Nairobi — The Inter-Governmental Authority on Development (Igad) may not send peacekeeping troops to Somalia after all.

Kenya's Regional Cooperation minister John Koech said Somalis are pursuing a home-grown solution to their internal conflict. He said sending in Igad troops at this stage was not reasonable.

Koech, who also sits in the Igad Council of Ministers, said the decision arrived at by the group in April was put on hold until the Somalis put their house in order.

"They have assured the region and the world at large that they want to disarm various militia groups. They have also shown interest in national reconciliation. It is important they be given a chance and time to complete the exercise before the international community can come in," Koech said in Nairobi.

Somalia's Prime Minister Ali Mohamed Gedi claimed there are no factions within his government. "Somali leaders are only having different views on matters of common interest," he claimed.

His Foreign Affairs minister Abdillahi Ismail said the signing of the document was a vote of confidence in the Somali government by Kenya.

The leaders were speaking at the Ministry of Foreign Affairs when Kenya and Somalia signed an agreement on technical and economic co-operation.

Kenya's Foreign minister Chirau Mwakwere said the cooperation would mark the start of constructive relations in education, health, finance and security sectors.

"This agreement will see the rebirth of our development cooperation that was halted 14 years ago due to the collapse of the Somalia State," said Mwakwere.

"We would like to assist your country more to realise your objective of a stable and prosperous Somalia," he said.

He said the framework to coordinate donor response to Somalia falls within the "Declaration of Principles" that outlines the political and diplomatic conditions for cooperation.

Kenya thanked the African Union (AU), Igad and United Nations (UN) for the role they played in backing the Somalia peace process.

Somalia has had no functioning central government since 1991 after the overthrow of Siad Barre.

Kenya hosted a two-year-long Somalia peace process that culminated in last October's election of President Abdullahui Yusuf who is the head of a transitional government of national unity that incorporates warlords whose militia control the capital Mogadishu.