Swiss Foreign Minister Joseph Deiss (right) and his Macedonian counterpart Alexander Dimitrov Tuesday signed a five-year cooperation accord and agreed on overland passage for refugees returning from Switzerland to Kosovo via Macedonia.

Swiss Foreign Minister Joseph Deiss (right) and his Macedonian counterpart Alexander Dimitrov Tuesday signed a five-year cooperation accord and agreed on overland passage for refugees returning from Switzerland to Kosovo via Macedonia.

Deiss and Dimitrov, who was on his third visit to Switzerland, also inaugurated a new Macedonian embassy building in the capital Berne. Deiss said Switzerland would open an embassy in Macedonia in the coming months.

Under the newly signed bilateral accord, Switzerland will support pro-democracy and welfare reforms, the privatisation of state enterprises and environmental projects in Macedonia.

Deiss said that imports from Macedonia would increase as part of efforts to boost economic relations, which Dimitrov hoped would be further expanded.

Deiss and Dimitrov also found a solution to the thorny issue of repatriating Kosovar refugees across Macedonian territory.

Macedonia said it would now allow overland refugee transports, provided Skopje was notified a week in advance.

Kosovar refugees, willing to return to their home region to rebuild their lives, have had to return by air so far. Deiss said that the first bus convoy with returning refugees – who get financial and material help from the Swiss government – would be prepared immediately.

Tens of thousands of Kosovar refugees poured into Switzerland at the height of the latest Balkan conflict, making Switzerland one of the main havens in Europe, along with Germany.

But hundreds of refugees have already gone back voluntarily to try to rebuild their lives in the war-torn Serbian province. The Swiss government says that the refugees must go back by May 2000 – a decision that would, if implemented, affect about 65,000 people.

From staff and wire reports.

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