Looking at the achievements of the new Yugoslav administration, I think that establishing ties with Bosnia was the greatest

Vojislav Kostunica

Mr Kostunica said establishing ties with Bosnia was the greatest achievement of the new Yugoslav administration.

Mr Kostunica stressed that Yugoslavia was committed to the peace accords which ended the war.

"The Dayton peace agreement is a model for co-existence between countries which have been torn by tension and conflict," Mr Kostunica told journalists.

The Dayton accords ended the Bosnian war in 1995 and set up two entities - one Serbian, the other Muslim-Croat - within the Bosnian state.

Mr Kostunica also used his visit to repeat his insistence that the use of DU weapons by Nato forces in Kosovo should be considered a war crime.

Thousands were killed in the brutal war

Mr Kostunica was given a warm welcome on his arrival on Friday.

The three members of Bosnia's post-war presidency - Serb Zivko Radisic, Croat Ante Jelavic and Muslim Halid Genjac - joined hands with Mr Kostunica in a single handshake.

Diplomatic relations were restored in mid-December, and the two sides signed a protocol consolidating them on Friday.

Mr Kostunica said Yugoslavia and the Bosnian Serb entity would have a special relationship, though Yugoslavia would see it as part of Bosnia Hercegovina.

Slobodan Milosevic's presence is still felt

One of the pressing issues for discussion is how to divide the assets of the former Yugoslavia.

Mr Kostunica has faced demands for Yugoslavia to admit responsibility for genocide and war crimes carried out in the Bosnian war.

Ousted president Slobodan Milosevic has been indicted by the war crimes tribunal in the Hague over his role in the Bosnian war.

Mr Kostunica has said Mr Milosevic may be put on trial in Belgrade, but has ruled out handing him over to the tribunal in the Hague.