Germany committed to cooperation with Yugoslavia

"The (German) government and business delegation searched for a deeper, more intense cooperation", said the group's leader Wedige von Dewitz of BMW and an economic ministry official.

Europe is "aware that Yugoslavia is in an important and difficult phase of reconstruction and restructuring," Von Dewitz said at a press conference, asserting the German interest to "take part" in the process.

"Yugoslavia is also aware that it can restructure only if it cooperates with the German and other economies", he said, adding that the "top level reception" his delegation received affirmed Yugoslavia's interest.

The group, including officials from ThyssenKrupp, Ruhrgas, Siemens, Deutsche Bank and Commerzbank, on Tuesday and Wednesday met counterparts from Yugoslav and Serbian companies, but also President Vojislav Kostunica, Serbian economic ministers Srboljub Antic and Goran Pitic and central bank expert Radovan Jelasity.

"The cooperation now has a double edge - Yugoslavia urgently needs aid, above all in energy", Von Dewitz said, presenting details of the donation contract the delegation signed Monday with Serbian authorities.

It provided an immediate grant for an improvement in the Serbian energy situation, with 25 million German marks worth of electricity and five million for equipment repairs, he said.

The German government financed the deal through the RWE power company, while electricity, which started flowing into Yugoslavia Tuesday at midnight, was produced in Hungary.

Delegation member and a Balkans Stability Pact official Manfred Nussbaumer said another German delegation, which would consist of small and medium-sized enterprises, would visit Belgrade in February.

Germany was Yugoslavia's largest trade partner and its firms took part in building much of the Balkan's country infrastructure. It is also home to most of Yugoslav expatriate workers.

He agreed with foreign ministry representative Andreas von Stechow in praise of the "new, young generation of Serbian ministers who impressed with their activity" and ability to round up competent potential partners.

Stechow stressed that Foreign Minister Joschka Fischer pledged to cooperate with new Yugoslav authorities during his visit to Belgrade last week and said Germany "welcomed the democratic change in Yugoslavia with great joy".

"The German government is committed to help the democratic process that can consolidate itself at parliamentary elections in Serbia next month", he said.

The West began dropping economic and political sanctions imposed on Yugoslavia during the decade of Slobodan Milosevic's autocratic rule, ended by massive protests after federal elections in September.

Milosevic's fall destabilized Serbia, where his Socialist Party of Serbia dominated the parliament, forcing it to schedule early elections for December 23.

(la/dpa)