The Spanish government has welcomed 1998 as a year of hope, and one that could see an end to the separatist violence that has troubled Spain's Northern Basque region for the last thirty years. The Spanish interior minister, Jaime Mayor Oreja, speaking in a televised interview, said there'd been an important change in public feeling over the last year towards the armed separatist organisation, ETA. Mr Oreja said he believed that ETA would eventually be defeated by a loss of support and by the overwhelming rejection by the Spanish, and particularly the Basque public, towards the armed group's continued violence. But, as Joanne Episcopo reports from Madrid, the central government's optimism is not shared by everyone.

The wave of public protest that swept through Spain last July after ETA murdered a young Basque councillor was seen by many as a turning point in the Basque conflict. Spain's interior minister said he believed this overwhelming condemnation of ETA's violence demonstrated a hope that the armed struggle could soon end.

The Spanish government has certainly enjoyed some success in its fight to break up the armed organisation. On a security level, improved cooperation with neighbouring France has led to a wide number of arrests of ETA members in the last year.

But, despite experts' claims that ETA is now tactically weaker, it seems little has changed on finding a political solution to the separatist struggle. The decision to imprison the twenty-three-member executive of ETA's political wing, Herri Batasuna - which commands around twelve per cent of the vote in the region - has led some observers to conclude that finding a peaceful solution is now further away than ever.

A small glimmer of hope lies in the hands of social mediation parties, which have put forward a series of initiatives known as "the third way" to try and foster dialogue between the government and the radical nationalists. But neither the politicians, nor ETA's supporters, have given any sign it's a proposal they wish to undertake.