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Page last updated at 11:37 GMT, Wednesday, 17 June 2009 12:37 UK

Peru moves to ease Amazon crisis

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The Peruvian Prime Minister Yehude Simon says he intends to resign after backing down in a violent dispute with Amazonian Indians over commercial exploitation of the forest.

The government has agreed to support the repeal of laws which open up the Amazon to foreign energy and mining companies.

Indian groups have blockaded roads and staged weeks of strikes to protest against what they call a violation of their ancestral lands.

The BBC's Richard Forrest reports.

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