Yugoslav Daily Survey, 97-11-11

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Yugoslav Daily Survey

CONTENTS

[01] YUGOSLAV PRESIDENT TO VISIT CHINA

[02] SERBIAN MINISTER: RAILWAY TRAFFIC WITH CROATIA ALSO VITAL FOR EUROPE

[03] TWO-DAY SESSION OF COMMISSIONS FOR MISSING PERSONS IN BELGRADE

[04] YUGOSLAV PRIME MINISTER RECEIVES MOLDOVAN PARLIAMENTARY DELEGATION

[05] PRESIDENT MILOSEVIC'S VISIT TO CHINA - HUGE IMPETUS FOR COOPERATION

[06] SAINOVIC * YUGOSLAV ECONOMIC POLICY FOR 1998

[07] EU RECOGNIZES YUGOSLAVIA'S ROLE IN EUROPE

[08] YUGOSLAVIA WILL NOT PRINT MONEY WITHOUT BACKING, SAYS VICE PREMIER

[09] YUGOSLAV EXPORTS GROW BY 29 PERCENT IN TEN MONTHS

[10] MOLDAVIAN PARLIAMENTARY DELEGATION IN YUGOSLAVIA

[11] KRAJISNIK MEETS EU OFFICIALS

[12] COUNCIL OF EUROPE LAYS CONDITIONS FOR ADMITTING BOSNIA

[13] SERBIAN POWER COMPANY EPS AND GERMANY'S KRUPP SIGN 30-ML-DLR DEAL

[14] KRAJISNIK RECEIVES US DELEGATION

[15] REPUBLIKA SRPSKA PARLIAMENT ENDS SESSION

[16] STABLE ASSEMBLY IS GUARANTEE OF REPUBLIKA SRPSKA SURVIVAL

[17] PROTOCOL ON FOUNDING OF BEOFINEST SIGNED

[18] YUGOSLAVIA-ROMANIA

[19] MILOSEVIC RECEIVES SOLANA, CLARK

[20] PARLIAMENTARY DELEGATION OF MOLDAVIA AND YUGOSLAVIA

[21] AGREEMENT ON BORDER CROSSING IN EFFECT AS OF NOV. 1

[22] NEW BUILDING OF ISRAELI EMBASSY IN BELGRADE INAUGURATED

[23] YUGOSLAV DEPUTY PRIME MINISTER RECEIVES U.S. BUSINESSMAN

[24] SERBIAN GOVERNMENT WILL PURSUE FIRM ECONOMIC POLICY

[25] PRESS BRIEFING ON JASENOVAC DEATH CAMP HELD AT U.N. HEADQUARTERS

[26] FEDERAL AND REPUBLICAN PREMIERS DISCUSS ECONOMIC POLICY FOR NEXT

[27] US PARTICIPATION IN THE MULTINATIONAL PEACE FORCE

[28] YUGOSLAV GOVERNMENT HOLDS SESSION

[29] KRAJISNIK: THE SERB SIDE WILL HONOUR THE DAYTON ACCORDS

[30] BOSNIAN MUSLIMS REJECT ACCORD ON SPECIAL TIES WITH CROATIA

[01] YUGOSLAV PRESIDENT TO VISIT CHINA

Tanjug, 1997-11-10

Yugoslav President Slobodan Milosevic will pay an official visit to China on November 13-16, at the invitation of Chinese President Jiang Zemin. Milosevic will be accompanied by ranking state officials and a large number of Yugoslav businessmen. The statement announcing Milosevic's visit to China was simultaneously published in Peking on Monday.

[02] SERBIAN MINISTER: RAILWAY TRAFFIC WITH CROATIA ALSO VITAL FOR EUROPE

Tanjug, 1997-11-10

Serbian Transport and Communications Minister Svetolik Kostadinovic said on Monday that a restoration of railway traffic between Yugoslavia and Croatia, scheduled for Tuesday, was vital not only for the two contries but also for all Balkan countries and the entire Europe. Kostadinovic told Serbian Radio Television (RTS) that railway administrations of Italy, Switzerland, France, Germany, Romania and other countries had voiced interest in restoring railway traffic.

[03] TWO-DAY SESSION OF COMMISSIONS FOR MISSING PERSONS IN BELGRADE

Tanjug, 1997-11-10

The Yugoslav Government Commission for humanitarian issues and missing persons, headed by its President Maksim Korac, and the Croatian Commission for captured and missing persons, headed by its President Col. Ivan Grujic, will meet in Belgrade on Nov 11 and 12. The meeting will be attended also by the presidents of the Republika Srpska Commission for missing persons, the Commission for the exchange of captured and missing persons of the Croatian part of the Bosnia-Herzegovina Federation, and the Commission for missing persons of the Srem-Baranja region, as well as representatives of the "Veritas" Document-Information Centre, and the International Committee of the Red Cross (ICRC). The objective of the meeting is to settle outstanding issues in connection with missing persons in the former Yugoslavia, a Federal Government statement said.

Talks will also cover the passing over of remains of former Yugoslav People's Army (JNA) soldiers who were killed in Croatia, passing over of documents on missing persons, and the exchange of all available data regarding the identification of persons killed or murdered in conflicts in the entire territory of the former Yugoslavia. The Yugoslav Commission will especially insiston agreements regarding Yugoslav demands pertaining to former JNA pilots, a group of soldiers "Donje Kolibe", reserve soldiers of the "Niksicka" and "Savnicka" groups, and the surrender of remains of former JNA soldiers, said the statement.

[04] YUGOSLAV PRIME MINISTER RECEIVES MOLDOVAN PARLIAMENTARY DELEGATION

Tanjug, 1997-11-10

Yugoslav Prime Minister Radoje Kontic in Belgrade late on Monday received Moldovan Parliament Speaker Dimitru Mocpan, heading a parliamentary delegation on a visit to Yugoslavia.

The Moldovan parliamentary delegation is visiting Yugoslavia at the invitation of Yugoslav Parliament's Chamber of Citizens (Lower House) Speaker Milomir Minic. Kontic underscored that the traditional friendship between Yugoslavia and Moldova had not been disrupted even in the most difficult period in Yugoslavia's recent history when the country was labouring under an international blokade, the Yugoslav Information Secretariat said in a statement released after the meeting.

Kontic said he was satisfied with the fact that countries of the Black Sea region had been the first to officially launch an initiative to the United Nations to lift the sanctions against Yugoslavia.

He said there were significant prospects for bilateral cooperation, especially in the domain of agricultural and food-processing industries. He also said that Mocpan's visit would mark a beginning of stepping up the Yugoslav-Moldovan relations, particularly in the area of economic cooperation. Mocpan communicated to Kontic an invitation to visit Kishinev. He also invited Yugoslav businessmen to visit Moldova and contribute to boosting trade between the two countries. During a lengthy and cordial talk, the Moldovan delegation voiced interest in experiences of Yugoslav development and expressed their country's readiness to develop comprehensive bilateral cooperation.

[05] PRESIDENT MILOSEVIC'S VISIT TO CHINA - HUGE IMPETUS FOR COOPERATION

Tanjug, 1997-11-10

Yugoslav President Slobodan Milosevic's visit to China and meetings at the highest level will give a huge impetus to the further development of economic relations, the Yugoslav Chamber of Commerce said today. Long-term cooperation of our economy with the economy of China is a serious Yugoslav interest on which we are working persistently, the statement said adding that the economy of the People's Republic of China has been developing strongly for several years, and its foreign trade is a very large. All contacts made so far indicate that the Chinese economy is interested in cooperation with the Yugoslav and other economies of the region.

"In view of economic cooperation realized and huge possibilities for its development, the Yugoslav Chamber of Commerce has proposed a large number of Yugoslav businessmen to take part at the time of the visit in economic talks, contacts and concrete business activities and contribute to the overall development of Yugoslav-Chinese cooperation," the statement said.

[06] SAINOVIC * YUGOSLAV ECONOMIC POLICY FOR 1998

Tanjug, 1997-11-10

Yugoslav Deputy Prime Minister Nikola Sainovic opened the 35th International Furniture Fair in Belgrade on Monday. Sainovic said that the Federal and Republican Governments were defining the economic policy for 1998, with a stable national currency, stable prices and the securing of an adequate place on the world market as the basic elements. Years of economic recovery will be replaced by years of stepped-up economic develeopment, the Yugoslav Deputy Prime Minister set out.

Sainovic said that a 10-percent growth of the social product, coupled with an increase in exports, had been projected for next year, and noted that 1998 would be the fifth consecutive year of a steady growth of the social product. The policy will be based on the attained level of economic recovery, and the major motor force will be reformist measures and continued ownership transformation, the Yugoslav official said. He specified that an inflow of 2 billion German marks had been secured this year through ownership transformation. Sainovic said that privatization on a wide front was to be expected next year, and noted that the Yugoslav tax system favoured initial investments. He stressed that the Yugoslav Government and the Central Bank gave priority to the dinar's stability and that social benefits would be covered solely from real sources.

[07] EU RECOGNIZES YUGOSLAVIA'S ROLE IN EUROPE

Tanjug, 1997-11-10

The Foreign Ministers of the European Union adopted a Declaration concerning the Federal Republic of Yugoslavia in a meeting on Monday. The Declaration "recognizes the important role the FRY has to play in the region and in Europe," and that the people of FRY must "choose together how best to bring the FRY to its rightful and prosperous place in the community of nations."

The Declaration stresses that the EU policy "is based on a fair approach and equal opportunities to all the countries of the region," adding that the "Union wishes to see a FRY that is peaceful, prosperous and democratic, one that has taken its rightful place in the European family."

The Union "requires the FRY to live up to the same standards as the rest of Europe," as "many of the countries in the Union have faced economic problems similar to those that now beset you.

"It is wrong to believe that there are easy and simple solutions to the problems the FRY faces. The lesson of the last forty years is that it is by working together with other Europeans that economic well-being is most speedily restored," said the Declaration. The EU calls on Yugoslavia to cooperate with the international community in building a fully democratic Yugoslavia. The EU expects the same of all the countries in the region - full respect for democracy and human rights, commitment to work for just peace through implementation of the Dayton Accord, including full cooperation with The Hague Tribunal, and the other accords that ended the war, good-neighborliness, and a constructive approach toward resolving ethnic and minority problems in the region.

[08] YUGOSLAVIA WILL NOT PRINT MONEY WITHOUT BACKING, SAYS VICE PREMIER

Tanjug, 1997-11-10

Yugoslavia will not print money without hard-currency backing, according to its Vice Premier speaking at an impromptu news conference during a recess at a symposium on insurance in Belgrade's Sava Congress Centre on Monday. Vice Premier Danko Djunic said that a restrictive monetary and credit policy by the National Bank of Yugoslavia (Central Bank) and measures by the Federal Government woulbe employed to defend the value of the national currency, the dinar.

Djunic said that this position was shared by the Central Bank and the Governments of Yugoslavia and of its two constituent republics - Serbia and Montenegro. He added he was hopeful that the value of the dinar and its exchange rate against the world's major currencies would soon be stabilised. He said that, over the past month, the Central Bank's Board of Governors had taken a number of steps to reduce the money mass in circulation, and had reduced it by about ten percent since late September. The lack-market exchange rate of the dinar would have been brought down to the normal level much faster and more successfully had it not been for some political developments that had appeared to be conducive to an inflation, he added. Speaking about the future of the talks with the London Club of creditors, he said that the Government was now waiting for the commercial banks that make up the London Club to make the next move. "We are ready to resume the negotiations, but only if we are made a concrete offer. There have been some contacts from their side, and the Federal Government will adopt a position onca concrete offer has been made," he said.

Asked about expectations from the Group on Succession to former Yugoslavia, he said that the Federal Republic of Yugoslavia wished to be part of the international community, but that there were stringent conditions being dictated for its membership. "In my view, we should try, by reasonable compromise and with due respect for our country's strategic economic, national and political interests, to find an option that should be acceptable both to us and the world, and be reintegrated in the community of nations. "Our Government is making efforts in this direction and I think that these efforts will soon bear fruit," he said. He said that Yugoslavia "is sure to find a mutually acceptable compromise, because the internal precondition for reform is stability, and the external, reintegration in world financial bodies and the removal of the outer wall of sanctions."

[09] YUGOSLAV EXPORTS GROW BY 29 PERCENT IN TEN MONTHS

Tanjug, 1997-11-10

Yugoslavia's exports in the first ten months of 1997 were worth 1.9 billion dollars, exceeding the figure registered in the corresponding period of 1996 by 29 percent, the Yugoslav Statistics Institute told Tanjug on Monday. In the same period, imports were worth 3.8 billion dollars, 16 percent more than in the first ten months of 1996. With a steady monthly increase, exports are growing at a higher rae than imports, whose growth rate has been steadily decreasing since the beginning of the year, but the absolute value of imports remains nearly twice as high as that of exports. This has resulted in a foreign trade deficit of 1.895 billion dollars, which should encourage a growth of production and exports as the imports consist mainly of raw materials and other inputs. Yugoslavia traded with 116 countries in the first ten months of 1997, but 85 percent of its trade was with European countries, mainly Italy, Germany, Macedonia and Russia. Yugoslavia imported mainly from Germany - to the value of 519 million dollars, and exported mainly to Italy - to the value of 224 million dollars.

Republika Srpska remains one of Yugoslavia's key foreign trade partners, with bilateral trade worth 555 million dollars. In the said period, Yugoslavia exported mainly fruit and vegetables, plastics for further processing, non ferrous metals, iron and steel, wood and cork products and clothing.

The imports consisted mainly of oil and oil products, yarn, cloth, textile products, minerals and scrap metal, fruit and vegetables, paper, cardboard and cellulose products. In October 1997 as against October 1996, exports were higher by 19 percent and imports by 13.2 percent.

[10] MOLDAVIAN PARLIAMENTARY DELEGATION IN YUGOSLAVIA

Tanjug, 1997-11-10

A delegation of the Yugoslav Federal Assembly, headed by the Speaker of the Chamber of Citizens, Milomir Minic, met on Monday with a delegation from the Parliament of the Republic of Moldavia, headed by Parliament Speaker Dumitru Mocpan. In open and friendly talks both sides said that Yugoslav- Moldavian relations are marked by a high degree of mutual respect and understanding, and that good parliamentary relations should be a stimulus for the further promotion of all forms of cooperation between the two countries. The two sides said that the signing of bilateral agreements would contribute to strengthening Yugoslav-Moldavian economic and other ties. The two delegations said that there exist huge possibilities for cooperation in the sphere of agriculture, the food, chemical, lumber and light industries, civil engineering, machine-building and transport, especially riverine and rail .Minic and the members of the Yugoslav parliamentary delegation informed the Moldavian delegation with the political events in this country, the work of the Federal Parliament, and Yugoslavia's priorities both in the domestic and international spheres. Minic also positively assessed the Moldavian Government's support to the people of Yugoslavia for the activation of Yugoslavia's rights in international organizations and institutions. The Moldavian parliamentarians underscored their country's special interest in establishing unimpeeded navigation on the Danube and strengthening cooperation between the countries of the Danube river basin region. The Moldavian Parliament Speaker extended an invitation for a delegation of the Yugoslav Federal Assembly to attend the session of the Parliamentary Assembly of Black Sea economic cooperation, to be held in Moldavia from 9-12 December, 1997.

[11] KRAJISNIK MEETS EU OFFICIALS

Tanjug, 1997-11-07

The Republika Srpska member of the Bosnia-Herzegovina Presidency Momcilo Krajisnik and Deputy Foreign Minister of the Bosnia-Herzegovina Council of Minister Dragan Bozanic received on Friday in Pale Huberton Virtoi, representative of Luxemburg which chairs the European Union, and Valeria Sluiter, permanent EU representative to Sarajevo. The meeting focused on the preparations for the forthcoming conference of the Bosnia Peace Implementation Council scheduled for December 10 in Bonn. Srpska representatives reiterated their wish to pass the laws on currency, travel documents and citizenship, Bozanic said after the meeting. He however noted that new issues were being constantly added to the list of those that must be resolved in line with the Dayton Agreement, as if though someone aimed to deepen the crisis.

Bozanic expressed hope that the Bonn conference would result in good proposals for the implementation of the Dayton agreement.

[12] COUNCIL OF EUROPE LAYS CONDITIONS FOR ADMITTING BOSNIA

Tanjug, 1997-11-08

The Council of Europe Parliamentary Assembly Political Commission has ruled that Bosnia-Herzegovina does not satisfy the conditions for admission into the Council, principal European human rights institution. The Commission presented to a joint delegation of Republika Srpska and Muslim-Croat Federation a list of pre-conditions for initiating negotiations on admission with the Council of Europe, the Paris daily Le Monde writes on Saturday. The conditions include the repatriation of refugees, free movement throughout Bosnia-Herzegovina, the freedom of the press and cooperation with the War Crimes Tribunal. Political Comission President Andras Barsony (Hungary) said that Bosnia must be truly united before it can join the Council. The Council does not want a part of a state or an autonomous territory, but a single candidate-state with one flag, one currency and one passport for its citizens, he said. Le Monde also carries a statement by Assistant High Representative of the international community for Bosnia Jacques Klein, who said in Strasbourg referring to Bosnia's application for membership that state structures in Bosnia were not functioning yet. The daily underlines Klein's appeal for putting an end to satanizing the Serb people and for focusing attention on individual war crimes suspects.

[13] SERBIAN POWER COMPANY EPS AND GERMANY'S KRUPP SIGN 30-ML-DLR DEAL

Tanjug, 1997-11-09

A 30-million-dollar contract on business-technical cooperation was signed at the Yugoslav Chambre of Commerce on Sunday between the public Serbian electric power company JP EPS and the German company Krupp Fordertechnik (KF). The contract envisages 10-year business-technical cooperation in the production of parts and machine sets and instruments for mining equipment of the KF production programme. In the presence of Chambre President Mihailo Milojevic and German Ambassador to Yugoslavia Wilfried Grueber, the contract was signed by JP EPS Director General Slobodan Babic and KF Board of Managers President Herbert Wiedenheus. The cooperation will proceed through Yugoslav firms, including "Kolubara-Metali" of Lazarevac, "14 Oktobar" of Krusevac, "Gosa" of Smederevska Palanka, the "Lola" Corporation of Belgrade, the Machine Industry of Nis, and others. Pointing out the importance of the contract, which is renewable, Babic said home manufacturers would not compete with each other as they would apply KF marketing and engineering for the world market and also coproduce basic equipment, parts and components for third markets.

The contract also envisages purchases of spare parts and equipment for the JP EPS from KF, and those which KF does not manufacture, from other world renowned manufacturers, said Babic.

The financial side will be regulated through Yugoslav counter deliveries of goods and services, since the JP EPS does not have the necessary funds. Since the JP EPS needs major funds for promoting its capacities, such as, for instance, the construction of a power plant in Kosovo (two blocks of 350 megawatts each), Babic said his company had also discussed possibilities for purchasing equipment through Krupp and Siemens. He said high-level talks on this would continue. Underscoring the importance of the JP EPS during the difficult years of the international embargo against Yugoslavia, and for the country's development, JP EPS Board of Managers President Dragan Kostic said the Electric Power Industry was resolved to secure for its electric power and mining facilities the best possible equipment and production means.

Today's contract is a step in that direction, Kostic said. It is important that the KF realized the position of the power company, but also that they accepted the proposed contract concept with insight, as it is not only in the interests of the two companies, but the two economies and the two countries as well.

Wiedenheus described the contract as a continuation of the former cooperation with Yugoslav companies in this area, but also as a contract for the 21st century. He underscored the wish that relations between Yugoslavia and Germany grow and that closer cooperation between diplomats and businessmen lead to the renewal of the engagement of Germany's insurance company Hermes in Yugoslavia, which he said would enable and facilitate KF's investment activities in Yugoslavia. Privatization in Yugoslavia is definitely an interesting area for the German industry, said Wiedenheus. The German Ambassador and the Chambre President, as the host, underscored that this was a very useful contract which would doubtless contribute to future economic cooperation between the two countries. Milojevic underscored the fact that Yugoslav companies were able to become partners to such powerful manufacturers as Krupp, at home and on third markets. Grueber said he wished to demonstrate with his presence Germany's interest in developing and promoting economic cooperation with Yugoslavia.

[14] KRAJISNIK RECEIVES US DELEGATION

Tanjug, 1997-11-07

The Republika Srpska member of the Bosnia-Herzegovina Presidency Momcilo Krajisnik received on Friday in Pale a US delegation headed by Assistant Deputy Secretary of the Treasury Mark Madish. The meeting was attended also by the Republika Srpska member of the management board of the Bosnia- Herzegovina Central Bank Manojlo Coric and its Deputy Governor Ljubisa Vladusic.

Coric said that considerable progress had been achieved in the talk and that the US delegation had hailed Srpska's flexible approach to resolving the problem of designing Bosnia's currency.

The delegation promised to back the proposal discussed with the Srpska representatives to have the future banknote design include images of writers and Srpska coat of arms on one side and its flag on the other, while other elements of the design are envisaged by the law on the Central Bank.

[15] REPUBLIKA SRPSKA PARLIAMENT ENDS SESSION

Tanjug, 1997-11-07

The Republika Srpska Parliament ended its session on Mt Jahorina on Thursday by adopting reports by the R.S. Electoral Commission and the Provisional Electoral Commission on returns of the Republika Srpska's September local elections. The R.S. Government was entrusted with a task of drawing a memorandum on objections to election rules and regulations, on the strength of the two reports and the parliamentary debate. Copies of the memorandum are to be submitted to the OSCE and other international bodies. The R.S. Parliament called on all citizens to register in the next few days for parliamentary elections to be held in the Republika Srpska on November 23. Reviewing the issue of arbitration for the disputed town of Brcko, Parliament agreed that Vitomir Popovic, Radomir Lukic, Dragoljub Mirjanic and Miodrag Pajic remain R.S. representatives in the arbitration process.

All authority over the Brcko arbitration will be transferred from the R.S. Parliament to the R.S. Government until parliamentary elections are over and a new Parliament has been formed. All relevant bodies and institutions, set up by Parliament, the Government or the Brcko municipality to monitor the implementation of the Dayton Peace Accords in the town, are to immediately submit to the arbitration team all information available, specifically that referring to the repatriation of refugees and displaced persons, freedom of movement and the building of infrastructure in the town area. The R.S. Parliament also said that, by seizing transmitters of Serb Radio and Television, the international community had violated the Dayton Agreement with an aim of merging the Republika Srpska into a single Bosnia- Herzegovina. The R.S. Parliament also reiterated its commitment to freedom of speech and equal treatment of media in the Republika Srpska. It also condemned the usurpation of state property by unauthorised persons and institutions, requesting that the SFOR withdraw troops that have blocked the transmitters of Serb Radio and Television.

It fully backed an agreement reached in Belgrade between R.S. President Biljana Plavsic and R.S. representative in Bosnia's three-man Presidency Momcilo Krajisnik. Parliament also adopted several laws in the session, held behind closed doors.

[16] STABLE ASSEMBLY IS GUARANTEE OF REPUBLIKA SRPSKA SURVIVAL

Tanjug, 1997-11-08

Republika Srpska Assembly Speaker Dragan Kalinic has urged voters to turn out in the upcoming elections and enable the constituting of a stable Assembly with a large majority.

"Only a strong Serb Parliament and Government can preserve Republika Srpska, because several scenarios for its partitioning, i.e. for the regionalization of Republika Srpska are at work," Kalinic said at a meeting of the local Serb Democratic Party (SDS) organization late on Friday.

He underscored the importance of the Agreement on Special and Parallel Ties between Republika Srpska and Yugoslavia and called for a stepped-up implementation of that agreement, since he set out it was the wish of the Serbian people on both sides of the Drina.

Kalinic stressed that the conflict between Pale and Banjaluka had artificially been created so that the state of the Serbian people would be divided into the eastern and western parts.

He said that the Nov. 22-23 parliamentary elections had been imposed so that as many political parties as possible would participate and the Serb electorate be broken up.

According to Kalinic, the new Assembly will hardly be able to function unless a single party has a majority, and noted that Republika Srpska President Biljana Plavsic was hoping it would not.

The Assembly speaker told the meeting that representatives of the international community had a mandate to stabilize the situation in Bosnia- Herzegovina and not to serve any of the sides there.

Kalinic drew attention to the highly unequal election-campaign position of the regions in Republika Srpska since the eastern part was still under a media blockade.

[17] PROTOCOL ON FOUNDING OF BEOFINEST SIGNED

Tanjug, 1997-11-07

Beobanka Bank and Finest, a financial institution for the promotion of economic cooperation with East European countries set up by the Italian Government, signed here today a protocol on the founding of a joint corporation Beofinest. The protocol was signed by Beobanka president Zlatan Perucic, Finest President Leonardo Simoneli and the Deputy Director of the Trieste Bank-SL Paolo Zanetti, in the presence of the Italian Ambassador to Belgrade Ricardo Sessa, representatives of the Yugoslav and Serbian governments, Chambers of Commerce and Yugoslav and Italian firms, interested in mutual cooperation. Beofinest is a financial institution through which Italian firms will invest capital in Yugoslav small and medium size enterprises, and the director will be an Italian, Sergo Genki.

Perucic said that the initiative for its founding was made at the time of sanctions and that the first results were expected by the end of this year. He added that the basic goal was that our enterprises receive foreign capital and access to the world market. Beofinest is a profit institution, and the profit made will be equally distributed between Yugoslav and Italian partners, who are equally represented in the Administration Council where decisions will be made by consensus.

Perucic said that Beobanka, which has 28,000 clients, has offered so far 30 projects worth over 100 million D marks. He said that Italian banks have also announced several credit lines with interest rates at the level of European Union commercial banks, so that for the first time after sanctions interest rates will not contain the Yugoslav risk factor. He recalled that Italy was Yugoslavia's second largest foreign trade partner, whose trade last year totaled 470 million dollars. Perucic pointed out that Yugoslavia had a very favorable position and legislation for foreign investmenats. Foreigners are able to found their own or mixed firms, to puchase existing enterprises or their shares, to dispose freely of the profit made, to reinvest it or repatariate it. Yugoslav Deputy Prime Minister Danko Djunic said that the Government supported the project, as it is interested in the development of small and medium size enterprises. The Government is creating an institutional framework and facilities for foreign investments, but will not interfere in the internal business policy of enterprises, Djunic said, noting that the formation of Beofinest was a good step towards the normalization of relations with international financial institutions. Yugoslav Foreign Trade Minister Borislav Vukovic said that in 18 months, 1, 800 contracts on foreign investments had been signed, with Italy ranking first in financial cooperation and second in the number of signed contracts. He added that trade with Italy, in the first nine months this year, had grown 50 percent and announced new facilities for foreign investments.

Serbian Minister for Ownership Transformation Milan Beko recalled that the Italian Government supported the integration of Yugoslavia into international financial processes. He assessed that it was good that Beofinest will take part in the financing of ownership tarnsformation. After signing the protocol, representatives of Yugoslav and Italian firms continued bilateral talks about concrete cooperation in the agricultural industry, wood-processing industry, textile industry, engineering and plastics.

[18] YUGOSLAVIA-ROMANIA

Tanjug, 1997-11-09

The recent Crete summit of leaders of south-eastern Europe has opened good prospects for the promotion of economic cooperaton between Yugoslavia and Romania, First Secretary for Economic Affairs of the Romanian Embassy in Belgrade Vasile Stefan has told Tanjug. Stefan said that possibilities for the development of the bilateral cooperation existed in all sectors of the two complementary economies, so that the annual value of trade was expected soon to reach and even exceed the level of 373.4 million dollars, attained in 1992, before international sanctions were introduced against Yugoslavia. The Danube offers wide possibilities for cooperation in the electrical power industry. The Yugoslavia-Romania Commission recently met in Belgrade to discuss the exploitation and maintenance of the joint Iron Gates I and Iron Gates II hydro-electric power and navigational systems. The Commission decided that after 25 years of joint work, the electrical power industries of the two countries continue to cooperate in the next century. Romania was among the first to sign with the Federal Republic of Yugoslavia a whole range of agreements conducive to the consolidation of good-neighbourly relations. Stefan singled out the inter-governmental agreement on economic cooperation, the agreements on the mutual stimulation and protection of investments, on the avoidance of dual taxation, on cooperation in tourism, agriculture and in other areas.

The value of Yugoslav-Romanian trade for the first nine months of this year stood at about 115 million dolars, Stefan set out and specified that the Romanian imports from Yugoslavia were worth 31 million and exports 83 million. The annual value of trade for this year is expected to stand at 160 million dollars, which would be 22.5 million less than last year, when Romania's imports from Yugoslavia amounted to 60.5 million and exports to 120 million. The chief reason for the drop in trade are difficulties encountered by the two economies and the inadequate use of production facilities. The liberalization of trade and privatization in both countries are to stimulate direct ties between their companies. The process has been initiated. The Yugoslav chemical complex of Pancevo signed last month a long-term contract with a Romanian partner, with the initial monthly value at 2.3 million dollars.

Major deals exist also in the agriculture, including the production of seed maize in Romania using Yugoslav technology.

Business contacts are organized by Chambers of Commerce, especially, regional ones, and they take place at fairs, specialized expositions and through other forms of cooperation. Twenty-two Yugoslav companies participate in the current agricultural exposition Indagra '97 in Bucharest. More than 50 Romanian companies participated in different Belgrade fairs last year, First Secretary of the Romanian embassy in Belgrade Stefan set out.

[19] MILOSEVIC RECEIVES SOLANA, CLARK

Tanjug, 1997-11-07

Yugoslav President Slobodan Milosevic on Friday received NATO Secretary- General Javier Solana and NATO Europe Force Commander-in-Chief Gen. Wesley Clark, who arrived in Belgrade with their associates. The talks focused on issues of interest for the implementation of the peace accords on Bosnia- Herzegovina, and other questions of importance for cementing peace and regional stability.

It was agreed that the international force which is in Bosnia-Herzegovina in keeping with the Dayton Accords, continuously contributes to the success of the peace process in these lands.

In this respect, it was indicated that it was necessary to coordinate and settle all issues pertaining to the implementation of the accords through agreements, cooperation and on the basis of confidence among the legitimate organs and engaged international factors, without one-sidedness or imposing of solutions. The sides underscored it was necessary to secure joint engagement and cooperation on curbing the illegal parallel economy, smuggling, corruption and crime. They underscored that all outstanding issues could successfully be settled through political solutions, and that the process of a comprehensive normalization of relations, which is taking place in the territory of the former Yugoslavia, could best be stimulated by mutual openness to strengthening economic cooperation and linking, as well as the affirmation of the equal position of the countries and peoples in these lands, thus at the same time strengthening regional and overall stability in Europe.

[20] PARLIAMENTARY DELEGATION OF MOLDAVIA AND YUGOSLAVIA

Tanjug, 1997-11-07

A Parliamentary delegation of the Republic of Moldavia, headed by Speaker Dimitru Mopcan, will pay a visit to out country from November 10 to 12, at the invitation of Lower House Speaker Milomir Minic, the Yugoslav Parliament Information Service said today. The visit of Moldavian parliamentarians is a return visit. The Moldavian Parliamentarian delegation will hold talks with Minic, Yugoslav Prime Minister Radoje Kontic, Yugoslav Parliament Upper House speaker Srdja Bozovic, Yugoslav Minister of Trade Borislav Vukovic and Yugoslav Deputy Foreign Minister Radoslav Bulajic.

Moldavian parliamentarians will visit the Belgrade agricultural complex and the Institute for maize in Zemun Polje.

[21] AGREEMENT ON BORDER CROSSING IN EFFECT AS OF NOV. 1

Tanjug, 1997-11-09

The Yugoslavia-Croatia Agreement on passenger and goods traffic at the border-region crossing between Backa Palanka and Ilok has been in effect as of Nov.1. Under the agreement, the traffic between the Yugoslav municipalities which border with the U.N. administered Srem-Baranja region unfolds with passes, issued at the police station in Backa Palanka. I.D. cards and earlier documents are still valid, but there have been quite a few unclear points. The UNTAES sets out that the border between Croatia and Yugoslavia is a "soft border" and that many issues will be resolved through tolerance. However, it does not appear so judging by actions of Croatian authorities, which sometimes complicate the implementation of the Agreement with excessive red tape, including the charging of a transit tax.

[22] NEW BUILDING OF ISRAELI EMBASSY IN BELGRADE INAUGURATED

Tanjug, 1997-11-09

Israeli Ambassador to Yugoslavia David Sasson officially opened the new building of the Israeli Embassy in Belgrade on Sunday, with numerous visitors and guests attending the ceremony. The ceremony began with the traditional attaching of a mezuzah to the doorpost, which was done by Ambassador Sasson and Chief Rabbi for Yugoslavia Cadik Danon. In a brief address, Ambassador Sasson said much had changed since Yugoslavia and Israel had renewed diplomatic ties after 30 years in January this year. There had been unofficial relations during all this time, Sasson said, adding that there was now a strong basis for friendly and firm ties between the two countries. The ceremony was attended also by Serbian Information Minister Radmila Milentijevic, representatives of the Foreign Ministry, the Serbian Orthodox Church and the Roman Catholic Church, and representatives of political parties, members of the Jewish Community in Yugoslavia, and numerous reporters.

[23] YUGOSLAV DEPUTY PRIME MINISTER RECEIVES U.S. BUSINESSMAN

Tanjug, 1997-11-07

Yugoslav Deputy Prime Minister Nikola Sainovic received on Friday U.S. businessman and international law expert, Robert Hendry. Sainovic and Hendry, who has visited Yugoslavia's leading companies over the past few days as a guest of the Yugoslav Chamber of Commerce, discussed ways of how to promote Yugoslav-U.S. relations through direct contacts among the two countries' companies, said a statement released by the Yugoslav Information Secretariat. Also present was Yugoslav Chamber of Commerce President Mihailo Milojevic, the statement said.

[24] SERBIAN GOVERNMENT WILL PURSUE FIRM ECONOMIC POLICY

Tanjug, 1997-11-06

Serbian Prime Minister Mirko Marjanovic said on Thursday that the Government would not deviate from its policy of economic and social stability and would do everything to stabilize the market situation as speedily as possible.

Addressing a press conference, Marjanovic strongly denied recent media speculations and "expert interpretations" on allegedly approaching end of the stability of prices and exchange rate.

There are no economically valid reasons for increasing prices, especially those of essential foodstuffs, Marjanovic said and pointed to exceptionally good results in agriculture this year.

That fact and the incentives provided by Serbia's Government completely deny the announced possible perturbations in prices and supply of bread, cooking oil, sugar, milk and dairy products, Marjanovic stated.

Price and exchange rate stability, good market supply and considerable growth of production and wages were achieved in the past four years precisely thanks to the financing of the payment of old age pensions and of wages in health, education and other public sector spendings from real sources, Marjanovic said.

"We acted in the same manner now in ensuring stable and regular payment of old-age pensions through a correction of prices of oil and fuels. We have stated publicly that this correction will influence the general price growth by only 2.8% and that this measure is the most acceptable at this moment from economic and social aspects", Marjanovic explained.

Underlining that the Serbian Government has the means and will to take measures so as to maintain stable prices and market supply in the coming period, as it has done so far this year, Marjanovic said his Government had decided at its session on Wednesday to sell considerable quantities of cooking oil, sugar and flour from state stocks at present prices and to import powdered milk.

Anti-monopoly measures will be taken firmly and without exception against anyone resorting to marker speculations, Marjanovic said and added that the Serbian Government measures would be backed by the Federal Government and the Yugoslav National Bank. These measures will lead to reducing the amount of money in circulation and to stabilizing the exchange rate, the market and prices, Marjanovic underlined.

Marjanovic added he was sure that the measures would be effective speedily and pointed out that the recent increase in the black market exchange rate had been reduced, which is a clear indication that it had been due to pure speculation and psychological factors.

[25] PRESS BRIEFING ON JASENOVAC DEATH CAMP HELD AT U.N. HEADQUARTERS

Tanjug, 1997-11-06

A press briefing on Croatia's World War II Jasenovac death camp was held at the U.N. Headquarters on Wednesday following the first International Conference on the subject that took place in New York several days ago.

The briefing, organised by the Association of foreign reporters based at the U.N. headquarters, was addressed by Bernard Klayn, a Kingsborough College professor, and Milan Bulajic, Director of Belgrade's Museum of World War II genocide victims.

Klajn said the recent Conference had been aimed at learning the truth about the Jasenovac death camp, set up by the World War II Independent Nazi- puppet state of Croatia. He said the truth about the Nazi-run Auschwitz and Dachau concentration camps had been disclosed long time ago, saying it was high time that a file on the Jasenovac death camp were opened.

Asked by reporters what made him believe that it would be possible to disclose the truth about the camp at this point when it had been withheld from the public for 50 years, Klajn said this was not going to be an easy job. He said the truth had been withheld for political reasons, which was confirmed by a large number of participants in the Conference on the Jasenovac death camp, held at the Kingsborough College last week.

He said the most important thing to do at this point was to make U.S. academicians interested in the matter so that historians could begin their research work. He said an International Commission, which would be set up under a decision taken at the close of the Conference, would also take part in the effort. He said the commission would be formed by Bulajic and himself but the Croatian side would also be called upon to take part in the research.

Reporters were informed that some of the files on the Jasenovac death camp were still under seal and that it was of utmost importance to gain access also to documentation in the possession of countries of the anti-Hitler coalition as well as those that were kept in Germany.

Commenting on attempts to revise history, Bulajic said Croatian President Franjo Tudjman had also tried to do this by claiming that only 20,000 people had perished in the Jasenovac death camp. He said there were lists containing the names of more than 77,000 Jasenovac victims, Serbs, Jews and Gypsies. Of this figure, 19,544 are the names of children aged between 1 and 14 years, he said.

He said Jasenovac was an extermination site where at least between 500,000 and 600,000 Serbs, Jews and Gypsies had been killed, saying former Jasenovac camp inmates could testify to atrocities committed by Croatia's World War II Ustasha fascist troops.

Bulajic said the United Nations' responsibility in shedding the light on atrocities committed at the camp was great.

Asked by a German reporter whether there was anything left of the Jasenovac death camp, Bulajic said that, according to numerous reports, Croatian authorities had planted a park on the site where used to be the Jasenovac memorial and that there was practically nothing left of it.

Klajn said it would be best if an international delegation went to Jasenovac to see for itself what had really happened.

[26] FEDERAL AND REPUBLICAN PREMIERS DISCUSS ECONOMIC POLICY FOR NEXT

Tanjug, 1997-11-06

Yugoslav Prime Minister Radoje Kontic met on Thursday with republican Premiers to discuss the economic policy for 1998, said a statement issued by the Federal Information Ministry.

Premiers Kontic, Mirko Marjanovic (of Serbia) and Milo Djukanovic (of Montenegro) discussed a single economic policy for next year, to be implemented by the federal and republican governments, and the National Bank of Yugoslavia.

The Federal Government remains committed toward an open and market economy, capable of competing on the world market, and protected by the standards of the World Trade Organization.

The economic policy will maintain stable prices and a steady currency, work on accelerating production and exports, increasing the living standard, and speeding up the reform process, especially in transformation and privatization.

Implementation of the economic policy requires Yugoslavia's return to international financial and trade organizations. Otherwise, the Yugoslav economy has no access to the world market. Bearing this in mind, the policy is based on structural changes and privatization, the adoption of laws that would attract foreign capital and enable long-term development and the stability of Yugoslavia's economy and society, said the statement.

[27] US PARTICIPATION IN THE MULTINATIONAL PEACE FORCE

Tanjug, 1997-11-06

US Defense Secretary Willian Cohen said on Thursday that a consensus had not yet been reached on keeping US troops in Bosnia after the mandate of the Bosnia peace Stabilization Force (SFOR) expires in June 1998. He said a consensus was building for an international military presence in Bosnia after next June. "But there's been no decision made, no consensus established, in terms of what form that international presence would take and whether the United States would participate, and in what form," he said.

US forces could provide intelligence support, logistics support or military, but that has yet to be decided or defined, Cohen specified, refusing to say if he supports keeping US troops in Bosnia.

[28] YUGOSLAV GOVERNMENT HOLDS SESSION

Tanjug, 1997-11-06

At its Thursday session, chaired by Prime Minister Radoje Kontic, the Yugoslav Government reviewed and adopted Yugoslav Foreign Minister Milan Milutinovic's report on the Crete Summit of the heads of state or government of Southeastern European countries.

The Government said that the Summit, the first of its kind in the history of the Balkans, was successful not only for the future of the Balkans but also of Europe as a whole, to which the Yugoslav delegation, headed by President Slobodan Milosevic, had largely contributed.

It is especially important that all participants reaffirmed their readiness to join efforts on the creation of conditions for closer cooperation and prosperity of regional countries and peoples in peace, security, good neighbourly relations and stability.

The Government said that the Crete Declaration, adopted at the end of the Summit, represented a strong stimulus to the promotion of regional cooperation aimed at a better use of common potentials and securing of the Balkan countries' active and equal position in modern European processes and efforts.

Welcoming the adopted conclusions and agreements, which should help improve political and all other forms of cooperation in the region, especially in the economy, transport and other infrastructure, telecommunications, the power industry, science and culture, the Yugoslav Government said that the FR of Yugoslavia would actively work on the implementation of adopted stands and conclusions, expecting all other regional countries to give their full contribution to this.

The Government described as useful and important bilateral meetings between the Yugoslav delegation and the heads of all delegations, especially that of the Republic of Albania.

The Government also determined platforms for the conclusion of an Agreement on the tourist industry with China, an Agreement on investment stimulation and protection with Israel, and an Agreement on social security with Greece and Ukraine.

The Government adopted a report by the Yugoslav delegation for succession issues on its meeting with international mediator Sir Arthur Watts in Brussels on October 16. It was said that the Yugoslav delegation had fully abided by the Yugoslav Government's platform during the meeting.

Yugoslav Assistant Minister for Labour, Health Care and Social Policy Maksim Korac was appointed head of a Yugoslav Government Commission for humanitarian issues and missing persons.

[29] KRAJISNIK: THE SERB SIDE WILL HONOUR THE DAYTON ACCORDS

Tanjug, 1997-11-06

Republika Srpska member of the Bosnian Presidency Momcilo Krajisnik said late on Thursday that the Serb side was ready to solve all problems and persist in respecting the Dayton Peace Accords and carrying out the obligations ensuing from it.

On return from Sarajevo, Krajisnik said in Pale that, at its session, the Steering Board for the implementation of the Dayton Peace Accords had exchanged reports on outstanding issues of Bosnia's joint bodies. He said that there were some warnings on both sides, saying that threats of use of force towards the settlement of some issues were voiced.

I have urged that the mandate of every institution included in the implementation of the Dayton Peace Treaty be observed, said Krajisnik. He said that use of force or outvoting was the wrong way of trying to solve problems. He also said that it was necessary to cooperate in all issues in order to bridge the differences in a quality manner.

Krajisnik said that laws on passports and citizenship should be regulated before an International Conference on the results achieved so far in the implementation of the Dayton Peace Accords, scheduled for Vienna in early December.

He said that other two members of the Presidency of Bosnia-Herzegovina, Bosnian Croat leader Kresimir Zubak and Muslim leader Alija Izetbegovic, had urged that, at the coming Conference in Vienna, international community's High Representative for Bosnia Carlos Westendorp be given more authority and the role of arbitrator-executive. If they are for it, then I accept it, too, but first they should solve problems in the Federation of Bosnia-Herzegovina and then in Bosnia-Herzegovina, said Krajisnik. He said that it would be wrong to revise the Dayton Peace Accords and give the international community's High Representative more power which clashed with the Accord itself.

Krajisnik did not rule out this possibility, evaluating that recently many attempts are being made to impose things which are not in accordance with the Dayton Peace Accords.

[30] BOSNIAN MUSLIMS REJECT ACCORD ON SPECIAL TIES WITH CROATIA

Tanjug, 1997-11-06

The Muslim Party of Democratic Action (SDA) rejected on Thursday an Accord on special ties between the Republic Croatia and the Muslim-Croat Federation proposed by the Republic Croatia, Muslim Radio Sarajevo reports.

"The SDA is firm in its stand that any confederation of Croatia and Bosnia, or the Federation, is unacceptable," said SDA spokesman Ismet Grbo. The SDA supports only the provisions that contribute to cooperation between the two states, said Grbo.

The office of the High Representative for Bosnia expressed concern over some parts of the Accord, which Croatia submitted to the representatives of the Federation.

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