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PM, GOVT. CATEGORICALLY IN FAVOUR OF BORDER DEAL WITH SLOVENIA

ZAGREB/PUCISCA, Aug 1 (Hina) - Prime Minister Ivica Racan said on Wednesday he and his cabinet were categorically in favour of a recently initialled border agreement with Slovenia. Talking to state radio from Pusisca where he is spending his summer vacation, Racan described as ridiculous those comparing the settlement of the border issue with Slovenia to the issue of Prevlaka, a southern-most tip bordering on the Yugoslav republic of Montenegro. Racan said Prevlaka was not a border but strictly security issue which could be treated only as such. Serbia and Montenegro would have to accept it as such if they wish to cooperate with Croatia, he added. The PM said the border agreement provided Slovenia with access to open sea and Croatia with a solution to its vital problems, namely road access to Western Europe. The agreement provides for excellent border cooperation, and facilitates the settlement of health a
ZAGREB/PUCISCA, Aug 1 (Hina) - Prime Minister Ivica Racan said on Wednesday he and his cabinet were categorically in favour of a recently initialled border agreement with Slovenia. Talking to state radio from Pusisca where he is spending his summer vacation, Racan described as ridiculous those comparing the settlement of the border issue with Slovenia to the issue of Prevlaka, a southern-most tip bordering on the Yugoslav republic of Montenegro. Racan said Prevlaka was not a border but strictly security issue which could be treated only as such. Serbia and Montenegro would have to accept it as such if they wish to cooperate with Croatia, he added. The PM said the border agreement provided Slovenia with access to open sea and Croatia with a solution to its vital problems, namely road access to Western Europe. The agreement provides for excellent border cooperation, and facilitates the settlement of health and education issues of the population living along the border, said Racan. He added the agreement precluded a possible conflict which might have an adverse effect on Croatia's prospects, tourism and transport connections. "Only grumpy, blinded Croats will not see what we gain by having good relations with Slovenia. That is why I am categorically in favour of the agreement, as is my cabinet," Racan said. Asked about tourism, he was confident this year's season would be more successful than last year's. A subtler analysis will have to be made when the season ends to establish how to tackle next year, according to the PM. He added expectations for this year had been exaggerated in part, and that good results could not be achieved without hard work and preparations. The PM agreed the high exchange rate of the domestic currency was partly responsible for poor spending on extra tourist services, but said this was not the only reason behind the high prices, which he added were also the result of "excessive appetites." Racan said the government strongly supported the privatisation of the tourist sector, despite opposition to the process. (hina) ha

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