CROATIA TO ACT SERIOUSLY, RESOLUTELY SHOWING ALSO RESTRAINT-GRANIC

ZAGREB, March 25 (Hina) - Croatian Foreign Minister Mate Granic on Thursday said that after NATO air strikes against the Federal Republic of Yugoslavia the situation was very serious. "We should act seriously and resolutely, but also exercise restraint", Granic said at the end of a discussion held in the Croatian National Sabor's House of Representatives, focusing on measures Croatia has undertaken in relation to NATO strikes on the FRY. At the moment, nobody can foresee how long the NATO action will last, Granic said. According to him, Serbia and Yugoslav President Slobodan Milosevic were surprised the most by the determination and scope of NATO's military strike. It would be best for Croatia if the action could be as brief and as effective as possible. "We would like Milosevic to accept conditions -- the peace agreement, the cessation of all military activities in Kosovo, and NATO's arrival in Kosovo" the Croatian Foreign Minister said. He added that Croatia gave its consent to NATO to use Croatian air space during its action. According to Granic, several Serb generals warned neighbouring countries that Yugoslavia might launch offensives in retaliation for the attack on Serbia. This, first of all, refers to Albania and Macedonia, but also to other neighbouring countries. Croatia firmly demanded protection from the United States and NATO against any possible action by the FRY. Croatia is ready to defend itself from any kind of offensive actions by the FRY, Granic said. He also stressed that at the moment "it is most important to reduce economic damage" which is a consequence of the NATO strike. (hina) it jn/lml