DEPUTY PRIME MINISTER SKEGRO ON TALKS WITH LONDON CLUB

LONDON, May 15 (Hina) - Croatian Prime Minister Borislav Skegro today held talks on the rescheduling of Croatia's foreign debt with London Club coordinators. "The talks were an important step forward in clearing up pending issues between Croatia and the London Club," Skegro told reporters after the talks. "Today, we presented the Croatian economy and the conditions of a recent agreement in principle with the Club's international coordinators, reached after Finance Minister Prka's visit to New York," Skegro said. About 350 commercial banks attached to the London Club are yet to give their consent to the agreement. "Our goal is to substitute Croatia's portion of the Former Yugoslavia debt for Croatian Government bonds and thus service Croatia's obligations to foreign creditors," Skegro said. "We hope to reach a definite agreement in about a year's time," he added. Croatia has been conducting informal talks with the London Club for two years. (hina) as 152042 MET may 96