Ethiopia’s parliament voted overwhelmingly in favour of government plan to accept “in principle” disputed boundary commission ruling on Badme town 25 November; significant reversal of position held since September 2003. Parliament nevertheless called commission decision “illegal and unjust”. Remains to be seen whether move represents genuine step forward or aimed at pressuring Eritrea. Earlier Head of UN Mission in Ethiopia and Eritrea (UNMEE), Joseph Legwaila, repeated assurance UNMEE would stay until border demarcation complete (but would let sides demarcate border themselves).

Tensions with Ethiopia remained over unresolved issue of Badme; new Ethiopian settlements in Badme reported. Eritrea’s relations with Sudan deteriorated with 19 October claim of Sudanese plot to assassinate President Isaias; Sudan denied report and claimed Eritrea backs insurgency in eastern Sudan. Eritrea later claimed to have captured terror network.

Progress report of UN Secretary General suggested Ethiopia-Eritrea war still possible. While UN mission (UNMEE) commander Major-General Singh expressed optimism for eventual solution, Eritrean government re- imposed restrictions on important UNMEE supply route. UN Security Council renewed UNMEE mandate to 15 March 2005. U.S. military chiefs met with Eritrean President Isaias 9 September to brief him on Horn of Africa anti-terrorism efforts. UN Special Envoy Lloyd Axworthy held talks with Ethiopian PM 28 September.

Eritrea re-opened key supply road to UN peacekeepers (UNMEE) 10 August, prompting hopes of UNMEE/Eritrea thaw. Ethiopia dropped objections to direct Addis Ababa-Asmara UNMEE flights 20 August. Neither side moved from position on status of disputed village of Badme. UNMEE mandate expires 15 September.

UN Special Representative Joseph Legwaila warned UN could not police 2-year border dispute indefinitely. Ethiopian PM Miles Zedawi stated willingness to negotiate; Eritrea said matter had already been resolved by 2003 ruling. Indian General Singh replaced British General Gordon as commander of UN military force. Fifty militia killed on Sudan-Ethiopia border 29 July; Ethiopia said men trained by Eritrea.

Eritrean presidential spokesman Yemane Gebremeskel said 18 June government envoy would hold talks with UN envoy Lloyd Axworthy on UN efforts to resolve border dispute with Ethiopia. Eritrea had initially characterised Axworthy’s appointment 6 months ago as bid to appease Ethiopia and refused him access.

Eritrea blamed Ethiopia and Sudan for bombing 25 May in Barentu, Eritrea, killing 5 civilians. In response to vigorous Eritrean-government criticism Major- General Robert Gordon, head of UN peacekeeping mission (UNMEE), expressed “genuine concern” 12 May for viability of UN mission given lack of progress on demarcation of 620-mile border, negotiation on status of disputed town of Badme and “deterioration” of local relationships. Eritrean President Afwerki dismissed need for UN special envoy, claiming Eritrean position binding and non-negotiable. Tensions remain high along temporary security zone, with Eritrean and U.S. claims of incursion by Ethiopian militia forces.

No progress in dispute over demarcation of border, with Eritrea continuing to refuse to meet UN special envoy Lloyd Axworthy.

No progress in demarcation of disputed border. UN Security Council extended mandate of UN mission (UNMEE) further 6 months and called on Eritrea to engage constructively with UN special envoy Lloyd Axworthy. Eritrea rejected call. UN Secretary General, Kofi Annan, warned 8 March border stalemate becoming dangerous.

UN Special Envoy Lloyd Axworthy met Ethiopian Prime Minister Meles Zenawi in Addis Ababa 20 February to discuss boundary dispute. Eritrea criticised appointment of special envoy as vehicle to reopen April 2002 ruling of Independent Boundary Commission – a ruling rejected by Ethiopia – and declined to meet him.