Gaddafi warns Italy over its colonial past

Libyan leader Muammar Gaddafi has said Italy could lose trade and business in Libya unless Rome accounted for thousands of Libyans missing during the colonial era and make good on what he said were pledges of compensation.

His speech, broadcast on Libyan television on Wednesday, was made the previous night on the 35th anniversary of the final expulsion of Italians who settled there during the colonial era.

Libya says the expulsions after Gaddafi took power marked the end of the remnants of colonial rule.

Libyan officials said Tripoli and Rome agreed in the 1990s that Italy would apologise for colonising the North African country in 1911 and pay compensation for its colonial policies, including the deportation of thousands of Libyans to Italy.

Gaddafi praised Italy for apologising for its colonial past and its support for the lifting of UN sanctions imposed after the 1988 bombing of a Pan Am jet over Lockerbie, Scotland.

But he added that Libyans would not forget or forgive Italy for the deportations and the killing and disabling of thousands of other Libyans by mines planted by Italian troops.

"The financial and practical parts of the accord have not been implemented by Italy. If Italy does not carry out what we agreed, this will lead to loss in relations between Libya and Italy and to Italian firms," he said.

Gaddafi said Italy had promised to build hospitals, clear mines and train and educate young Libyans as a way to compensate for its colonial policy.

"Italy has yet to implement that, and if that continues, economic relations between Libya and Italy will suffer a great deal," Gaddafi told a women's rally at Misrata, 200 km kilometres east of Tripoli.

He did not specify the firms or give more details. Italy is Libya's main trade partner and Italian oil and gas companies have a strong presence in the oil-rich country.