Yugoslav Daily Survey, 97-08-14

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Yugoslav Daily Survey

CONTENTS

[01] YUGOSLAV FOREIGN MINISTER MEETS WITH GREEK COUNTERPART

[02] SERBIAN GOVERNMENT GRANTS 62 EXPORT CREDITS

[03] SERBIAN ORTHODOX CHURCH DECORATES AUSTRIAN AMBASSADOR

[04] YUGOSLAVIA INCREASES EXPORTS BY 23 PERCENT IN SEVEN MONTHS

[05] SFOR COMMANDER MEETS WITH REPUBLIKA SRPSKA PRESIDENT

[06] BOSNIAN PRESIDENCY MEMBERS MEET NORWEGIAN PREMIER

[07] BOSNIA'S CENTRAL BANK BEGINS WORK

[08] GREECE WILL PROVIDE A CREDIT TO YUGOSLAVIA

[09] KINKEL: GERMANY FOR COMPREHENSIVE COOPERATION WITH YUGOSLAVIA

[10] MOMIR BULATOVIC CONFIRMED AS PRESIDENTIAL NOMINEE

[11] YUGOSLAV DELEGATION VISITS INDIA

[12] PLAVSIC ANNOUNCES EARLY ELECTIONS AND FOUNDING OF PARTY

[13] U.S. ENVOY HOLBROOKE OPPOSES BOYCOTT OF SERBIA'S ELECTIONS

[14] MINISTER MILUTINOVIC TO VISIT GREECE ON AUG. 12-13

[15] GENERAL PERISIC RECEIVES GELBARD

[16] HOLBROOKE: MILOSEVIC ENGAGED ON IMPLEMENTATION OF DAYTON ACCORDS

[17] RUSSIAN MEDIA ON BELGRADE VISIT OF U.S. ENVOYS

[18] YUGOSLAV INFORMATION SECRETARY ON MEDIA IN YUGOSLAVIA

[19] NEW YORK TIMES SAYS MILOSEVIC KEY FIGURE

[20] FEDERAL GOVERNMENT: STABLE PRICES AND RATE OF EXCHANGE OF THE DINAR

[21] YUGOSLAV PRESIDENT RECEIVES BOSNIAN PRESIDENCY MEMBER, U.S. ENVOYS

[01] YUGOSLAV FOREIGN MINISTER MEETS WITH GREEK COUNTERPART

Tanjug, 1997-08-12

Yugoslav Foreign Minister Milan Milutinovic said after a meeting with his Greek counterpart Theodoros Pangalos on Tuesday that his working visit to Greece was part of a continual and intensive political dialogue between the two countries. Milutinovic said that in the talks with Pangalos, common commitment and readiness had been confirmed for a continual cherishing of traditionally friendly relations and comprehensive bilateral cooperation, which had been promoted considerably this year, especially in the field of economy.

"We are starting with the stand that good and stable relations and developed cooperation between the Federal Republic of Yugoslavia, as the central state in the Balkans, and Greece, as a E.U. member, are essentially important for the stability, economic progress and democratic development of the southeast of Europe," Milutinovic said.

"We have jointly asssessed that the recent signing of an agreement on investment protection and an agreement on avoiding double taxation has created favourable and stable preconditions for the boost of economic promotion, especially further investments of Greek partners in the Yugoslav economy, for which there exists great interest at home," Milutinovic said.

He said that the recent very important agreements on cooperation in the field of non-ferrous metallurgy and telecommunications testified about the promotion of economic cooperation. This confirms the Greek partner's trust in the ownership transformation process and economic reforms in Yugoslavia, Milutinovic said.

"We have been satisfied to note the fact that the upward trend of our trade has continued in the first semester of this year, with a tendency of balancing," Milutinovic said.

He expressed satisfation with the Greek side's "full support to Yugoslavia's immediate return to the Organisation for Security and Cooperation in Europe, by ending the suspension of our membership, which has been imposed in the way that clashes with the organisation's basic principles. This is not just the interest of the FR Yugoslavia, but also in the interest of peace, stability and cooperation in the region and Europe."

"We confirmed the readiness to help realise the agreed initiatives for the promotion of cooperation among the southeastern European countries through the two countries' joint efforts," Milutinovic said.

He said that he and Pangalos had agreed on a further strengthening of mutual trust and stability and creation of even more favourable conditions for the promotion of comprehensive good neighbourly cooperation.

According to both Ministers, the coming meeting of the heads of state and government of southeastern European countries in Crete in November and the setting up of the countries' parliaments' consultative assembly at Yugoslavia's initiative, which was fully supported at the recent ministerial meeting in Salonika, will contribute to these processes.

"We have firmly supported the consistent and comprehensive implementation of the Dayton/Paris Agreement, to which the FR Yugoslavia gives an active and constructive contribution. In this sense, a speedy implementation of the economic revitalisation programme throughout Bosnia-Herzegovina will undoubtedly have a positive effect on all other parts of the civilian aspect of the peace agreement," Milutinovic said. It is important to prevent biased distribution of funds for this purpose and political and other conditions and to observe the principle of the equality of both entities, he said.

[02] SERBIAN GOVERNMENT GRANTS 62 EXPORT CREDITS

Tanjug, 1997-08-12

Contracts on the granting of 62 hard currency credits from the Serbian Development Fund aimed at financing the export of goods were signed at the Serbian Government on Monday. The credits, which were granted to 57 companies in the field of industry and five others in the agrarian sector, are worth 77.4 million German marks.

The average value of one credit is 1.248 million German marks. The largest credit amounts to five million German marks and the smallest to 124,000 German marks. The credits will be used for the export of goods worth 319 million German marks.

A total of 164 companies have so far been granted hard currency credits worth a total of 276 million German marks. The credits were granted on the basis of contracted deals on the export of 1.244-billion-German marks' worth of goods.

[03] SERBIAN ORTHODOX CHURCH DECORATES AUSTRIAN AMBASSADOR

Tanjug, 1997-08-12

Patriarch Pavle of the Serbian Orthodox Church on Tuesday decorated the Austrian Ambassador to the Federal Republic of Yugoslavia Michael Weninger with the Sveti Sava medal of the first order.

This highest Orthodox Church decoration was awarded to the Austrian diplomat by the Holy Synod at the Patriarch's recommendation in recognition of Weninger's friendship demonstrated to the Orthodox Church, its clergy and congregation, and of his generous endeavors for the promotion of friendship between the Austrian and Serbian peoples, the Synod said in a statement.

[04] YUGOSLAVIA INCREASES EXPORTS BY 23 PERCENT IN SEVEN MONTHS

Tanjug, 1997-08-12

The value of Yugoslav exports amounted to 1.192 billion dollars in January- July, which is a 23-percent increase in comparison with the same period of 1996, the Yugoslav Statistics Bureau told Tanjug on Tuesday.

The Yugoslav imports were worth 2.481 billion dollars in the past seven months, which is a 19.1-percent increase in comparison with the same period last year.

In the past seven months, Yugoslavia traded goods worth a total of 3.673 billion dollars with about one hundred countries, most of them industrialised. European Union members accounted for the majority of Yugoslavia's industrialised partners.

Italy remained Yugoslavia's most important export market and the country mostly imported goods from Germany.

The Yugoslav exports to industrialised countries, including the European Union, grew faster than its imports from these countries.

Yugoslavia exported to industrialised countries goods worth 574 million dollars, or 59.1 percent more than in the same period last year, and imported goods worth 1.265 million dollars, registering a 15.4-percent increase.

Yugoslavia exported a 455.678-million-dollars' worth of goods to the European Union, which is a 53.2-percent increase, and imported goods worth 1.4 billion dollars, or 17.8 percent more than in the same period last year.

Countries in transition represent the second most important market and Yugoslavia traded goods worth a total of 1.523 billion dollars with them. However, Yugoslavia registered a faster growth of imports from than exports to these markets in the past seven months.

Yugoslavia sold 565-million-dollars' worth of products to these countries, or 2.4 percent more than in the same period last year, and bought from them goods worth 954 million dollars, which is 20.3 percent more than in the same period last year.

According to groups of products, Yugoslavia mostly exported non-ferrous metals (176.5 million dollars), iron and steel (120.8 million dollars), vegetables and fruit (72.3 million dollars), plastic raw materials (54 million dollars) and tobacco and its products (42 million dollars).

The country mostly imported oil and oil derivatives (293 million dollars), yarn, fabrics and textile products (202.3 million dollars), ores and scrap metal (100.7 million dollars) and fruit and vegetables (110.4 million dollars).

On the whole, Yugoslavia's trade deficit amounted to 1.289 billion dollars.

In July, Yugoslavia exported goods worth 149.347 million dollars, which was an 11-percent drop in comparison with June, and imported goods worth 275 million dollars, or 21 percent less than in June.

There was a major drop in Yugoslavia's trade with the Republika Srpska in July.

The value of trade with the Republika Srpska amounted to just four million dollars, but in the first six months of the year it amounted to 287 million dollars.

[05] SFOR COMMANDER MEETS WITH REPUBLIKA SRPSKA PRESIDENT

Tanjug, 1997-08-12

Commander of the Bosnia Stabilisation Force Eric Shinseky of the United States told reporters in Banja Luka on Tuesday that he and Republika Srpska President Biljana Plavsic had discussed some toppical issues regarding a special police force.

Speaking after a one-hour meeting with Plavsic, he said that the Republika Srpska President had agreed that SFOR's solution represented a good policy and that she had been convinced that the SFOR would have an unbiased approach to the issue. He said that efforts would be aimed at speeding up the restructuring and reform of the police force throughout Bosnia- Herzegovina.

U.N. Secretary-General's Special Envoy Kai Eide said that negotiations about the reform of the Republika Srpska police force had just been resumed in the talks and voiced hope that the reform would be successfully completed by early September.

Spokesman for the U.N. Police Task Force Alexander Ivanko said that the reconstruction of the police force in the Federation of Bosnia-Herzegovina was about to be completed and that work on this issue had to be sped up in the Republika Srpska, where almost nothing had been done.

[06] BOSNIAN PRESIDENCY MEMBERS MEET NORWEGIAN PREMIER

Tanjug, 1997-08-12

Members of the Bosnia-Herzegovina Presidency met on Tuesday in Sarajevo Norwegian Prime Minister Thornbjoern Jagland to discuss the political situation in the Muslim-Croat Federation and Republika Srpska, compliance by the commitments made at the Sintra Conference and the aid provided by Norway and the role of Norwegian troops in SFOR.

Jagland said after the meeting that he had had two messages for the Bosnian Presidency, namely that Norway endorses the Dayton Agreement whose implementation must continue, and that all details of the agreement must be implemented with patience.

The meeting was attended on behalf of Bosnia by Alija Izetbegovic and Momcilo Krajisnik, and Kresimir Zubak was represented by his advisor Martin Raguz.

Krajisnik said after the meeting that Norway was an important factor of the peace process and an outstanding donor to both entities, and added that Jagland had expressed great interest in the current situation in the Federation and Srpska. Krajisnik also said he had informed Jagland of the unequal distribution of economic aid for reconstruction and asked him to ensure equal treatment of both entities.

[07] BOSNIA'S CENTRAL BANK BEGINS WORK

Tanjug, 1997-08-12

The unique financial system of Bosnia-Herzegovina has practically been established with the start of work of the Central Bank of Bosnia- Herzegovina. This Bank will be the only one responsible for issuing the future national currency, the so-called convertible mark, which will be equal in value to one Deutsche mark.

As announced, the common currency will be released three months after its design is approved by the Bosnian Presidency. The convertible mark, as the legal means of payment, must be accepted in all domestic transactions or debts.

The Central Bank will for the time being use the convertible mark only for bigger payments and the Bosnia-Herzegovina dinar is still in circulation. The main offices of the central bank will be in Sarajevo, Pale and Mostar, to carry out all operative functions on behalf of the Central Bank at the regional level.

The Governor of the Central Bank is Serge Robert of France and the three Vice-Governors represent the three constitutive peoples of Bosnia- Herzegovina - Muslims, Serbs and Croats.

[08] GREECE WILL PROVIDE A CREDIT TO YUGOSLAVIA

Tanjug, 1997-08-12

The Foreign Ministers of the Federal Republic of Yugoslavia and Greece, Milan Milutinovic and Theodoros Pangalos, discussed the promotion of bilateral relations Tuesday in Athens.

The greatest breakthough was achieved as regards economic cooperation and especially investments, the press was told after the meeting.

Pangalos announced that Greece would earmark a 100 million dollar credit to Yugoslavia for the construction of roads and other infrastructure projects.

The two Ministers noted during their meeting that conditions had been laid for fresh investments in Yugoslavia's economy by Greek partners.

Milutinovic said that very important agreements had been concluded on cooperation in the sectors of non-ferrous metals, telecommunications and others, demonstrating the interest of Greek partners and their trust in the ownership transformation process and economic reform in Yugoslavia.

Greece unreservedly endorses all efforts to that end, Pangalos said and added that Yugoslavia had faced a policy of discrimination unprecedented in history.

Yugoslavia especially appreciates Greece's strong support to its reintegration in all international organizations in which its status had been unjustly suspended. This support is especially important for the development of regional cooperation. The success of such cooperation depends on the equality of all countries in the region, Milutinovic said.

The two ministers also discussed the problem of visas, and agreed that a Greek consulate should be opened soon in Nis, as over 2,000 Greek visas are issued daily by its embassy in Belgrade.

Summing up his talks with Pangalos, Milutinovic said they had agreed to reinforce trust and stability and to ensure more favorable conditions for the development of all-round good-neighborly cooperation.

Milutinovic invited Greek Prime Minister Kostas Simitis to visit Yugoslavia by the end of this year and his invitation was gladly accepted.

Greek media on Tuesday focused their reporting on Yugoslav Foreign Minister's visit to Athens, as demonstrated by a crowded press conference given jointly by Milutinovic and Pangalos.

[09] KINKEL: GERMANY FOR COMPREHENSIVE COOPERATION WITH YUGOSLAVIA

Tanjug, 1997-08-12

Germany is ready in principle to support the admission of the Federal Republic of Yugoslavia to the international community and its institutions, as Yugoslavia has been recognized under international laws by Germany and its partners in the European Union, said German Foreign Minister Klaus Kinkel in the latest issue of the Belgrade fortnightly Review of International Affairs. Kinkel said his country was especially interested in reestablishing the once good relations in many areas with Serbia and Montenegro.

The signing of the German-Yugoslav Agreement on the repatriation of refugees in late 1996 was an important step in that direction, Kinkel told editor-in-chief Ranko Petkovic. The Agreement helped open up new prospects in bilateral relations, economic contacts in the area of politics, cultural and scientific-technological cooperation, and cementing contract relations.

It is clear to Germany that Yugoslavia must find its place in Europe, which is becoming increasingly tighter-knit, he said. No nation of the former Yugoslavia can be excluded from that process in advance, he said.

Kinkel said it was important duly to implement the Dayton Accords, including the extradition of suspected war criminals to the Hague Tribunal, further democratization through the implementation of the recommendations of Felipe Gonzalez, with the protection of human and minority rights.

Speaking about Serbia's southern province of Kosovo, Kinkel said the E.U. had constantly held the view that this issue must be resolved within Yugoslavia through far-reaching autonomy, but did not elaborate.

Kinkel said Germany and France remained the moving force of the European Union, and said the recepy which promised success was its further expansion. Together with its E.U. partners, Germany is constantly reexamining how to improve the instruments of the admission strategy, in parallel with opening the process of negotiations on joining the union, he said.

We are constantly watching for the moment when the E.U. regional approach might be turned into a concrete strategy for admission also for other states which have demonstrated successful reformist steps, said Kinkel.

[10] MOMIR BULATOVIC CONFIRMED AS PRESIDENTIAL NOMINEE

Tanjug, 1997-08-11

The Montenegrin Elections Commission on Monday confirmed and announced the nomination of Momir Bulatovic for the office of Montenegrin President, on the grounds of a proposal made by the Democratic Party of Socialists of Montenegro, which is represented by Momir Bulatovc.

The Commission said the nomination met all the legal requirements for its confirmation and proclamation.

[11] YUGOSLAV DELEGATION VISITS INDIA

Tanjug, 1997-08-11

A Yugoslav delegation visiting India on the occasion of the 80th plenary session of the National Congress and the celebration of the 50th anniversary of India's independence, on Monday held separate meetings with parliament Speaker Purna Agitok Sangma and Information Minister Jaipal Reddy.

The delegation comprises Yugoslav Information Minister Goran Matic, Yugoslav Left (JUL) Directorate Bureau member Svetozar Simovic, and Yugoslav Embassy Charge d'Affaires in Delhi Miomir Udovicki.

The talks focused on the need for promoting overall bilateral relations, especially as regards information and parliamentary cooperation in the spirit of the traditional friendship between the two countries, Yugoslav Information Secretariat said in a statement.

Purna Agitok Sangma pointed to the need for exchanging visits of parliamentary delegations and added that good prospects existed for the promotion of economic cooperation to mutual benefit.

Goran Matic and Jaipal Reddy discussed the information situation in Yugoslavia and India and advocated free flow of information. They also pointed to the need for developing a sense of professionalism and responsibility in the information field. Reddy proposed cooperation in the field of computer science at the Sillicon Valley in Bangalore. The talks also focused on the need for linking Yugoslav and Indian news agencies.

The visit has once again demonstrated the readiness of both countries to strengthen their relations again in all fields.

[12] PLAVSIC ANNOUNCES EARLY ELECTIONS AND FOUNDING OF PARTY

Tanjug, 1997-08-11

Republika Srpska President Biljana Plavsic told a press conference on Monday that early elections would be held in Republika Srpska on Oct. 12 this year. The elections should mean "yet another step in the further democratization of society in Republika Srpska," said Professor Plavsic.

She also announced the founding of a new party, but did not elaborate.

[13] U.S. ENVOY HOLBROOKE OPPOSES BOYCOTT OF SERBIA'S ELECTIONS

Tanjug, 1997-08-11

Radio France Internationale has quoted Holbrooke as saying in Belgrade that the boycott of presidential and parliamentary elections in Serbia, urged by the opposition, would be pointless. The Radio said the United States could not back at the same time free elections and the boycott of elections. Radio France Internationale said the Milosevic-Holbrooke talks had dealt also with democratic processes in Yugoslavia, media, Serbia's southern province of Kosovo and Metohija and its region of Raska.

The Paris daily Liberation carried on Monday a report by Agence France Presse (AFP) in which Holbrooke was quoted as saying that he had not expected the outcome of his visit to the Balkans to be spectacular and that the implementation of the Dayton Peace Accords would be completed about a year later than planned.

French media said Holbrooke, accompanied by special U.S. Envoy Robert Gelbard, had held eight-hour talks with Yugoslav President Slobodan Milosevic on Friday and Saturday. The talks were attended also by Republika Srpska representative in Bosnia's three-man Presidency Momcilo Krajisnik who pledged that Radovan Karadzic, former Bosnian Serb leader, would withdraw from public life. The French media listed an agreement on ambassadors' posts reached between Bosnia's parties as one of Holbrooke's successes.

[14] MINISTER MILUTINOVIC TO VISIT GREECE ON AUG. 12-13

Tanjug, 1997-08-11

Yugoslav Foreign Minister Milan Milutinovic will visit Greece on August 12 and 13 at the invitation of his Greek counterpart Theodoros Pangalos.

During the visit, the two Ministers will exchange views on the further promotion of cooperation between Yugoslavia and Greece, and international issues and the situation in the region, a Federal Government statement said on Monday.

[15] GENERAL PERISIC RECEIVES GELBARD

Tanjug, 1997-08-08

Yugoslav Army Chief of General Staff Lt. Gen. Momcilo Perisic and his associates on Friday received Special US Envoy to Bosnia-Herzegovina Robert Gelbard, who is on a visit to Yugoslavia with his predecessor Richard Holbrooke. A statement released by the Yugoslav Army General Staff press section said that the open and constructive talks had dealt with the further implementation of the military aspect of the Dayton Peace Accords.

Also attending were chief of US Mission in Belgrade Richard Miles and his associates.

[16] HOLBROOKE: MILOSEVIC ENGAGED ON IMPLEMENTATION OF DAYTON ACCORDS

Tanjug, 1997-08-09

Yugoslav President Slobodan Milosevic is fully engaged on the implementation of the Dayton Accords and such activities are essential for the successful realization of the peace process in Bosnia, U.S. Special Envoy Richard Holbrooke told a press conference in Belgrade on Saturday, but reiterated that Milosevic was a skilled negotiator who could resolutely defend his interests.

Holbrooke addressed the press together with the other U.S. Envoy, Robert Gelbard.

Holbrooke said Milosevic had doubtless played a constructive role in the two-day talks in Belgrade, which today included Bosnia-Herzegovina Presidency Member from Republika Srpska Momcilo Krajisnik.

Gelbard said it was their joint opinion that the talks in which views were exchanged on a wide range of issues had been very interesting.

Holbrooke pointed out that President Milosevic had been ready to continue the talks without interruption, but that the U.S. side could not accept this for reasons of logistics. He said Milosevic had asked Gelbard to return to Belgrade as soon as possible so that the talks could continue.

Holbrooke pointed out as very important for the stabilization of the situation in these lands Milosevic's decision to extend an invitation to the three Bosnian Presidency members jointly to visit Belgrade.

He said he hoped the Presidency would accept this invitation and mentioned the earlier successful visit to Belgrade by Sarajevo's Muslim Government senior official Ejup Ganic.

Speaking about the objectives of the latest U.S. mission in former Yugoslavia, Holbrooke said no spectacular results had been expected, but that certain results had nevertheless been achieved in stepping up the implementation of the overall peace accords during the tour of Split, Sarajevo, Banja Luka, and Belgrade.

The strong determination of the U.S. Administration regarding the full realization of the Dayton Accords is also evident in the forming of a new U.S. team which will work on this, Holbrooke said. He said Washington remained firm in its stand that all those suspected of war crimes in former Yugoslavia must be tried by the Hague Tribunal.

He said Radovan Karadzic had violated every article of the last year's agreement about his withdrawal from public life, and his recent interview to the German paper Sueddeutsche Zeitung was the latest example of this flagrant violation.

Holbrooke said he and Gelbard had warned Krajisnik about this, who was one of the signatories of that document. Krajisnik had offered personally to guarantee respect of that agreement in future, Holbrooke said, thus showing readiness to secure respect of the Dayton Accords in his current office, Holbrooke said.

Washington will carefully follow if this will be respected, he said, adding that, the way things now stood, it was better to have Karadzic away from the public eye than in public.

Asked by reporters if the talks with Milosevic had covered media and the upcoming elections, Holbrooke said they had, but did not elaborate.

There were some questions about Serbia's southern province of Kosovo, but they were given little attention.

[17] RUSSIAN MEDIA ON BELGRADE VISIT OF U.S. ENVOYS

Tanjug, 1997-08-10

Russian media said on Sunday in reports by their Belgrade correspondents that Yugoslav President Slobodan Milosevic and U.S. Special Envoys Richard Holbrooke and Robert Gelbard had agreed during the two-day talks in Belgrade that essential progress had been made in the realization of the Dayton Accords.

The so-called architect of this agreement, Holbrooke, confirmed this himself. Speaking at a press conference in Belgrade, Holbrooke especially praised President Milosevic for his constructive role in the realization of the Dayton Agreement.

Reports, however, emphasized Holbrooke's statement that the realization of plans in Bosnia was taking place with a delay of one year.

Media assessed as a very positive initiative the fact that Milosevic had invited the three members of the Bosnian Presidency to visit Belgrade and proposed to organize their meeting.

There are also media reports about the start of the SFOR action to establish control over paramilitary formations in Bosnia, specifying that they would be disarmed.

Writing along these lines, the reports said that Holbrooke had received approval in Sarajevo from the Muslim and Croat leaders for the disbanding of the secret Muslim police. The main U.S. ambition, however, is to establish control over Serb special units, which Washington considers one of the obstacles to the implementation of the Dayton Accords.

Reports point out that SFOR is supervising paramilitary units in Bosnia, in agreement with the article of the Dayton Accords on the right of international troops to control these units as part of the armed forces of Republika Srpska and the Muslim-Croat Federation.

[18] YUGOSLAV INFORMATION SECRETARY ON MEDIA IN YUGOSLAVIA

Tanjug, 1997-08-08

Yugoslav Information Secretary Goran Matic told the Novi Sad magazine Nedeljni Dnevnik in an interview that there had been a media boom in Yugoslavia in the past two or three years.

As an illustration of the freedom of information in Yugoslavia, with a tendency of pluralisation and development of media, Matic said that Yugoslavia had 23 dailies, whereas Croatia had just six. "Croatia also has just one state news agency, while Yugoslavia, in addition to the state news agency, has five private ones," he said.

Yugoslavia has 450 radio and 120 television stations, most of which are private.

"I believe that the countries that have one state radio station and no private ones have not come close to us in developing the pluralist information model and cannot make assessments about the undemocratic quality of our information system," Matic said.

Speaking about a new federal information law, which should be reviewed by parliament in late August or early September, Matic said that unlike the republican ones, this law had some "foreign" elements as well. The law will regulate everything that is defined in other countries, from the work of foreign reporters, news agencies and cultural and information centres to the functioning of foreign information in the country.

Speaking about the announced setting up of a Yugoslav Radio-TV, Matic said that this television had to become a "Yugoslav CNN," and that "by exchanging programmes with other world's stations, it would contribute even more to the clarification and explaining of the truth about Yugoslavia and real processes in our economy, society and politics, because there are still too many distorted facts."

Matic said that the republican televisions were carrying out their function, that they were Yugoslav-oriented, but that it was obvious that the federal state should define its appearance in the sphere of electronic media.

He said that "this television should be completementary with the republican (televisions) but should also broadcast the programme in its own, authentic way."

Matic stressed that Yugoslavia's was a single media space and that the intertwining and integration of the Serbian and Montenegrin information spaces could be clearly seen in a series of segments.

Commenting on the fact that Serbian Radio-TV does not broadcast Montenegrin TV news and vice versa, Matic said that the "currently existing problem between the two companies is a result of political relations in Montenegro and this refers only to the sphere of political and news programmes, because the sports, scientific, cultural and all other programmes are still freely exchanged."

Matic expressed hope that preconditions for a normal exchange of political and news programmes would be created in Montenegro soon. Speaking about a Telecommunications Ministry action, Matic said that it was aimed at making order among the electronic media rather than closing them.

Everything here immediately gets a political dimension, "although many of the stations that were denied a permit did not even have political and news programmes, but have just broadcast 'felicitations and greetings'," he said.

"On the other hand, five stations within the Socialist Party of Serbia company Genes S and the Yugoslav Left's station in Novi Pazar have also lost their permits," Matic said.

Only two of the controlled stations fulfilled the set conditions and their programmes have never been forbidden, Matic said and added that this situation must certainly be resolved.

According to him, foreigners have shown much interest in our media and assistance to "independent" media is distributed through non-governmental organisations, such as the Soros Foundation. Matic said that those protecting their media space should not be too critical towards the others, who also wished to protect their media space.

He said that the new republican and federal laws must regulate the issue of foreign assistance, and added that the country did not wish to ban this assistance, but requested that it be registered and publicly announced so that citizens should know who financed whom.

"Because, if the 'dependent' media are those financed by Yugoslav citizens, then the 'independent' ones are also dependent on those who grant them assistance. So there are no independent (media), there is just the question of who is dependent on whom, (whether) on the Yugoslav citizens and institutions or institutions of some other country," Matic said.

He said that only the newspapers and radio and television stations which realise all their earnings on the market, i.e. from their users, were independent.

[19] NEW YORK TIMES SAYS MILOSEVIC KEY FIGURE

Tanjug, 1997-08-10

A meeting in Belgrade between U.S. Envoy Richard Holbrooke and U.S. delegation and Yugoslav President Slobodan Milosevic focused on the Dayton Peace Accords and its implementation, U.S. media said. The media quoted Holbrooke as saying that the talks with President Milosevic had been constructive, like on all previous occasions.

Several U.S. television stations, including the CNN and Fox networks, broadcast several times the clips of the host and the guest shaking hands and starting talks at the White Court palace.

Holbrooke himself spoke about the aim of the visit to Belgrade. News agencies quoted him as saying that he had arrived to ask President Milosevic to use his influence to speed up the implementation of the Dayton Accords.

The New York Times said on Sunday that because of a big influence of the Yugoslav president, the President Clinton Administration regarded Milosevic as the key figure in talks and contacts with Bosnian Serbs.

Holbrooke will return from his tour of the Balkans, where he spent most time in Bosnia, relatively satisfied, U.S. media said in their initial comments. They quoted Holbrooke as saying that his mission had not been expected to produce spectacular results in the implementation of the Dayton Agreement. However, he added that significant steps forward had been made in the past three days, the Associated Press news agency reported.

U.S. press said that Holbrooke himself had quoted as a success an agreement between the three Bosnian sides on diplomatic missions, which was followed by the lifting of a blockade towards Bosnian embassies in the world. Another success was also a major step towards the final establishing of normal telecommunications between Bosnia-Herzegovina and the world. Bosnian Serb assurances that they will do all in their power to unblock talks about the national currency were also received with approval.

The Bosnian Serb officials' assurances that Radovan Karadzic will finally disappear from Bosnia's political scene is also regarded as a certain improvement, media said.

Some comments also voiced criticism of Holbrooke and his comparatively positive assessments of the Bosnia mission.

The New York Times said that Holbrooke had dealt with marginal issues. The daily criticised Holbrooke for not dealing more with the question of repatriation of refugees and other important issues for the survival of a single Bosnia. Instead, Holbrooke restored telephone lines and participated in the division of ambassadorial posts, said the New York Times.

[20] FEDERAL GOVERNMENT: STABLE PRICES AND RATE OF EXCHANGE OF THE DINAR

Tanjug, 1997-08-08

The set objectives of the economic policy for this year are essentially being realized - stable prices and the rate of exchange of the dinar, higher production and exports, structural changes and ownership transformation, a better living standard of the population, Yugoslav Minister for Development, Science, and Environment Jagos Zelenovic said on Friday.

Speaking at a press conference, he said prices and the rate of exchange were stable, illustrating this with the figures that retail prices had increased 3.3 percent in the first seven months this year, or 0.5 percent monthly, which is the lowest inflation rate in a long time.

Zelenovic pointed out the importance of maintaining the stability of the national currency. Thanks to the measures of a restrictive monetary policy, there is a smaller difference between the official and the black market rate of exchange in comparison with the beginning of the year, he said.

In the first half of the year, industrial production went up 7.6 percent against the corresponding period of 1996, and foreign trade exceeded three billion dollars in value. It increased by 24.1 percent against the corresponding period last year, and exports went up 28.5 percent, imports 21.7 percent.

The living standard increased by 12.4 percent in this period, and the real increase of salaries was 10 percent, which is more than planned or than the increase of the social product.

In parallel with the realization of the above goals of the economic policy, institutional preconditions have been set for intensifying ownership transformation, and there has been a significant inflow of foreign capital, which will form a material basis for the implementation of structural reforms, he said.

The construction of a market system was stepped up by the adoption of reformist laws whose effects are expected to be felt more substantially in the coming period, he said.

The basic concept of the economic policy will remain the same until the end of the year, he said, with emphasis on production and exports, while maintaining stability of prices and the national currency.

Activities will be stepped up to return Yugoslavia to international financial and trade organizations, and secure a normalization of relations with the European Union (E.U.) and other regional organizations and integrations, and also the former Yugoslav republics.

In spite of the invested efforts, there have not been any significant progress or results in this area, he said. In his opinion, this is because of political reasons, since certain international factors who worked on breaking up the former Yugoslavia are now obstructing the establishment of normal relations with the International Monetary Fund (IMF), the World Bank, The World Trade Organization, E.U., and former Yugoslav republics.

The lack of revolving capital, expressed dinar insolvency of companies and banks, high mutual debts and insufficient accumulation are the main obstacles to the realization of the economic policy, Zelenovic said. The economic policy will also focus on curbing the illegal parallel economy by the end of the year, he said. The Federal Government has been working on this for a month already and the results are already evident, he added.

Regarding public spending, the economic policy will be aimed at due payments of public income on the grounds of existing legal regulations, with the reexamination of real fiscal possibilities offered by the realized level of the social product, the Minister said.

The Federal Government is determined to base economic policy measures on market principles and mechanisms, said Zelenovic.

The quantitative figures for the desired objectives will be reexamined, in particular the targetted industrial production and social product growth rates, having in mind that the results for these six months were achieved in conditions which considerably differed from those expected at the beginning of the year, Zelenovic concluded.

[21] YUGOSLAV PRESIDENT RECEIVES BOSNIAN PRESIDENCY MEMBER, U.S. ENVOYS

Tanjug, 1997-08-09

Yugoslav President Slobodan Milosevic on Sunday received Bosnian Serb member of the Bosnia-Herzegovina Presidency Momcilo Krajisnik and U.S. Special Envoys Richard Holbrooke and Robert Gelbard.

The meeting focused on the most important issues in speeding up the implementation of the Dayton Accords and economic reconstruction as well as other issues of common interest.

Milosevic expressed belief that the speeding up of the implementation of the Dayton Accords would affirm the equality of the Republika Srpska and the Muslim-Croat Federation in Bosnia-Herzegovina.

Economic problems which are of vital importance to citizens should have priority in the coming period, it was said.

Since progress was made regarding several important issues in the speeding up of the implementation of the Dayton Agreement, Milosevic expressed satisfaction with the degree of agreement reached between Krajisnik and the U.S. Envoys.

Yugoslav Deputy Prime Minister Nikola Sainovic also participated in the talks.

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