NAIROBI , July 28, 2006 - Ethiopia accused its neighbor and foe Eritrea on Friday of "actively supporting" al Qaeda, in its strongest attack yet on Asmara over the escalating crisis in neighboring Somalia .

Diplomats believe Ethiopia and Eritrea -- who went to war in 1998-2000 and still wrangle over their border -- are using the standoff between Somalia's interim government and newly powerful Islamists as a proxy conflict for their own feud.

Addis Ababa has sent troops into Somalia to protect the government, according to witnesses, while Asmara is believed by regional diplomats to be arming the Islamists who took Mogadishu and other southern towns from U.S.-backed warlords last month.

Addis Ababa regards the Islamists as terrorists linked to both al Qaeda and the Somali radical group al-Itihaad al-Islaami, which was all but obliterated by Ethiopian forces in the 1990s.

"The Eritrean government is actively supporting the al-Itihaad and al Qaeda extremist leaders who oppose the widely accepted and recognized transitional government," an Ethiopian Ministry of Information statement said.

"If there is anyone who is reluctant to support peace and stability in Somalia, it is only the Eritrean government that is trying to disturb the region by allying itself with extremist elements," the statement added.

Addis Ababa denies its troops are in Somalia, while Asmara denies funneling military aid to the Islamists.

Source: Reuters