Italy agrees to pay Libya $5 billion as compensation for 30-year occupation

      Italy agreed to pay Libya $5 billion as compensation for its 30-year occupation of the country during the 20th century, the Libyan foreign minister told reporters Saturday. Abdel-Rahman Shalgam said that visiting Italian Prime Minister Silvio Berlusconi is set to sign a memorandum pledging a $5 billion compensation package involving construction projects, student grants, and pensions for Libyan soldiers who served with the Italians during the Second World War. "It is a material and emotional recognition of the mistakes that our country has done to yours during the colonial era," Berlusconi told reporters at the airport on his arrival. "This agreement opens the path to further cooperation." In return, Italy wants Libya to crack down on illegal migrants turning up on Italian shores and will fund US$500 million worth of electronic monitoring devices on the Libyan coastline. (09,54)