Disputes - international:
Eritrea and Ethiopia agreed to abide by the 2002 Eritrea-Ethiopia Boundary Commission's (EEBC) delimitation decision, but despite international intervention, mutual animosities, accusations and armed posturing prevail, preventing demarcation; Ethiopia refuses to withdraw to the delimited boundary until technical errors made by the EEBC that ignored "human geography" are addressed, including the award of Badme, the focus of the 1998-2000 war; Eritrea insists that the EEBC decision be implemented immediately without modifications; Ethiopia has only an administrative line and no international border with the Oromo region of southern Somalia where it maintains alliances with local clans in opposition to the unrecognized Somali Interim Government in Mogadishu; "Somaliland" secessionists provide port facilities and trade ties to landlocked Ethiopia; the UNHCR expects most of the remaining 23,000 Somali refugees in Ethiopia to be repatriated in 2005; efforts to demarcate the porous boundary with Sudan have been delayed by civil war
Refugees and internally displaced persons:
refugees (country of origin): 93,032 (Sudan) 23,578 (Somalia)
IDPs: 132,000 (border war with Eritrea from 1998-2000 and ethnic clashes in Gambela; most IDPs are in Tigray and Gambela Provinces) (2004)
Illicit drugs:
Transit hub for heroin originating in Southwest and Southeast Asia and destined for Europe and North America as well as cocaine destined for markets in southern Africa; cultivates qat (khat) for local use and regional export, principally to Djibouti and Somalia (legal in all three countries); the lack of a well-developed financial system limits the country's utility as a money-laundering center
