democratically elected. The President of Yugoslavia acted alongside the Presidents of the republics of Serbia and Montenegro. Initially, all three offices were dominated by allies of Slobodan Milosevic and his Socialist Party of Serbia. Foundation On 26 December 1991, Serbia, Montenegro, and the Serb rebel-held territories in Croatia agreed that they would form a new "third Yugoslavia". Efforts were also made in 1991 to include SR Bosnia and Herzegovina within the federation, with negotiations between Miloševic, Bosnia's Serbian Democratic Party, and the Bosniak proponent of union – Bosnia's Vice-president Adil Zulfikarpašić taking place on this matter. Zulfikarpašić believed that Bosnia could benefit from a union with Serbia, Montenegro, and Krajina, thus he supported a union which would secure the unity of Serbs and Bosniaks. Milošević continued negotiations with Zulfikarpašić to include Bosnia within a new Yugoslavia, however efforts to include the whole of Bosnia within a new Yugoslavia effectively terminated by late 1991 as Izetbegović planned to hold a referendum on independence while the Bosnian Serbs and Bosnian Croats formed autonomous territories. Violence between ethnic Serbs and Bosniaks soon broke out. Thus, FR Yugoslavia was restricted to the republics of Serbia and Montenegro, and became closely associated with breakaway Serb republics during the Yugoslav Wars. Yugoslav Wars The FRY was suspended from a number of international institutions. This was due to the ongoing Yugoslav wars during the 1990s, which had prevented agreement being reached on the disposition of federal assets and liabilities, particularly the national debt. The Government of Yugoslavia supported Croatian and Bosnian Serbs in the wars from 1992 to 1995. Because of that, the country was under economic and political sanctions. War and sanctions resulted in economic disaster, which forced thousands of its young citizens to emigrate from the country. FR Yugoslavia acted to support Serbian separatist movements in breakaway states, including the Republic of Serbian Krajina and the Republika Srpska, and sought to establish them as independent Serbian republics, with potential eventual reintegration with FR Yugoslvia. However, the Government of FR Yugoslavia would treat these republics as separate entities, and gave unofficial, rather than active, aid by transferring control of units from the JNA to the secessionist movements. In this way, FR Yugoslavia avoided potential accusations of committing acts of aggression against the breakaway republics recognised by the international community. Slobodan Milošević, the President of Serbia, did not consider himself to be at war with the breakaway