thursday the issue of sending observers to Republika Srpska following President Biljana Plavsic's decision to dissolve the Parliament and call for early elections.

The presence of war criminals is the greatest hindrance to the normalization of the difficult and complicated situation not only in Republika Srpska but also in the Muslim-Croat Federation.

War criminals must appear in The Hague - voluntarily or otherwise - and this concerns not only Radovan Karadzic but all war criminals of the three sides, Westendorp said.

Karadzic's appearance at The Hague does not automatically mean that he will be convicted, he added.

Asked about the so far unbalanced international community aid to the detriment of Republika Srpska, Westendorp said that he had encountered this situation when he assumed office, but that he would in the future see to it that all municipalities showing readiness for cooperation should get economic and financial support, including realization of projects in Republika Srpska to a greater extent than so far.

There is no alternative to the implementation of the Dayton Agreement. Some progress has been registered in this regard, despite difficulties, Westendorp said.

[17] MILUTINOVIC RECEIVED AMBASSADOR EIDE

Tanjug, 1997-08-20

Yugoslav Foreign Minister Milan Milutinovic received on Wednesday Ambassador Vigleik Eide, who chairs the Consultative Commission on the implementation of the Florence Sub*regional Arms Control Agreement.

The talks dealt with issues concerning the ongoing implementation of the agreement and measures to be taken to secure its consistent implementation. Interest was confirmed in continuing successful cooperation in the sphere. Moreover, Yugoslavia's contribution was stressed to the implementation of the agreement, specifically as regards timely measures for cuts in surplus arms.

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