US/LIBYA: The US restored full diplomatic ties with Libya yesterday, rewarding the pariah nation for scrapping its weapons of mass destruction programmes and signalling incentives for Iran and North Korea if they do the same.
Culminating a years-long rapprochement with Libya, the US will reopen an embassy and remove the country from a list of state sponsors of terrorism within 45 days.
US-Libya relations turned around after Tripoli decided in December 2003 to give up its weapons programme. Since then, the two nations had repeatedly said they would work to restore ties as Libya followed through on its pledge. "Just as 2003 marked a turning point for the Libyan people, so too could 2006 mark turning points for the peoples of Iran and North Korea," secretary of state Condoleezza Rice said.
Libya, which is led by Col Muammar Gadafy, badly needs foreign investment in its energy industry. It welcomed the move, with its foreign ministry calling it a "significant step" towards improving bilateral co-operation.
Ali Aujali, the Libyan liaison office chief in Washington, said the decision would benefit US oil companies. "Now I think they can compete with the other companies and they can go ahead with their job in Libya," he said.
As ties warmed, US companies such as Marathon Oil, Conoco-Phillips and Amerada Hess last year agreed to terms letting them resume oil and gas production in Libya after a 19-year absence.
Libya handed over two suspects in the 1988 bombing of Pan Am Flight 103 over Lockerbie, Scotland, accepted responsibility for the bombing, and agreed to pay about $2.7 billion (€2.1 billion) to families of victims.
The UN Security Council voted unanimously in 2003 to lift sanctions imposed on Libya in 1992. As an interim step in improving ties, the US in 2004 ended a broad trade embargo placed on Libya in 1986.
The US embassy in Libya was set on fire by a mob in 1979. After declaring Libya a "state sponsor of terrorism" - a designation which triggers sanctions - the US closed its embassy there in 1980.
Tom Lantos, a leading Democrat on US foreign policy, praised yesterday's decision as signalling an incentive to Iran. "Libya has thoroughly altered its behaviour. In taking these actions, the United States dramatically demonstrates to the remaining rogue states - and particularly to Iran - that our country takes note of positive changes in behaviour and is more than willing to reciprocate."
But some relatives of those killed in the Pan Am bombing complained that they had not been told in advance. US assistant secretary of state David Welch said he understood their anger but Libya had fulfilled its obligations. "Libya is out of the terrorism business."