Banned Basque separatist party Batasuna reportedly in talks with mainstream Basque politicians on possible ceasefire by ETA separatists.

Head of Bosnian Serb special police dismissed over bungled attempt to arrest war crimes suspect Milan Lukic. Reports emerged that Lukic, targeted in raid, was providing The Hague with information on Radovan Karadzic, who remains at large.

U.S. said now recognised northern Cyprus PM Mehmet Ali Talat - not Rauf Denktash - as leader of Turkish Cypriots. Talat had supported UN Secretary General Annan's peace plan for divided island.

Crisis with Ajara resolved peacefully 6 May with resignation and departure for Moscow of Aslan Abashidze, region's authoritarian leader. After weeks of mounting tension between Abashidze and Georgian president Mikheil Saakashvili, crisis came to head 2 May as 3 bridges linking Ajara to rest of country blown up on Abashidze's orders; local support for Abashidze fell away; Russia played constructive role. Saakashvili set 20 June date for new elections in Ajara, vowed to preserve region's autonomy. Attention now shifting to Georgia's other breakaway republics, South Ossetia and Abkhazia. Officials there concerned Saakashvili will move to bring both regions under Tbilisi's control. Latter quoted as saying unification would take 2 years for Abkhazia, significantly less for South Ossetia. Tensions briefly rose as Georgian troops deployed to village of Tkviavi, 10km from Ossetian capital Tskhinvali, but troops quickly withdrawn.

President Nursultan Nazarbayev, in office since 1991, said will run for new 7-year term in 2006.

Head of UN Mission in Kosovo (UNMIK), Harri Holkeri, resigned 25 May on grounds of ill health leaving power vacuum and growing uncertainty. Arrest of former KLA commander Sami Lushtaku for March riots provoked unrest then mass celebrations in Drenica region upon his release. Provisional Institutions of Self-Government (PISG) and trade unions demanded UNMIK resume privatisation process, suspended last year. Nature of Serbian autonomy within decentralised Kosovo continued to raise questions; PISG leaders dismissed Serbian plan for 5 autonomous Serb regions. PDK proposed Macedonia’s Ohrid Agreement as decentralisation model, but other Kosovo Albanian parties denounced proposal. World Bank report acknowledged Kosovo’s unresolved status preventing economic growth.

Misir Ashirkulov, long-time friend of President Akayev, dismissed by latter as head of Security Council after joining Union for Honest Elections, new opposition group. Move may be prelude to run for presidency in elections set for October 2005. Akayev has promised not to run again. Chynybek Aliev, head of government anti-corruption department, gunned down by unknown assailants in Bishkek 5 May, adding to string of high profile assassinations over last 2 months.

No progress made in second round of negotiations over separatist Transdniestria region 25-26 May. Next round scheduled for 21-22 June.

Former PM Branko Crvenkovski sworn in as new president 12 May, named former interior minister Hari Kostov as PM. Authorities demanded extradition from Croatia of former interior minister Ljube Boskovski, who fled after being charged in connection with March 2002 murder of 7 migrants in alleged attempt to show support for "war on terror". Former customs director Dragan Daravelski arrested in Belgrade 28 May.

Feud between loyalist groups reportedly ended 30 May. Loyalist Volunteer Force (LVF) leading member was murdered 18 May, days after bullets sprayed Ulster Volunteer Force (UVF) home in east Belfast. PMs Tony Blair and Bertie Ahern said governments had established basis for road map to restore devolved power by October. Democratic Unionist party (DUP) leader Ian Paisley vowed not to participate in power-sharing government with Sinn Fein without complete IRA disarmament. Sinn Fein’s national chairman Mitchell McLaughlin called for IRA to decommission in run-up to 10 June European elections.