This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/world/europe/7589557.stm

The article has changed 3 times. There is an RSS feed of changes available.

Version 0 Version 1
Italy to seal Libya colonial deal Italy seals Libya colonial deal
(about 6 hours later)
Italy is to provide billions of dollars to Libya as part of a deal to resolve colonial-era disputes, Italian PM Silvio Berlusconi has announced. Italian Prime Minister Silvio Berlusconi has signed an agreement to pay Libya $5bn as part of a deal to resolve colonial-era disputes.
At least $5bn will go to help Libyan infrastructure projects over the next 25 years. Libyan leader Col Muammar Gaddafi said the settlement signed in the city of Benghazi opened the door to partnership between the two states.
Mr Berlusconi is in the port of Benghazi to meet Libyan leader Col Muammar Gaddafi and seal a bilateral friendship and cooperation accord. Mr Berlusconi said the deal, which sees the money being released over 25 years, ended "40 years of misunderstanding".
Libya was occupied by Italy in 1911 before becoming a colony in the 1930s.Libya was occupied by Italy in 1911 before becoming a colony in the 1930s.
It became independent in 1951. The former Ottoman territory became an independent country in 1951.
Motorway This is the first African country to be compensated by a former colonial master, the BBC's Rana Jawad reports from Benghazi.
Mr Berlusconi said: "The accord will provide for $200m a year over the next 25 years through investments in infrastructure projects in Libya." The question is, she adds: will this latest move set precedents for other former African countries to follow suit?
The main project will be a coastal motorway between the Egyptian and Tunisian borders. Coastal motorway
Mr Berlusconi explained that $200m would be paid annually over the next 25 years through investments in infrastructure projects, the main one being a coastal motorway between the Egyptian and Tunisian borders.
The headless statue was displayed when the two leaders met
There will also be a colonial-era mine clearing project.There will also be a colonial-era mine clearing project.
The Italian leader had earlier said he wanted the agreement to "turn the page on the past". As a goodwill gesture, Italy also returned an ancient statue of Venus, the headless "Venus of Cyrene", which had been taken to Rome in colonial times.
The settlement was a "complete and moral acknowledgement of the damage inflicted on Libya by Italy during the colonial era", the Italian prime minister said.
"In this historic document, Italy apologises for its killing, destruction and repression against Libyans during the colonial rule," Col Gaddafi said for his part.
The agreement was signed in the Benghazi palace which once housed the Italian colonial administration, Reuters news agency reports.
Rome and Tripoli have spent years arguing over compensation for the colonial period.Rome and Tripoli have spent years arguing over compensation for the colonial period.
Libya has accused Italy of killing thousands of its citizens and expelling thousands more from their homes in three decades of occupation. Mr Berlusconi's one-day trip was his second since June when illegal immigration from Africa to Europe was the key issue of talks.
Mr Berlusconi's trip is his second since June when illegal immigration from Africa to Europe was the key issue of talks.
Italy has been swamped by thousands of African migrants trying to reach its shores by boat.Italy has been swamped by thousands of African migrants trying to reach its shores by boat.
Libya has come in from the diplomatic cold since 2003 when it abandoned efforts to acquire weapons of mass destruction.Libya has come in from the diplomatic cold since 2003 when it abandoned efforts to acquire weapons of mass destruction.
Next week, US Secretary of State Condoleezza Rice is scheduled to make the first high-ranking American visit to Libya since 1953.Next week, US Secretary of State Condoleezza Rice is scheduled to make the first high-ranking American visit to Libya since 1953.