The Ethiopian government has said it will defend itself from "terrorist" acts sponsored by Eritrea following a deadly attack this week on western tourists which Addis Ababa said was carried out by armed groups sponsored by its arch-rival.
In a statement Thursday, Ethiopia said it would invoke its right to self-defence as the already-strained relations between the two neighbours threatened to deteriorate even further.
Asmara denies the allegation and said it had put its troops at their border on high alert following the accusation. Diplomats also reported heightened army activity on the Ethiopian side.
Ethiopia said it would respond to perceived Eritrean aggression if the international community did not do so.
"The Ethiopian Government's tolerance towards a regime that openly supports terrorist activity is inevitably wearing thinner by the day. Ethiopia cannot and should not sit idly by while the regime in Asmara continues to sponsor acts of terror within Ethiopia's territory with impunity," read the statement by the Ministry of Foreign Affairs
The statement claimed the Monday attack in the northern desert region of Afar that saw five western tourists killed and four others abducted was planned to coincide with the African Union's heads of state and government summit set for next weekend in the Ethiopian capital. (Read: Five foreign tourists killed in Ethiopia)
Denied claims
But Asmara strongly denied the accusations and said Ethiopia was on a smear campaign against it and was looking to divert attention from a border dispute.
Eritrea's ambassador to the African Union, Mr Girma Asmerom, told this reporter that the allegation is an "absolute lie and an Ethiopian fabrication".
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