Kosovo says election to go ahead despite deadlock

PRISTINA, Serbia, July 18 (Reuters) Kosovo said today it would go ahead with a general election later this year, testing political stability in the Serb province strained by diplomatic deadlock over its demand for independence.

The election, the third since the 1998-99 war, is due in November. However, the UN mission running the breakaway province had said it might postpone the vote until after major powers decided whether to grant it independence from Serbia.

''We have an agreement to hold elections in the autumn,'' said Kosovo President Fatmir Sejdiu. He said the poll ''should not be seen as justification for delaying'' a decision on Kosovo.

Sejdiu was speaking to reporters after a meeting of the ''unity team'', a pact of government and opposition leaders meant to maintain stability as pressure for independence grows.

Russian opposition to independence, in support of its ally Serbia, has blocked passage of a resolution in the UN Security Council on Kosovo's future and the European Union is considering more Serb-Albanian talks to try to break the deadlock.

Western powers formally introduced a draft UN resolution yesterday, calling for more talks and mandating the European Union to take over supervision of Kosovo. They have not decided whether to put it to a vote, faced with a possible Russian veto.

Some diplomats fear a general election and subsequent political upheaval could play into the hands of ethnic Albanian hardliners, who have threatened violence if the United Nations continues to deny Kosovo independence.

The decision on whether to hold the election lies ultimately with UN governor Joachim Ruecker. His spokesman said a decision would be taken soon, probably after Ruecker consulted Kosovo Albanian leaders next week.

Leaders of the 90-percent Albanian majority face growing public pressure to declare independence unilaterally, eight years after NATO bombs drove out Serb forces and halted the killing and expulsion of Albanians in a war with separatist Albanian rebels.

However, they need the support of the United States and 27-state EU, which fears a split over Kosovo unless there is a UN resolution providing the legal basis for recognition.

REUTERS LPB PM2110