Two rebel groups that seized control of the northern half of Mali have agreed to work together to create an independent Islamic state on the territory they occupy.

Gunfire echoed across Bamako today as Malian government troops battled each other, with one side trying to oust soldiers who seized power in a coup over a month ago.

More than 15,000 people including Malian military personnel have fled into neighbouring countries since members of the nomadic Tuareg ethnic group launched a new rebellion against the Malian government last month, aid officials say.

Fourteen European tourists arrived in Germany today, ending a six month ordeal in the Sahara as hostages of a group linked to al-Qaida.