The US yesterday announced at least $1 billion in aid to help US ally Georgia rebuild after its conflict with Russia over the separatist enclave of South Ossetia last month.

Secretary of State Condoleezza Rice unveiled the package to help reconstruct Georgia's economy and infrastructure that was destroyed by the Russian military as it crushed Georgia's attempt to reassert control over South Ossetia.

She said the funds were a significant contribution to Washington's long-term commitment to Georgia, which would "survive, rebuild and thrive". The package included no military aide, Rice said, adding it was not yet time to look at military assistance to Georgia.

She said the first tranche of $570 million would be delivered by the end of 2008 and the rest by a new US administration that takes over in January 2009. "We are also confident that the United States will keep a commitment that has strong bipartisan support for a second phase of support, an additional $430 million," said Ms Rice.

Ms Rice also took aim at Russia and said it was not achieving its objectives through its actions in Georgia and that Georgian democracy was "thriving".

It was not immediately clear whether any of the package would require congressional approval. But aid to rebuild Georgia enjoys broad bipartisan support already on Capitol Hill.

Meanwhile, a prominent journalist in Dagestan in Russia's North Caucasus died yesterday from wounds received in an attack overnight, regional police said. Police said Abdulla Alishayev was attacked by unidentified assailants on Tuesday evening. He is the second Russian journalist to die since Sunday in Russia's turbulent southern region.