Somalia president says his country will defend itself. Photo: Others

Somalia has sent back Ethiopian ambassador on Thursday, and closed two consulates in the semi autonomous region of Puntland and another in breakaway region of Somaliland due to rising tensions over a port deal, two Somali officials said.

Landlocked Ethiopia agreed a memorandum of understanding on Jan. 1 to lease 20 km (12 miles) of coastline in Somaliland - a territory that Somalia says it owns, even though the northern region has enjoyed effective autonomy since 1991.

Ethiopia said it wants to set up a naval base there and offered possible recognition of Somaliland in exchange - prompting a defiant response from Somalia and fears the deal could further destabilise the Horn of Africa.

In February, Somali President Hassan Sheikh Mohamud said his country would "defend itself" if Ethiopia goes ahead with the a deal.

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Reuters