Allow me at the outset to congratulate His Excellency Mr. Theo-Ben Gurirab, Foreign Minister of Namibia, on his election as President of the fifty-fourth session of the General Assembly. His talent, skills and experience in international affairs guarantee the wise conduct and direction of this session. Our gratitude goes to the outgoing President, His Excellency Mr. Didier Opertti. Since the beginning of the fifty-third session of the General Assembly, my country, Bosnia and Herzegovina, has achieved remarkable progress in implementation of the Dayton/Paris Peace Accords — progress, I might even dare to say, that is encouraging. The progress is visible in the further strengthening of peace, improvements in efficiency and the stabilization not only of common institutions but also of the institutions of both Entities as well as of local government bodies. This progress is also evident in the further promotion and affirmation of democratic values, human rights and freedoms and even in the return of displaced persons and refugees. This progress has also been noted in numerous reports by authoritative international representatives and institutions from the Council of Europe, the European Union, the Organization for Security and Cooperation in Europe (OSCE), the High Representative and participants in the Stability Pact Summit. All of them confirmed that we have been moving in the right direction. I do not want to suggest that the progress that has been made is spectacular and that we in Bosnia and Herzegovina, or the international players involved in my country, are filled with great joy. Nonetheless, despite all the criticism and all of the shortcomings, progress is obvious, and that is a fact worthy of our attention, if for no other reason than that it is proof that Bosnia and Herzegovina is starting slowly and surely to move away from political, humanitarian, economic and almost every other form of stagnation. It is also proof that Bosnia and Herzegovina is moving away from the state of deep internal mistrust, doubt and reservation which has for a long time existed between the two Entities and different constitutive people, and between their political leaders and representatives in common institutions. It is also a reflection of the state of mind and general mood among the citizens. I believe that it would not be too optimistic to claim that those positive results and developments are evidence of a higher potential and the growing will to find a way out of the difficult and depressing state in which Bosnia and Herzegovina was a prisoner for almost a whole decade. Of course, there are still many issues which we need to work on regarding the Peace Agreement implementation and the implementation of the conclusions of the Peace Implementation Council contained in the Bonn and Madrid documents, although it also cannot be disputed that, unfortunately, we have reached unbalanced results in the two Entities. 36 However, this year the common institutions of Bosnia and Herzegovina have been working with greater effectiveness, intensity and coordination. Furthermore, 272,000 displaced persons and 343,000 refugees have returned to both Entities. However, the return remains one of the most difficult and painful humanitarian, economic and political issues, especially the so-called minority return. On different levels, the minority return is still being slowed down, manipulated, blocked and politically exploited. However, we are not accepting the situation. Minority return is not coming off our agenda; rather, it is increasingly becoming an indicator of success, demonstrating the capabilities and responsibilities of many political leaders from the local to the State level. The public at large — the voters — are monitoring and assessing this process daily. The return of refugees under conditions set by us is the barometer of reconciliation, respect for human rights and stability in general. Reform of the judicial system has also been initiated, and it is aimed at the complete professionalization, modernization and independence of judges and prosecutors, in accordance with the norms and standards of the democratic societies of contemporary Europe and the world. The reconstruction of the Ministry of the Interior is also under way, as well as the modernization, professional training and education of local police. The recruitment of policemen and policewomen reflects the demographic picture of the population. Finally, there has also been progress in cooperation with the International Criminal Tribunal for the former Yugoslavia, although such cooperation is still not complete in the region as a whole. Starting with the current school year, children in the schools of Bosnia and Herzegovina are attending classes in accordance with new programmes which reflect the present time and look to our common future. The school programmes exclude contents which, according to the common multinational commissions and international representatives, could represent a threat and a danger to the fragile confidence and understanding of the young generations. Significant results have been achieved through a programme of economic and infrastructural reconstruction. But the restoration of industrial capacity has brought it up to only one third of its pre-war level. We still have a high number of unemployed and socially dependent categories. That is why Bosnia and Herzegovina will need international assistance for a longer period of time. However, that would be an investment not only in our future but in the future of everyone. Activities are under way in regulating the sensitive but vital field of public information in both Entities. A set of regulations on the organization and functioning of broadcasting is in the process of being drawn up. Significant measures have been undertaken in the sphere of economic reform. In addition, the customs law has entered into force, the reform of the banking system and financial transactions has been launched and the first results have been achieved in the privatization of small enterprises. Preparations for the privatization of larger public enterprises and industrial conglomerates, which were an inheritance from the socialist period, are under way. Bosnia and Herzegovina is speeding up its activities in these and many other areas as a reflection of its strong orientation towards the building of democracy and civil society, an open market economy and the enlargement of human rights and, by doing so, it is meeting the conditions for admission to the Council of Europe and getting closer to the European Union and trans-Atlantic institutions. Bosnia and Herzegovina has increased its cooperation with the European Union and North Atlantic groupings, at the same time benefiting from the various forms of support and assistance that those institutions have provided to us. In that regard, Bosnia and Herzegovina was particularly encouraged by the adoption last year of the European Union Declaration on special relations with Bosnia and Herzegovina. The Consultative Task Force established pursuant to that document has intensified its work in assisting us to overcome a number of technical, legal and organizational problems in the relationship between Bosnia and Herzegovina and the European Union. This has strengthened the functioning of State and Entity institutions and is enabling us to cooperate more successfully with the European Union. For these and many other results which cannot be mentioned because of the time limitations, we have to thank the international community, which gave direct and indirect assistance, and we are especially grateful to the High Representative, who used his right to impose solutions when we in Bosnia and Herzegovina were unable to reach agreement through the normal democratic process. All of those efforts should warn us that the presence of the international community and its role in Bosnia and Herzegovina is still indispensable; it remains a guarantor that life in Bosnia and Herzegovina will move towards normalization. I believe that one of the most convincing pieces of evidence of the progress which we are witnessing in Bosnia and Herzegovina was its organization and hosting of the Summit of the Stability 37 Pact for South-Eastern Europe, which took place on 29 and 30 July this year in Sarajevo. As the Assembly may recall, Sarajevo has hosted leaders of the States members of European Union, the Russian Federation, Canada, the United States of America, Japan, the Central and Eastern European countries, the most important multilateral institutions, such as this one, and, of course, the countries of South-Eastern Europe — the very members of the Stability Pact. At that historic event, the common institutions of Bosnia and Herzegovina, the bodies and organizations from both Entities and many individual actors of all nationalities, confirmed not only their abilities and their capabilities, but also their belief in and readiness to make joint endeavours in their respective and common interests. I am deeply convinced that the numerous offers of congratulations and recognition which were forwarded to us on that occasion from the many prominent European and world heads of State gathered in Sarajevo were more than a simple expression of diplomatic courtesy. As a unique contribution to the objectives of the Stability Pact, Bosnia and Herzegovina and Croatia have signed the border agreement, thereby removing this sensitive issue from our respective agendas. We are convinced that the Stability Pact and the declaration adopted in Sarajevo have opened new perspectives to Bosnia and Herzegovina, as well as to all the other countries in the region. This has given birth to a stable and definite solution to a series of catastrophic events of Biblical proportions and the fast recovery of peoples and countries that have paid an extremely high price for ignorance, for political and military adventurism and for flagrant violations of the norms of international relations and international humanitarian law. The guarantees of the success of the goals of the Stability Pact — peace, prosperity and security for our part of the world — indeed depend upon the determination and preparedness of the European Union, the OSCE, the Council of Europe, the United Nations and the North Atlantic Treaty Organization (NATO), as well as other international organizations, institutions and regional initiatives. The guarantee of their accomplishment also depends upon the fact that the European Union and the United States of America have made the Stability Pact a priority in their new trans-Atlantic programme, and the European Union and the Russian Federation have made the Pact the priority in their political dialogue. Bearing all of this in mind, we in Bosnia and Herzegovina are determined to embrace the Stability Pact in its entirety, to build on it and to accomplish our objectives through concrete contributions to its success, through our own initiatives and creative activities and through the development of regional cooperation within the framework of multilateral and bilateral agreements. In that context, I wish from this podium once again not only to reaffirm the indispensable role of the Organization in the implementation of the Dayton/Paris Agreement and the Stability Pact, but also to reiterate my gratitude for all the efforts, contributions and many sacrifices made for Bosnia and Herzegovina. We have witnessed in this past decade the capabilities and efficiencies of international organizations, and especially of the United Nations. At the same time, unfortunately, we have noticed some weaknesses and imperfections that endanger the role of the Organization as a vital and irreplaceable Organization for the twenty-first century. I believe that none of us has any doubts that the United Nations is ready and able to pursue its noble mission to continue to strengthen and develop its purpose and ideals in the coming century. Even if the United Nations has not achieved all of its goals, it was able to safeguard global peace, initiate and make possible sustainable development, appease many injustices worldwide and, on top of all that, to come to very clear visions about its own reforms. The United Nations started reforming itself several years ago but has not yet finished this task. This path should indeed be vigorously pursued. I am of the view that if the United Nations had the courage to change the world, it can and must find the determination to change itself more quickly and to adapt itself to face the challenges of the next century. The millennium summit could be envisaged as a great opportunity for heads of State and Government of Member States meeting in the year 2000 to verify and adopt a large part of these reforms. Bosnia and Herzegovina has thus far been to a greater or lesser extent an object of consideration within many international organizations and forums. The time and the context that dictated such a position are fortunately coming to an end. We are now becoming aware of the necessity of 38 taking a more active, creative and responsible role in international relations. That is why we observe with a more critical eye the duties that we have taken on as a full member of the family of nations, but that we have not yet carried out or accomplished fully. Such an orientation is more a result of the fact that we feel more self-confident and are more and more trustful towards our friends and partners in the United Nations and other international organizations, forums and initiatives. An expression of this is the decision taken by Bosnia and Herzegovina to reduce its military expenses by 15 per cent in the hope of giving an example to other nations. Allow me to conclude this statement by quoting a brilliant diplomat who once said, “People and States act wisely only after they have exhausted all other alternatives.”