MATESA EXPECTS REGULATION OF CROATIA'S RELATIONS WITH EU IN 1998

( Editorial: --> 1702 ) ZAGREB, 31 Dec (Hina) - Croatian Premier Zlatko Matesa spoke about the Government's achievements in 1997 and its expectations in 1998, in last night's Croatian television news program 'Motrista'. Development questions would be the Government's most important task in 1998, Matesa said, expressing hope that contractual relations with the European Union would be regulated in the next year. The Government's greatest success in 1997 was the successful completion of peaceful reintegration, Matesa said, stressing that Croatia was again within its internationally recognised borders. In the area of foreign affairs, the intention of the Croatian Government was clear - Croatia's integration into international institutions, he said. Political and economic stability was a precondition of overall development, as well as of Croatia's integration into European economic associations, said Matesa. (hina) mm rm 311621 MET dec 97