1 SEPTEMBER 1939, Page 2

Federal Yugoslavia

The need for national unity has at length persuaded Prince Paul, the Senior Regent of Yugoslavia, to accept the results of the agreement reached between the Prime Minister, M. Tsvetkovitch and the Croat leader, Dr. Matchek. The concessions obtained by the Croats are generous. In the new Government of national unity the Croat Peasant Party has five members, including Dr. Matchek as Deputy Prime Minister. The Senate and Skupshtina, elected by means which ensured Serb predominance, have been dissolved, and a new and more liberal electoral law will be introduced ; restrictions on civic and political liberties are expected to be removed. Finally, the Croats will establish a semi- autonomous federal administration with its seat of Govern- ment at Zagreb. It is easy to understand that the Council of Regency has found it hard to accept such terms, which destroy the Serbs' exclusive claim to political power ; the greatest credit must be given to M. Tsvetkovitch for his tenacity in negotiating the agreement. The Regency indeed has had no choice but either to accept the. agree- ment or to imperil the integrity of the State. The second course would hardly be compatible with Prince Paul's duty as Regent to preserve the kingdom intact for the young King Peter.