Zakon o ratifikaciji Dvostranskega sporazuma med Vlado Republike Slovenije in Vlado Kraljevine Švedske glede prevzema določenih dolgov nekdanje Socialistične federativne republike Jugoslavije (BSEPDD)

With reference to the letters dated September 25, 1992, January 6, 1993 and July 5, 1993 from the Chairman of the Paris Club to the Minister of Finance of the Republic of Slovenia and the letters dated June 23, 1992, July 13, 1992, October 27, 1992, April 23, 1993 and July 27, 1993 from the Minister of Finance of the Republic of Slovenia to the Chairman of the Paris Club, concerning the assumption by the Government of the Republic of Slovenia of certain foreign debts of the former Socialist Federative Republic of Yugoslavia1, the Government of the Republic of Slovenia and the Government of the Kingdom of Sweden have agreed as follows:

Article 1

Scope of the Agreement

This agreement shall apply to certain debts, arising from bilateral Agreements dated February 1, 1985, February 6, 1986, March 17, 1987 and December 22, 1988 between the Federal Executive Council of the Assembly of the Socialist Federative Republic of Yugoslavia and the Government of the Kingdom of Sweden (“the Bilateral Agreements”), which the Government of the Republic of Slovenia shall assume as its own debt. The Bilateral Agreements are attached to and form an integral part of this Agreement.
    The debts covered by this Agreement (“the Debts”) have been specified in the appendices to a protocol (“the Protocol”), which has been signed simultaneously with this Agreement by Nova Ljubljanska banka and the Swedish Export Credits Guarantee Board (“EKN”) and represent the only debt of the Government of the Republic of Slovenia and Slovenian entities arising from the Bilateral Agreements. The Protocol forms an integral part of this Agreement.

Article 2

Payment provisions

Payment of the debts, whether of principal or of consolidation interest, with the exception of the amounts referred to in Article 3 below, shall be effected by the Government of the Republic of Slovenia in accordance with the relevant payment provisions of the Bilateral Agreements.

Article 3

Deferred amounts

a) Amounts of principal and consolidation interest, which have fallen due and not yet paid as at the date of this Agreement (“the Arrears”), shall be deferred and repaid by the Government of the Republic of Slovenia in six equal instalments on the following dates:
    June 30, 1996
    September 30, 1996
    March 31, 1997
    September 30, 1997
    March 31, 1998
    September 30, 1998
    b) Interest shall be paid on the outstanding balance of the total amount of the Arrears. The interest shall be calculated from the due dates on the exact number of days elapsed on the basis of a 360 day year.
    The interest shall have six month interest periods and be paid semi-annually in arrears on March 31 and September 30 of each year. The first interest period shall, however, run from January 1, 1991 up to and including June 30, 1996 and the second interest period shall run from July 1, 1996 up to and including September 30, 1996. The following interest periods shall run from October 1 and April 1 of each year. As regards the first interest period, the applicable rates of interest shall be determined separately for each successive period of six months.
    The applicable rates of interest shall correspond to the rates of interest as defined in the Bilateral Agreements.
    c) In the event that an amount payable according to the provisions of this Article has not been received on the due date thereof, interest shall be paid on such amount from the due date up to and including the day of actual payment at a rate which by one percentage unit exceeds the rates of interest as defined in Paragraph b) above.

Article 4

Implementation

Nova Ljubljanska banka and EKN are authorized, each within their own capacity, by their respective Government and under the full responsibility of that Government to implement this Agreement.

Article 5

Government liability

The Government of the Republic of Slovenia assumes full liability for the Debts and for the due fulfilment of all payments to be made under this Agreement.

Article 6

Settlement of disputes

Both parties shall attempt to solve any dispute arising in connection with this Agreement and the Protocol through negotiations. In the event that the parties have not been able to solve a dispute through negotiations, the dispute shall, at the request of either party, be settled by three arbitrators. One of the arbitrators shall be appointed by the Government of the Republic of Slovenia, the second by the Government of the Kingdom of Sweden and the third shall be appointed by the two arbitrators.
    Should the arbitrators fail to agree upon the third arbitrator, he or she shall be appointed by the President of the International Court of Justice. If the latter should be a national of either Slovenia or Sweden, this duty shall be carried out by the Vice President of the Court, or, if he or she is a national of Slovenia or Sweden, by the most senior judge of the Court not being a national of one of the two countries.
    The decision of the arbitrators shall be final and binding upon the parties.
    The parties may, however, agree to have the dispute settled by one arbitrator.

Article 7

Tenor of the Agreement

This Agreement shall enter into force upon the approval of the competent authorities of both parties. In the case of Slovenia this approval will be given upon its ratification by the National Assembly of Slovenia. In the case of Sweden this approval has been given by its signing. For this purpose, Slovenia shall notify Sweden in writing that the procedures required by its legislation for the entry into force of this Agreement have been complied with.
    In witness whereof the undersigned, being duly authorized thereto, have signed this Agreement.
    Done in Ljubljana this 13th day of September 1996 in duplicate in the English language, both copies being equally authentic.

For the Government of
    the Republic of Slovenia
    Mitja Gaspari, (s)
    For the Government of
    the Kingdom of Sweden
    Erik Asbrink, (s)

1 With reference to the fact that the Socialist Federative Republic of Yugoslavia has ceased to exist. All states that have emerged on the territory of the former Socialist Federative Republic of Yugoslavia (including the Republic of Slovenia) are legal successors of the former Socialist Federative Republic of Yugoslavia.

With reference to the Agreed Minute signed in Paris on May 22, 1984 between representatives of the Government of the Socialist Federal Republic of Yugoslavia and representatives of the governments of certain creditor countries, including the Kingdom of Sweden, concerning the alleviation of certain Yugoslav external debt service obligations, the Government of the Kingdom of Sweden and the Federal Executive Council of the Assembly of the Socialist Federal Republic of Yugoslavia (hereinafter referred to as “The Federal Executive Council”) have agreed as follows:

Article 1

Scope of the Agreement

This agreement shall apply to outstanding principal amounts,
    (i) which are owed by Yugoslav entities under commercial contracts, concluded before December 2, 1982, guaranteed by the Swedish Export Credits Guarantee Board (EKN) and providing for a credit period of more than one year, and
    (ii) which have fallen or will fall due from January 1, 1984, up to December 31, 1984 (inclusive).
    The debts thus covered by the Agreement (“the Debts”) have been specified in the appendix to a protocol (“the Protocol”) which was signed Juanary 23, 1985, by EKN and Investiciona banka Titograd – Udružena banka, Titograd (“the Bank”) and which forms an integral part of the Agreement.
    It is understood that interest accrued up to the original due dates (inclusive) shall be paid on those dates.

Article 2

Payment schedule

Payment of the Debts, shall be effected in six equal semi-annual instalments on the following dates:
    December 31, 1988
    June 30, 1989
    December 31, 1989
    June 30, 1990
    December 31, 1990, and
    June 30, 1991

Article 3

Interest

Interest shall be paid on the outstanding balance of the total amount of the Debts. The interest shall be calculated as from the original due dates on the exact number of days elapsed on the basis of a 360 day year. The interest shall be paid semi-annualy in arrears on each December 31 and June 30, commencing on June 30, 1985.
    The rate of interest for Swedish kronor shall be 13.5 per cent per annum.
    The rate of interest for US dollars shall be 10 per cent per annum for the first interest period.
    The rate of interest for US dollars for the succeeding interest periods shall be determined separately for each interest period and shall correspond to the rate which by 5/8 of one percentage unit p.a. exceeds the rate at which six months US dollar deposits for a similar amount are offered to Skandinaviska Enskilda Banken, Stockholm, Sweeden, by prime banks in the London Interbank Market at or around 11.00 a.m. (London time) on a Stockholm banking day falling two banking days in London prior to the beginning of the interest period in question. In the event, however, that no deposits are being offered to Skandinaviska Enskilda Banken as aforesaid, then the debts shall bear interest at a rate which by 5/8 of one percentage unit p.a. exceeds the rate at which such deposits may otherwise be obtainable by first class banks in the international market.
    Statements as to the interest rate applicable for each interest period shall be forwarded by EKN to the Bank successively.
    In the event that an amount payable hereunder has not been received on the due date thereof, interest shall be paid on such amount from the due date up to and including the day of actual payment at a rate which by one percentage unit p.a. exceeds the applicable rate determined as aforesaid.

Article 4

Payment currency

The payments to be made under this Agreement, whether of principal or of interest, shall be effected in the currency/the currencies specified in the original contracts, as listed in the appendix to the Protocol.

Article 5

Payment procedure etc.

All payments covered by this Agreement shall be made without notice or demand and without deduction for any present or future taxes or withholdings of any nature imposed in the Socialist Federal Republic of Yugoslavia and shall be effected in the manner described in the Protocol.
    If an amount paid under the Agreement is not sufficient to cover the total amount due, the amount paid shall be allocated against the Debts in the chronological order of their maturity according to the Agreement and thereby in the first instance against interest accrued after the due date, in the second instance against interest accrued up to the due date (inclusive) and thereafter against principal.

Article 6

Government liability

The Federal Executive Council assumes full liability for the due fulfilment of all payments to be made under this Agreement as well as for the payment of interest accrued up to the original due dates as set out in Article 1, paragraph 3.

Article 7

Implementation

EKN and the Bank are authorized, each within their own capacity, by their respective Government and under the full responsibility of that Government, to implement this Agreement.

Article 8

Preservation of rights and obligations

This Agreement shall not affect the rights and obligations of individual creditors and debtors under their respective contracts except those concerning the payment of the Debts as agreed herein.

Article 9

General conditions

The Federal Executive Council will accord to the Government of Sweden a treatment not less favourable than that which may be accorded to any other creditor country signatory to the Agreed Minute for the consolidation of comparable debts.

Article 10

Settlement of disputes

The Federal Executive Council and the Government of Sweden shall endeavour to settle any disputes by negotiation or by such other means as the Governments may agree upon.

Article 11

Tenor of the Agreement

This Agreement will enter into force upon the approval of the competent authorities of both parties. In the case of Sweden this approval has been given by its signing. In the case of Yugoslavia this approval will be given upon its ratification in accordance with the laws in force in Yugoslavia.
    However, this Agreement shall temporarily apply from the date of its signature, and shall terminate when all payments according to this Agreement have been made.
    Done in Belgrade this first day of February 1985 in duplicate, both copies being equally authentic.

For the Federal Executive
    Council of the Assembly of
    the Socialist Federal
    Republic of Yugoslavia
    Nikola Jelić, (s)
    Director of Department in
    the Federal Secretariat
    for Finance
    For the Government of the
    Kingdom of Sweden
    Lennart Myrsten, (s)
    Ambassador

With reference to the Agreed Minute signed in Paris on May 24, 1985 between representatives of the Government of the Socialist Federal Republic of Yugoslavia and representatives of the governments of certain creditor countries, including the Kingdom of Sweden, concerning the alleviation of certain Yugoslav external debt service obligations, the Federal Executive Council of the Assembly of the Socialist Federal Republic of Yugoslavia (hereinafter referred to as “The Federal Executive Council”) and the Government of the Kingdom of Sweden have agreed as follows:

Article 1

Scope of the Agreement

This agreement shall apply to outstanding principal amounts,
    (i) which are owed by Yugoslav entities under commercial contracts, concluded before December 2, 1982, guaranteed by the Swedish Export Credits Guarantee Board (EKN) and providing for a credit period of more than one year, and
    (ii) which have fallen or will fall due from January 1, 1985, up to May 15, 1986 (inclusive).
    The debts thus covered by the Agreement (“the Debts”) have been specified in the appendix to a protocol (“the Protocol”) which will be signed by EKN and Investiciona banka Titograd – Udružena banka, Titograd (“the Bank”) and which forms an integral part of the Agreement.
    It is understood that interest accrued up to the original due dates (inclusive) shall be paid on those dates.

Article 2

Payment schedule

90% of the principal will be repaid in ten equal and successive semi-annual instalments of the following dates:
    March 1, 1990
    September 1, 1990
    March 1, 1991
    September 1, 1991
    March 1, 1992
    September 1, 1992
    March 1, 1993
    September 1, 1993
    March 1, 1994
    September 1, 1994

Article 3

Interest

Interest shall be paid on the outstanding balance of the total amount of the Debts. The interest shall be calculated as from the original due dates on the exact number of days elapsed on the basis of a 360 day year and shall be paid on the last day of each interest period. The first interest shall end on September 1, 1986, the second on March 1, 1987, and the following on each succeeding September 1 and March 1.
    The rate of interest shall be determined as follows:

Debts denominated in Swedish Kronor (SEK)

The rate of interest for the first interest period shall be 13.5 percent p.a.
    The rate of interest for the succeeding interest periods shall be determined separately for each interest period and shall correspond to the rate which by 3/8 of one percentage unit exceeds the rate which constitutes the basis for the price at which Skandinaviska Enskilda Banken, Stockholm, Sweden, at or around 11 a.m. (London time) on a Stockholm banking day falling two banking days in London prior to the beginning of the interest period in question is prepared to acquire Swedish short term treasury notes (statsskuldvaxlar) with a remaining maturity of approximately six months. In the event, however, that no such quotation is obtainable, the Debts shall bear interest at a rate which by 3/8 of one percentage unit exceeds the yield for similar instruments in the Swedish money market.

Debts denominated in other currencies

The rate of interest for the first interest period shall be 9 per cent p.a. for US dollars and 7 per cent p.a. for Deutsche Mark.
    The rate of interest for the succeeding interest periods shall be determined separately for each interest period and shall correspond to the rate which by 5/8 of one percentage unit exceeds the rate at which six months deposits in the relevant currency for a similar amount are offered to Skandinaviska Enskilda Banken: Stockholm, Sweden, by prime banks in the London Interbank Market at or around 11.00 a.m. (London time) on a Stockholm banking day falling two banking days in London prior to the beginning of the interest period in question. In the event, however, that no deposits are being offered to Skandinaviska Enskilda Banken as aforesaid, then the Debts shall bear interest at a rate which by 5/8 of one percentage unit exceeds the rate at which such deposits may otherwise be obtainable by first class banks in the international market.
    Statements as to the interest rate applicable for each interest period shall be forwarded by EKN to the Bank successively.
    In the event that an amount payable hereunder has not been received on the due date thereof, interest shall be paid on such amount from the due date up to and including the day of actual payment at a rate which by one percentage unit exceeds the applicable rate determined as aforesaid.

Article 4

Payment currency

The payments to be made under this Agreement, whether of principal or of interest, shall be effected in the currencies specified in the original contracts, as listed in the appendix to the Protocol.

Article 5

Payment procedure etc.

All payments covered by this Agreement shall be made without notice or demand and without deduction for any present or future taxes or withholdings of any nature imposed in the Socialist Federal Republic of Yugoslavia and shall be effected in the manner described in the Protocol.
    If an amount paid under the Agreement is not sufficient to cover the total amount due, the amount paid shall be allocated against the Debts in the chronological order of their maturity according to the Agreement and thereby in the first instance against interest accrued after the due date, in the second instance against interest accrued up to the due date (inclusive) and thereafter against principal.

Article 6

Government liability

The Federal Executive Council assumes full liability for the due fulfilment of all payments to be made under this Agreement as well as for the payment of interest accrued up to the original due dates as set out in Article 1, last paragraph.
    The Federal Executive Council will take the necessary steps in order to secure the payments of all Debt due and not paid and not covered by the Agreed Minute signed on May 24, 1985 in Paris.

Article 7

Implementation

EKN and the Bank are authorized, each within their own capacity, by their respective Government and under the full responsibility of that Government, to implement this Agreement.

Article 8

Preservation of rights and obligations

This Agreement shall not affect the rights and obligations of individual creditors and debtors under their respective contracts except those concerning the payment of the Debts as agreed herein.

Article 9

General conditions

The Federal Executive Council will accord to the Government of Sweden a treatment not less favourable than that which may be accorded to any other creditor country for the consolidation of debts of a comparable term.

Article 10

Settlement of disputes

The Federal Executive Council and the Government of Sweden shall endeavour to settle any disputes by negotiation or by such other means as the Governments may agree upon.

Article 11

Tenor of the Agreement

This Agreement will enter into force upon the approval of the competent authorities of both parties. In the case of Sweden this approval has been given by its signing. In the case of Yugoslavia this approval will be given upon its ratification in accordance with the laws in force in Yugoslavia.
    However, this Agreement shall temporarily apply from the date of its signature, and shall terminate when all payments according to this Agreement have been made.
    Done in Belgrade this 6th day of February 1986 in duplicate, both copies being equally authentic.

For the Federal Executive
    Council of the Assembly of
    the Socialist Federal
    Republic of Yugoslavia
    Nikola Jelić, (s)
    Director of Department in
    the Federal Secretariat
    of Finance
    For the Government of the
    Kingdom of Sweden
    Lennart Myrsten, (s)
    Ambassador

Subject to the provisions of the Agreed Minute on the Consolidation of the Debt of the Socialist Federal Republic of Yugoslavia signed in Paris on May 13, 1986 between representatives of the Federal Executive Council of the Assembly of the Socialist Federal Republic of Yugoslavia (hereafter referred to as “The Federal Executive Council”) and representatives of the governments of certain creditor countries, including the Kingdom of Sweden, the Government of the Kingdom of Sweden and the Federal Executive Council have agreed as follows:

Article 1

Scope of the Agreement

This Agreement shall apply to outstanding principal amounts,
    (i) which are owed by Yugoslav entities under commercial contracts, concluded before December 2, 1982, guaranteed by the Swedish Export Credits Guarantee Board (“EKN”) and providing for a credit period of more than one year, and
    (ii) which have fallen or will fall due during the period May 16, 1986 through May 15, 1987 (inclusive) or
    (iii) which will fall due during the period May 16, 1987 through March 31, 1988 (inclusive).
    The debts thus covered by the Agreement (“the Debts”) have been specified in the appendices to a protocol (“the Protocol”) which will be signed by EKN and Investiciona banka Titograd – Udružena banka, Titograd (“the Bank”) concerning the implementation of the Agreement.
    It is understood that interest accrued up to the original due dates (inclusive) as well as unconsolidated payments of principal shall be paid by the original borrowers to the original creditors on those dates.

Article 2

Payment schedule

85% of the Debts mentioned in Article 1 (ii) will be repaid in ten equal and successive semi-annual instalments of the following dates:
    April 30, 1991
    October 31, 1991
    April 30, 1992
    October 31, 1992
    April 30, 1993
    October 31, 1993
    April 30, 1994
    October 31, 1994
    April 30, 1995
    October 31, 1995

Article 3

The percentage of Debts mentioned in Article 1 (iii) to be consolidated will be specified through an exchange of letters between the two parties, following an agreement on that percentage between representatives of Creditor Governments and the Socialist Federal Republic of Yugoslavia.
    Repayment of these Debts will be made in 10 equal and successive semi-annual instalments on the following dates:
    March 31, 1992
    September 30, 1992
    March 31, 1993
    September 30, 1993
    March 31, 1994
    September 30, 1994
    March 31, 1995
    September 30, 1995
    March 31, 1996
    September 30, 1996

Article 4

Interest

Interest shall be paid on the outstanding balance of the total amount of the Debts. The interest shall be calculated as from the original due dates for the exact number of days elapsed on the basis of a 360 day year and shall be paid on the last day of each interest period. As regards Debts mentioned in Article 2, the first interest period shall end on April 30, 1987, the second on October 31, 1987, and the ofllowing on each succeeding April 30 and October 31. The first interest period, as regards Debts mentioned in Article 3, shall end on September 30, 1987, the second on March 31, 1988 and the following on each succeeding March 31 and September 30.
    The rate of interest shall be determined as follows:

Debts denominated in Swedish Kronor (SEK)

The rate of interest for the first interest period shall be 10.5 percent per annum.
    The rate of interest for the succeeding interest periods shall be determined separately for each interest period and shall correspond to the rate per annum which by 3/8 of one percentage unit exceeds the rate, which constitutes the basis for the price at which Skandinaviska Enskilda Banken, Stockholm, at or around 11 a.m. on a Stockholm banking day falling two banking days prior to the beginning of the interest period in question is prepared to acquire Swedish short term treasury notes (statsskuldvaxlar) with a remaining maturity of approximately six months. In the event, however, that no such quotation is obtainable, the Debts shall bear interest at a rate which by 3/8 of one percentage unit exceeds the yield for similar instruments in the Swedish money market.

Debts denominated in US Dollars (USD)

The rate of interest for the first interest period shall be 6.75 percent per annum for USD.
    The rate of interest for the succeeding interest periods shall be determined separately for each interest period and shall correspond to the rate per annum which by 5/8 of one percentage unit exceeds the rate at which six months deposits in USD for an amount similar to the total amount of the Debt in USD are offered to Skandinaviska Enskilda Banken, Stockholm, Sweden, by prime banks in the London Interbank Market at or around 11.00 a.m. (London time) on a Stockholm banking day falling two banking days in London prior to the beginning of the interest period in question. In the event, however, that no deposits are being offered to Skandinaviska Enskilda Banken as aforesaid, then the Debts shall bear interest at a rate which by 5/8 of one percentage unit exceeds the rate at which such deposits may otherwise be obtainable by first class banks in the international market.
    Statements as to the interest rate applicable for each interest period shall be forwarded by EKN to the Bank as soon as possible.
    In the event that an amount payable hereunder has not been received on the due date thereof, interest shall be paid on such amount from the due date up to and including the day of actual payment at a rate which by one percentage unit exceeds the applicable rate determined as aforesaid.

Article 5

Payment currency

The payments to be made under this Agreement, whether of principal or of interest, shall be effected in the currencies specified in the original contracts, as listed in the appendices to the Protocol.

Article 6

Payment procedure etc.

All payments covered by this Agreement shall be made without notice or demand and without deduction for any present or future taxes or withholdings of any nature and shall be effected in the manner described in the Protocol.

Article 7

Government liability

The Federal Executive Council assumes full liability for the due fulfilment of all payments to be made under this Agreement.
    The Federal Executive Council will take the necessary steps in accordance with Yugoslav law in order to secure the payment of the non consolidated part of principal and the interest accrued up to the original due dates and not paid and guarantees the transfer of these amounts.

Article 8

Implementation

EKN and the Bank are authorized, each within their own capacity, by their respective Government and under the full responsibility of that Government, to implement this Agreement.

Article 9

Refinancing

EKN shall at any time, after notification to the Bank, be entitled to substitute this rescheduling agreement by a refinancing agreement on exactly the same terms.

Article 10

Preservation of rights and obligations

This Agreement shall not affect the rights and obligations of individual creditors and debtors under their respective contracts except those concerning the payment of the Debts as agreed herein.

Article 11

General conditions

The Federal Executive Council will accord to the Government of Sweden a treatment not less favourable than that which may be accorded to any other creditor country for the consolidation of debts of a comparable term.

Article 12

Settlement of disputes

The Federal Executive Council and the Government of Sweden shall endeavour to settle any disputes under this Agreement by negotiation or by such other means as the Governments may agree upon.

Article 13

Tenor of the Agreement

This Agreement enters into force upon the approval of the competent authorities of both parties. In the case of Sweden this approval has been given by its signing. In the case of Yugoslavia this approval will be given upon its ratification in accordance with the laws in force in Yugoslavia.
    However, this Agreement shall temporarily apply from the date of its signature, and shall terminate when all payments according to this Agreement have been made.
    Done in Belgrade this 17th day of March 1987 in two originals in the English language, both being equally authentic.

Subject to the provisions of the Agreed Minute on the Consolidation of the Debt of the Socialist Federal Republic of Yugoslavia signed in Paris on July 13, 1988, between representatives of the Federal Executive Council of the Assembly of the Socialist Federal Republic of Yugoslavia (hereafter referred to as “The Federal Executive Council”) and representatives of the governments of certain creditor countries, including the Kingdom of Sweden, the Government of the Kingdom of Sweden and the Federal Executive Council have agreed as follows:

Article 1

Scope of the Agreement

This Agreement shall apply to outstanding amounts of principal and interest
    (i) which have fallen of will fall due during the period April 1, 1988, through June 30, 1989 (inclusive) which are owed by Yugoslav entities under commercial contracts, concluded before December 2, 1982, guaranteed by the Swedish Export Credits Guarantee Board (“EKN”) and providing for a credit period of more than one year, and
    (ii) which have fallen or will fall due during the period April 1, 1988 through June 30, 1987 (inclusive), resulting from the bilateral Consolidation Agreements of February 1, 1985, February 6, 1986 and March 17, 1987.
    The debts thus covered by the Agreement (“the Debts”) have been specified in the appendices to a protocol (“the Protocol”) which will be signed by EKN and Investiciona banka Titograd – Udružena banka, Titograd (“the Bank”) concerning the implementation of the Agreement.

Article 2

Payment schedule

100% of the Debts mentioned in Article 1 (i) and (ii) will be repaid in eight equal and successive semi-annual instalments on the following dates:
    May 15, 1995
    November 15, 1995
    May 15, 1996
    November 15, 1996
    May 15, 1997
    November 15, 1997
    May 15, 1998
    November 15, 1998

Article 3

Interest

Interest shall be paid on the outstanding balance of the total amount of the Debts. The interest shall be calculated as from due dates for the exact number of days elapsed on the basis of a 360 day year and shall be paid semiannually in arrears on May 15 and November 15 of each year. The first interest period shall end on November 15, 1988
    The rate of interest shall be determined as follows:

Debts denominated in SEK

The rate of interest for the first interest period shall be 10.4 percent per annum.
    The rate of interest for the succeeding interest periods shall be determined separately for each interest period and shall be 0.375 percentage units above the average Stockholm Interbank Offered Rate (STIBOR) for six months SEK denominated deposits in the Stockholm market at or around 11.00 a.m. (Stockholm time) two banking days in Stockholm prior to the beginning of the interest period in question as quoted on Reuter Monitor Money Rates Services.

Debts denominated in USD and DEM

The rate of interest for the first interest period shall be 9.0 percent per annum for Debts denominated in USD and 5.425 percent per annum for Debts denominated in DEM.
    The rate of interest for the succeeding interest periods shall be determined separately for each interest period and shall be 0.5 percentage units above the London Interbank Offered Rate (LIBOR), for six months USD and DEM denominated deposits respectively. The LIBOR rates shall be the average of the rates quoted on Reuter Monitor Money Rates Services at or around 11:00 a.m. (London time) two banking days in London prior to the beginning of the interest period in question.
    Statements as to the interest rate applicable for each interest period shall be forwarded by EKN to the Bank successively.
    In the event that an amount payable hereunder has not been received on the due date thereof, interest shall be paid on such amount from the due date up to and including the day of actual payment at a rate which by one percentage unit exceeds the applicable rate determined as aforesaid.

Article 4

Payment currency

The payments to be made under this Agreement, whether of principal or of interest, shall be effected in the currencies specified in the original contracts, as listed in the appendices to the Protocol.

Article 5

Payment procedure etc.

All payments covered by this Agreement shall be made without notice or demand and without deduction for any present or future taxes or withholdings of any nature and shall be effected in the manner described in the Protocol.

Article 6

Assignment

EKN shall, after notification to, and with the full consent of the Federal Executive Council, be entitled to assign the any time the whole or any part of its rights under this Agreement. In the event of such assignment the Federal Executive Council and EKN shall agree to a mutually acceptable procedure.

Article 7

Government liability

The Federal Executive Council assumes full liability for the due fulfilment of all payments to be made under this Agreement.

Article 8

Implementation

EKN and the Bank are authorized, each within their own capacity, by their respective Government and under the full responsibility of that Government, to implement this Agreement.

Article 9

Refinancing

EKN shall at any time, after notification to the Bank, be entitled to substitute this Consolidation Agreement by a refinancing agreement on exactly the same terms as to principal and interest payment obligations as well as to all other items covered by this Agreement.

Article 10

Preservation of rights and obligations

This Agreement shall not affect the rights and obligations of individual creditors and debtors under their respective contracts except those concerning the payment of the Debts as agreed herein.

Article 11

General conditions

The Federal Executive Council will accord to the Government of Kingdom of Sweden a treatment not less favourable than that which may be accorded to any other creditor country for the consolidation of debts of a comparable term.
    Subject to part IV, paragraph 5 of the Agreed Minute on the Consolidation of the Debt of the Socialist Federal Republic of Yugoslavia signed in Paris on July 13, 1988, the Government of the Kingdom of Sweden agrees to consider positively rescheduling of the debt service payments in principal and interest under contracts mentioned in Article 1 (i) and (ii) hereof and falling due from July 1, 1989 to June 30, 1990 and from July 1, 1990 to June 30, 1991.

Article 12

Settlement of disputes

The Federal Executive Council and the Government of Kingdom of Sweden shall endeavour to settle any disputes under this Agreement by negotiation or by such other means as the Governments agree upon.

Article 13

Effectiveness and Tenor of the Agreement

This Agreement enters into force upon the approval of the competent authorities of both parties. In the case of Sweden this approval has been given by its signing. In the case of Yugoslavia this approval will be given upon its ratification in accordance with the laws in force in Yugoslavia which will be given within 30 days of signature of the Agreement.
    In accordance with Article 3, it is understood that the time period elapsed up to the entry into force of this Agreement will not adversely affect the payment obligations hereunder.
    However, this Agreement shall temporarily apply from November 7, 1988, and shall terminate when all payments according to this Agreement have been made.
    Done in Belgrade this 22nd day of December 1988 in two originals in the English language, both being equally authentic.

For the Federal Executive
    Council of the Assembly of
    the Socialist Federal
    Republic of Yugoslavia
    Boris Škapin, (s)
    For the Government of the
    Kingdom of Sweden
    Jan af Sillen, (s)