GOVT ADOPTS FINAL DRAFT STATE BUDGET FOR 1998

( Editorial: --> 6208 ) ZAGREB, 5 Dec (Hina) - The Croatian Government on Friday held a session behind closed doors at which it adopted the final proposal of the state budget for 1998 and sent it to Parliament. The Government also approved additional means for the financing of the local self-government and administration in the Croatian Danube river region, head of the Government Communications office, Neven Jurica, told a press conference on Friday. Because of the obvious consistency of the Croatian policy and its effective results in the peaceful reintegration, the Government expects that the U.N. resolution on a support group of police monitors would too confirm the fact that there is full stability and safety in the Danube river region, said Jurica. Croatia expects the Security Council to confirm with the resolution that the Croatian Danube river region no longer poses any threat to the stability and safety in this part of Europe, he said. Speaking about the process of peaceful reintegration, Jurica said that the peaceful taking over and acceptance of Croatian uniforms with Croatian insignia by Transitional Police Force members as well as the integration of health institutions in the Danube river region into the Croatian health system was another visible sign that the model of peaceful reintegration and full stabilisation of the situation in that area was successful. As of 15 January, the day of the withdrawal of UNTAES and the completion of the transitional period, based on the Erdut agreement (on peaceful reintegration), Croatia's executive authority will completely take over all functions in the Danube river region, Jurica stressed. He expressed satisfaction with the results of peaceful reintegration in cooperation with the international community. The normalisation of relations with the Federal Republic of Yugoslavia has also contributed to the peaceful solution of the situation in the Danube river region, he added. Croatia has proposed that the United Nations send a group of civil police officers with an observer mandate, hoping that its presence in the area would prevent possible provocations and incidents, as well as possible attempts aimed at blaming the Croat side for incidents and provocations. Croatia has proposed that the group consist of up to 180 police officers and that they have one mandate, and stay in the area until the beginning of the next school year at the latest. "With its power, organisation and principled attitude, Croatia has shown that it guarantees and can guarantee full security and stability," said Jurica. Speaking about the relations between Croatia and Bosnia- Herzegovina, Jurica said the Croatian Government welcomed the beginning of negotiations on the establishment of an inter-state council for cooperation between Croatia and Bosnia-Herzegovina, in the spirit of policy of preservation and protection of Croatian interests and joint cooperation with the neighbouring Bosnia- Herzegovina, as well as in the interest of partner-like contribution to the stability of the international order. The Croatian proposal on the establishment of special relations with the Federation of Bosnia-Herzegovina, on which the Federation authorities are expected to give their opinion, was an important contribution to the strategic interests of the Croatian state and people, as well as to the permanent solution of the crisis in Bosnia-Herzegovina, he said. Jurica reiterated that both proposals were based on the Washington and Dayton peace agreements. The proposal on the establishment of special relations between Croatia and the Federation was a guarantee that Croats would survive in the Federation and it was essential for the effective implementation of the Washington and Dayton agreements, he said. Negotiations which have started in Zagreb will continue at the meeting of the Council for the Implementation of the Peace Agreement in Bosnia-Herzegovina, to be held in Bonn on December 9 and 10. (hina) jn rm . 051748 MET dec 97