FEDERAL REPUBLIC OF YUGOSLAVIA
         FEDERAL MINISTRY FOR FOREIGN AFFAIRS




YUGOSLAV DAILY SURVEY



BELGRADE, 21. September 2001.    No.3525







C O N T E N T S :

YUGOSLAVIA-FEDERATION-TALKS
YUGOSLAV PRESIDENT REQUIRES AGREEMENT ON REGULATIONS FOR DISCUSSIONS
KOSTUNICA PROPOSES US FEDERAL MODEL DJUKANOVIC STILL UNDECLARED ON
KOSTUNICA INVITATION

FROM THE FEDERAL REPUBLIC OF YUGOSLAVIA
YUGOSLAVIA, GERMANY INTENSIFY ECONOMIC COOPERATION
PARLIAMENT SPEAKER MEETS WITH SOUTH KOREAN DELEGATION MINORITIES
MINISTER MEETS WITH AUSTRIAN AMBASSADOR

REPUBLIC OF SERBIA
SERBIAN GOVERNMENT DELEGATION IN PRAGUE
SERBIAN NORDRHEIN-WESTPHALEN WORKING GROUP FORMED
SERBIAN INTERIOR MINISTRY DELEGATION VISITS PARIS
ECONOMIC CORRUPTION SIGNIFICANTLY DECREASED
DINKIC PROMOTES NEW 1,000 DINAR BANK NOTE
FIVE MILLION BRITISH POUNDS FOR POOREST FAMILIES IN SERBIA

SOUTHERN SERBIA-KOSOVO METOHIJA
KOSOVO COORDINATOR CONDEMNS ARREST OF SERBS BY UNMIK
MONTGOMERY: SITUATION IN SOUTHERN SERBIA KEEPS IMPROVING

REPUBLIC OF MONTENEGRO
MILO DJUKANOVIC, CYPRUS AMBASSADOR MEET




YUGOSLAVIA-FEDERATION-TALKS

YUGOSLAV PRESIDENT REQUIRES AGREEMENT ON REGULATIONS FOR DISCUSSIONS
BELGRADE, Sept 20 (Tanjug) - Yugoslav President Vojislav Kostunica sent 
letters to Yugoslav Prime Minister Dragisa Pesic, Montenegro's President

Milo Djukanovic and Serbian and Montenegrin Premiers, Zoran Djindjic and

Filip Vujanovic, informing them on regulations for discussions dealing
with 
redefinition of federation relations.
"In order to overcome the standstill, and because some participants of
the 
discussions insisted on details of the
regulations for discussions, I herewith send you a proposal for the 
regulations," Tanjug quoted Kostunica as saying.
"Since the discussion will deal with two platforms, participants of of
the 
talks will be representatives of Yugoslav and Republics' (Serbian and 
Montenegrin) authorities, who will also be representatives of
coalitions, 
elaborators of the platforms," Kostunica said in the letters. "Dates of 
meetings can be agreed upon subsequently, since the first meeting was
not 
held as scheduled," Kostunica added.

KOSTUNICA PROPOSES US FEDERAL MODEL
         BELGRADE, Sept 21 (B92)- President Kostunica has called on the 
Serbian government to axe a few of its numerous deputy prime ministers, 
saying it has simply too many.
         The Yugoslav leader made the call in an interview with Belgrade

daily Politika. When the government was formed in January this year,
there 
were seven such posts.
         Kostunica also repeated his call for Djindjic's government to 
abandon its use of decrees, such as the one employed to extradite
Milosevic 
to The Hague.
         Turning to Yugoslavia, the president suggested a US-style
federal 
model would be the best way forward.Belgrade's platform for redefining 
relations between Serbia and Montenegro offered "more rights to the
federal 
units and less to the federal state, " he explained.He said: "Serbia and

Montenegro are in limbo because of the disputes within Montenegro, and 
because of Montenegrin president Milo Djukanovic's incapability of
getting 
the support of a significant majority to back his idea to become 
independent of Yugoslavia."

DJUKANOVIC STILL UNDECLARED ON KOSTUNICA INVITATION PODGORICA,Sept 21
(Beta)-Montenegrin president Milo Djukanovic did not come 
out on September 20 whether he would accept the latest invitation of 
Yugoslav president Vojislav Kostunica for talks between federal and 
republican authorities on future relations between Serbia and
Montenegro. At a press conference Djukanovic said he would probably
respond to 
Kostunica`s renewed invitation for a meeting on September 20, claiming
that 
Montenegro cannot be "accused of unwillingness to conduct a dialogue".
Djukanovic said that Kostunica's latest initiative had a different tone
and 
that it left open the possibility for participants to reach an
agreement. The scheduled Belgrade Sept. 19 meeting on future relations
between Serbia 
and Montenegro never took place, as Djukanovic, Montenegrin Prime
Minister 
Filip Vujanovic and Serbian Prime Minister Zoran Djindjic failed to
show. 
Montenegrin officials refused to take part in the meeting in protest at
the 
invitation of Yugoslav prime minister Dragisa Pesic, as the Montenegrin 
authorities do not recognize the federal government.
FROM THE FEDERAL REPUBLIC OF YUGOSLAVIA

YUGOSLAVIA, GERMANY INTENSIFY ECONOMIC COOPERATION
         BELGRADE, Sep 20 (Tanjug) - Yugoslav Deputy Premier and 
Foreign  Trade Minister Miroljub Labus said Thursday meeting a 
German  business delegation that the intensive bilateral cooperation is 
a  good formula, and that Yugoslavia should depend on the economy 
and  investments, not on foreign aid.
Labus was discussing the reforms in Yugoslavia and the prospects  for 
promoting Yugoslav-German economic cooperation with the  delegation of
the 
North Rhine - Westphalia province headed by  Minister of the Economy, 
Energy and Transport Ernst Schwanhold.
Schwanhold said that the visit by 60 German businessmen was a  clear
sign 
of their confidence in the Yugoslav government and the  reforms it has 
undertaken, and a demonstration of their conviction  that Yugoslavia
will 
find a way to join  in European processes.
PARLIAMENT SPEAKER MEETS WITH SOUTH KOREAN DELEGATION
BELGRADE, Sept 21 (Beta)-Srdja Bozovic, the speaker in the upper house
of 
parliament, met on Sept. 20 with a delegation from South Korea. Bozovic
and the delegation agreed that there were conditions to continue 
advancing friendly relations and cooperation between the countries and 
their parliaments, a statement said.

MINORITIES MINISTER MEETS WITH AUSTRIAN AMBASSADOR
BELGARDE, Sept 21 (Beta)-Hanes Porias, the Austrian ambassador in 
Yugoslavia, said during a Sept. 20 meeting with Rasim Ljajic, Yugoslav 
minister of minority and ethnic affairs, that his country would continue

sending aid to Yugoslavia.In a statement Porias reiterated that Austria
was 
involved in renewal projects for schools and waterways in southern
Serbia 
and added that these projects were important for the entire region.
Ljajic acquanited Porias with the ministry's operations , the statement
said.

DINKIC PROMOTES NEW 1,000 DINAR BANK NOTE
BELGRADE, Sept 21 (Beta)-Yugoslav National Bank Governor Mladjan Dinkic 
promoted the new 1,000 dinar bank note in Belgrade on Sept. 20. "As off
Jan. 1, next year, dinar will be the only legal means of payment in 
shops, tourist attractions, and other places in Serbia," said Dinkic and

announced tighter control of all sales.
Dinkic said that on the evening of Sept. 19, the International Monetary 
Fund (IMF) approved the second credit installment from the stand-by 
arrangement, worth $US62 million. "The only problem for approving this 
installment was Montenegro, which over-spent the budget framework and 
pushed the budget into debt at the ontenegrin Accounting and Payment 
Bureau, while failing to inform the IMF on the matter," said Dinkic. The
National Bank governor said that Yugoslavia's current hard currency 
reserves amounted to $US1.044 billion.
REPUBLIC OF SERBIA

SERBIAN GOVERNMENT DELEGATION IN PRAGUE
PRAGUE, Sept 20 (Beta)-Serbian Prime Minister Zoran Djindjich said on 
September 20 in Prague that  zech firms would go on doing business in 
Serbia, taking into account that they have been doing so in
circumstances 
far less favorable for economic cooperation.
Djindjic helms the Serbian government delegation on the two-day visit to

Prague. The visit aims to bolster economic cooperation between the two 
countries.
The Serbian Prime Minister expressed his contentment about the dynamics
of 
economic cooperation, especially in the fields of transportation and
energy 
production, as these two sectors in Serbia make extensive use of 
Czech-produced technology, which Yugoslav experts hold in high esteem.

SERBIAN NORDRHEIN-WESTPHALEN WORKING GROUP FORMED
BELGRADE, Sept 21 (Beta)-Serbian Premier Zoran Djindjic and Ernst
Svanhold, 
the German province of Nordrhein- Westphalen's minister of economics and

transportation, agreed on Sept. 20 to form an expert working group to 
locate European funds for financing transportation and energy projects
in 
Serbia.
After meeting with Svanhold, Djindjic told journalists that the
60-member 
German delegation, would meet with Serbian entrepreneurs and government 
representatives on Sept. 20 and Sept. 21, to agree on cooperation.
"Another delegation from Germany's Northern Rhine district will arrive
in 
October, to begin implementing the projects," Djindjic said. Svanhold
told journalists that a few contracts were signed between Serbian 
and German companies.
"The working group, which we agreed on Sept. 20 to form, will be charged

with locating funds in the EU for road corridor number 10 and energy 
projects, we will also hire independent experts for the project,"
Svanhold 
said.

SERBIAN INTERIOR MINISTRY DELEGATION VISITS PARIS
PARIS, Sept 21 (Beta)-Dusan Mihajlovic, the Serbian interior minister,
told 
BETA on Sept. 20 that a delegation from his ministry had met with French

interior and defense ministry representatives on battling organized
crime 
and terrorism.
Battling organized crime and international terrorism were the main
topics 
of the talks, Mihajlovic told BETA over the phone.
The delegation, which is headed by Mihajlovic, also includes secret
police 
chief Goran Petrovic. It was invited to Paris by French Interior
Minister 
Daniel Vaillant and Defense Minister Alain Richard.

ECONOMIC CORRUPTION SIGNIFICANTLY DECREASED
BELGRADE, Sept 21 (Beta)-Serbian Finance Minister Bozidar Djelic said in

Belgrade on Sept. 20, that the greatest progress in fighting corruption
in 
Serbia had been made in the economy, while the least had been done in 
public services at local level.
During the first presentation of the government's strategy for fighting 
corruption at the conference "Corruption in Serbia" in Belgrade, Djelic 
stressed that a package of anti-corruption laws would be adopted this
autumn. Djelic also said that draft laws on public supplies, tax
administration, 
budget procedure and safe-deposit boxes were prepared, adding that laws
on 
tobacco, lotteries, and a supreme accounting court would be adopted
soon.

FIVE MILLION BRITISH POUNDS FOR POOREST FAMILIES IN SERBIA BELGRADE,
Sept 21 (Beta)-Serbian Minister of Social Welfare Gordana 
Matkovic and Great BritainAmbassador to Yugoslavia Charles Crawford
signed 
in Belgrade on Sept. 20, an agreement on a GBP5 million donation, which 
Great Britain is gifting to beneficiaries of a "socially endangered 
families" program in Serbia.
At a press conference, Matkovic said that the British government's
donation 
would provide aid for 35,000 families in Serbia, 15,000 of whom were on
the 
program's beneficiary list for the first time.
At the same press conference, Crawford said that the donation
represented 
"concrete results of political aid" promised to Yugoslavia at the donors

conference.
SOUTHERN SERBIA-KOSOVO METOHIJA

KOSOVO COORDINATOR CONDEMNS ARREST OF SERBS BY UNMIK
         BELGRADE, Sep 20 (Tanjug) - Serbian deputy Premier and 
President  of the Coordinating Center for Kosovo Nebojsa Covic 
Thursday  strongly condemned UNMIK for arresting Serbs Milorad
Blagojevic 
and  Sreten Sudimac at the Merdare checkpoint on Sep 17.  In a protest 
letter to UNMIK, Covic said that the arrests, made  at the request of 
ethnic Albanians, constitutes a provocation by  some ethnic Albanian 
extremist groups in this sensitive period when  the relations between 
Yugoslavia and UNMIK have become constructive.

MONTGOMERY: SITUATION IN SOUTHERN SERBIA KEEPS IMPROVING BUJANOVAC, Sept
21 (Beta)-American ambassador to Belgrade, William 
Montgomery, assessed to BETA on September 20 that the situation in
southern 
Serbia keeps improving and expressed his hope that it would normalize 
completely, adding that there was still a lot of work to do. Montgomery
paid a visit to the south of Serbia on September 20, together 
with the president of the Coordinating Centre for Kosovo, Nebojssa
Ccovich, 
and Pressevo mayor, Riza Halimi.
Commenting on local Albanian dissatisfaction with the speed of the 
introduction of agreed measures, Montgomery, paying a visit to the
village 
of Depce situated on the administrative border between Serbia and
Kosovo, 
said that "things cannot change overnight".
Asked what the possible U.S. reaction would be to any new Albanian armed

groups, Montgomery replied that "the events in the U.S. last week
clearly 
demonstrate the terrible effects of the use of force" and that "the U.S.

would stand firmly against them."
REPUBLIC OF MONTENEGRO

MILO DJUKANOVIC, CYPRUS AMBASSADOR MEET
PODGORICA, Sept 21 (Beta)-Montenegrin President Milo Djukanovic met in 
Podgorica on Sept. 20 with Stavros Amvrosiou, Cyprus ambassador to 
Yugoslavia, with whom he discussed Cyrpus's experiences in tourism,
marine 
traffic, and its preparations to enter the EU.
A statement from the Montenegrin president's office said that Amvrosiou
was 
interested in relations between Serbia and Montenegro. Djukanovic said
it 
was "realistic" to expect Montenegro to emerge from talks on the 
federation, "stronger and relieved of the pressure of today's issues and

problems."
"This would allow for economic prosperity and a higher standard of
living," 
Djukanovic told the ambassador.
Montenegrin Premier Filip Vujanovic also met with Ambrosiou.



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