PODGORICA, Feb 22: The European Union proposes to redefine the Yugoslav federation, creating a union of Serbia and Montenegro, in which each of the member republics will retain considerable autonomy, according to an article in the Podgorica daily Vijesti on Friday.

“This union would have several jurisdictions, leaving enough space for member republics to manage their own affairs,” E.U. foreign policy head Javier Solana said in an article for Vijesti.

The redefined state would have just one seat at the United Nations, but would nevertheless allow a “significant international role for Montenegro” and include “protection mechanisms which would prevent Serbia from ever again dominating Montenegro as it did in the days of (the former Yugoslav president Slobodan) Milosevic”.

The two republics would be allowed to review the position in a few years, Solana said, adding details had yet to be hammered out. The E.U. is aiming for agreement by March.

Solana met Yugoslav President Vojislav Kostunica and Montenegrin President Milo Djukanovic in Belgrade on Thursday, the latest in a round of meetings that began in December and aims to end a deadlock between the two.

Elections in Montenegro last April showed those favouring independence for Montenegro lacked a convincing majority.

When Slobodan Milosevic was in power in Belgrade Montenegro received strong support from the West, including help in breaking away from the Yugoslav dinar and bringing in the Deutschmark as its official currency.

E.U. policy on Montenegro has turned away from independence, partly out of concern Kosovo might seek similar treatment. There are also concerns that the many Serbs in Montenegro might use violence to oppose a split from Serbia.—dpa