20110112
reuters

ABIDJAN (Reuters) - Clashes in Ivory Coast killed at least five people on Tuesday in the most serious outburst of violence between backers of presidential claimant Alassane Ouattara and forces loyal to incumbent Laurent Gbagbo for weeks.

The world's biggest cocoa grower has been in turmoil since a November presidential election that both men claim to have won. Ouattara has been recognised by world leaders but Gbagbo retains the military and the standoff risks rekindling a 2002-3 war.

Gbagbo's office has sought to allay investor concerns, promising on Tuesday to make good on delayed interest payments on its $2.3 billion bond.

But a top aid fund, the Global Fund to fight AIDS, Tuberculosis and Malaria, said separately that it was freezing disbursements of grants to Ivory Coast and taking measures to safeguard its stocks and funds due to the instability.

Meanwhile, Ouattara's envoy to the United Nations said he would soon control revenues from customs duties on cocoa exports and regional forces were ready to oust Gbagbo militarily.

Witnesses said street clashes broke out early on Tuesday and continued for hours -- marking some of the worst violence in the main city since mid-December.

A Reuters reporter saw the bodies of two protesters and three policemen lying in the street with gunshot wounds in the predominantly pro-Ouattara neighbourhood of Abobo. A trader said he saw four protesters and three policemen had been killed.

Hundreds of police and military patrolled the area with armoured vehicles and automatic weapons.