The Bosnian Serb leadership has called off a planned referendum on judicial power in Bosnia after international concerns were raised that it could stoke an already-sensitive political and ethnic divide in the country.

The Serb region of Bosnia had planned to ask its citizens whether they supported the legitimacy of the national courts, as well as the powers of Valentin Inzko, the international envoy overseeing Bosnia's fragile peace and who can impose laws and fire elected officials.

Inzko had earlier said the referendum was the "most serious challenge" to Bosnia's viability since the end of the Balkan country's 1992-95 war which killed 100,000 people.

Bosnian Serb President Milorad Dodik, who has long advocated secession from Bosnia of his region, Republika Srpska, argues the national courts are biased against Serbs. The courts handle cases of war crimes, organized crime and corruption.

Referendum rethink

European Union top diplomat Catherine Ashton made a surprise visit to the country on Friday to meet with Dodik to convince him to give up the referendum.

The Bosnian Serb leader emerged from the talks acknowledging the problematic nature of the national questionnaire, telling reporters he would instead opt to begin negotiations with the EU over judicial reforms in the country.

"I think that a referendum for the time being is not necessary," Dodik said.

"I believe we have a credible partner who has not only acknowledged our concerns with regards to the ... functioning of the judiciary at Bosnia-Herzegovina level but is also ready to invest its credibility into that process," he added.

Ashton, speaking at the joint press conference with Dodik, welcomed the move.

"I was pleased to hear your commitments to remove the threat of referendum and review the conclusions," Ashton told Dodik. "We consider that this dialog will establish solutions to these concrete problems and will reestablish this country on the EU path."

A spokesman for Ashton later said the EU would set up a so-called "structured dialog on justice" - the tool used to address judicial concerns in countries aspiring to join the EU.

Divided land

Bosnia is divided primarily between Bosniaks, Serbs and Croats, and as such has a three-member presidency composed of a member of each major ethnic group. The central government's power is limited and the country is largely decentralized.

In recent years, the country has been locked in a political crisis between its former adversaries who must now share the country.

Author: Darren Mara (AFP, Reuters, dpa)
Editor: Martin Kuebler