Spain and Morocco are set to hold high-level reconciliation talks on patching up relations after being persuaded by the US to step back from a dispute over the uninhabited islet of Perejil.
Newly appointed Spanish Foreign Minister Ana Palacio is due to meet her Moroccan counterpart Mohamed Benaissa today in a symbolic encounter in the Moroccan capital Rabat during which both sides will try to draw a line under a period of bitter mistrust and begin to address common areas of concern.
Spain completed on Saturday night the withdrawal of its troops from Perejil, the island just 6km from Spain's North African enclave of Ceuta, shortly after a US-brokered deal between Spain and Morocco.
Morocco claims sovereignty over the tiny rock islet it calls Leila -- and 10 days ago sent troops there, only to be ousted without a shot being fired by Spanish troops.
US Secretary of State Colin Powell, who pushed for a swift end to the row between the two US allies in an intense series of telephone negotiations, said the deal could be the starting point for better relations between the Mediterranean neighbors.
Although their proximity and trade ties mean they are key partners, the dispute is the latest in a long series between Spain and Morocco who have squabbled over immigration, fishing rights, oil exploration and the future of Western Sahara.
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