Aid block threat for Ivory Coast

The rebel-held north is largely Muslim

The European Union says it will not resume aid to Ivory Coast until the power-sharing government resumes work.

EU Commission President Romani Prodi said that $469m had been earmarked for Ivory Coast, which has been divided into two for the past year.

The rebels, who pulled out of the new administration in September, have urged the international community to persuade President Laurent Gbagbo to step down.

Ivory Coast was West Africa's richest country until the conflict started.

"We are ready, the money is on the table, but we are waiting for the country to make progress," Mr Prodi said on a visit to the main city Abidjan, where he met both government and rebel representatives.

Split fears

On Wednesday, the rebels appealed for donor funds and investment for the mainly Muslim north, under their control.

This sparked new fears that the power-sharing government may be beyond rescue and the country may split.

A power-sharing government was agreed at French-brokered talks in January but the rebels withdrew, accusing Mr Gbagbo of not allocating them the ministerial seats they had agreed.

Mr Gbagbo has warned that any secession moves could trigger a return to civil war.

A summit of West African leaders in Ghana, aimed at reviving the Ivorian peace process, ended on Tuesday with a call for the current military mission from the West African regional body, Ecowas, in Ivory Coast to be converted into a larger UN peacekeeping force.

The fragile peace is enforced by the some 4,000 French and Ecowas troops, overseeing the ceasefire line.

On Thursday, the UN Security Council urged both sides to lay down their weapons and also extended the mandate of 34 UN military observers until February.

Another 42 officers are expected shortly.