Mr Schwarz-Schilling says he hopes to close his office in 2007

Christian Schwarz-Schilling told the UN Security Council it was time for Bosnia to assume the responsibilities of a "normal European democratic state".

This was the UN High Representative's first report to the council since taking up the post in February.

The office was established to oversee implementation of the 1995 Dayton peace accord, which ended the Bosnian war.

'Full partner'

Mr Schwarz-Schilling, who took over from British politician Lord Ashdown, told the council he hoped to be the final UN High Representative and to close his office in the Balkan nation in 2007.

"Bosnia and Herzegovina is now in a position to signal to Europe and to the world that the country is ready to become a full partner in Euro-Atlantic structures," he said.

The country had "the opportunity to be a fully independent sovereign state", with responsibility for its own political reform and economic development, Mr Schwarz-Schilling said.

He urged the international community to "stand back and allow the Bosnian authorities to take decisions", in order to allow a sustainable democratic culture to develop.

Mr Schwarz-Schilling listed his priorities for 2006 as constitutional reform, the general elections in October and further talks with the EU on a Stability and Association Agreement.

Bosnia is looking to join both the European Union and Nato.

Bosnia-Herzegovina Prime Minister Adnan Terzic told the Security Council that the government supported Mr Schwarz-Schilling's plans and was seeking further integration into Europe.