Ex-Yugoslav states discuss division of assets

Ex-Yugoslav states discuss division of assets
REUTERS

DEC 18: Officials from Yugoslavia, Bosnia, Croatia, Macedonia and Slovenia began talks on Monday on the thorny issue of how to divide an estimated $100 billion worth of assets of the old Yugoslav Federation.

"This is the first meeting of all the delegations since March 1999. They are meeting to discuss the way forward," said a spokeswoman for Bosnia's mission to the European Union in Brussels, where the two-day talks were taking place.

NATO launched a bombing campaign against Yugoslavia in March 1999 over the Kosovo crisis.

The recent democratic changes in Belgrade, which swept President Slobodan Milosevic from power, have enabled the delegations to resume their talks.

The division of former Yugoslavia's assets and liabilities has been a stumbling block for years in establishing full relations between rump Yugoslavia, which comprises Serbia and tiny Montenegro, and its four newly independent neighbours.

So-called succession talks are also an imperative for Belgrade to rejoin the International Monetary Fund.

The disputed property includes embassies abroad and the whole range of state assets including factories, shipyards, pipelines and railways.

The spokeswoman said the delegations would hold bilateral talks on Monday with Sir Arthur Watts, who represents an international Peace Implementation Council formed to mediate in the row over the division of the assets.

The delegates will then hold a plenary meeting on Tuesday.

Belgrade puts the value of the state property at around $220 billion, while other republics say it is worth $100 billion.

The new Yugoslav leader, Vojislav Kostunica, has signalled that he will drop Belgrade's former insistence that it is entitled to the assets of the old Yugoslavia -- a claim unacceptable to the other countries.