New Bosnian Serb premier moves to weaken Karadzic

The newly-elected Bosnian Serb prime minister, Milorad Dodik, has moved to consolidate the position of the president of the Bosnian Serb Republic, Biljana Plavsic, in her power struggle with supporters of Radovan Karadzic.

Mr Dodik announced that the bank accounts of the outgoing government would be frozen.

He also said the Bosnian Serb capital would be moved to Mrs Plavsic's stronghold of Banja Luka, away from Mr Karadzic's power base in the southern town of Pale.

The new government also announced a reorganisation of the Bosnian Serb police force, after allegations of corruption.

The announcements were immediately welcomed by the United States.

In a separate development, the international high representative in Bosnia-Hercegovina, Carlos Westendorp, is expected to impose a common Bosnian currency, after another inconclusive meeting of the Bosnian collective presidency.

From the newsroom of the BBC World Service