The political representative of the ethnic Albanian separatist group in Kosovo, the KLA, has said it would accept a transitional settlement that kept the province inside Yugoslavia.

The representative, Adem Demaci, said the KLA realized its ultimate goal of Kosovar independence could only be reached gradually.

Speaking on the independent Serbian radio station, B-92, he said the KLA would agree to Kosovo temporarily becoming a third Yugoslav federal republic, alongside Serbia and Montenegro.

Mr Demaci said such a deal must be guaranteed by the international community and be followed within three years by a referendum on independence.

He added that he did not think the KLA's change in position would speed up peace talks with the Serbian authorities.