DEMILITARIZATION OF SERB-HELD EASTERN CROATIA TO BEGIN SOON

ZAGREB, May 17 (Hina) - Croatian Deputy Prime Minister Ivica Kostovic and UN Deputy Transitional Administrator of Eastern Slavonia Derek Boothy met in Zagreb on Friday to discuss the process of reintegration of the remaining Serb-occupied area into Croatia and compliance with its timetable. The reintegration process is progressing without difficulty and the begining of demilitarization of the area is very near, Boothy told a press conference after the talks. "As far as demilitarization is concerned, we can say that things are going according to plan," Kostovic said. "There are certain economic difficulties because there is no economy in the area," Kostovic said, adding that the Croatian government would consider ways of alleviating the situation through its ministries. (hina) vm 172040 MET may 96