China welcomes the Ethiopian government's recent peace proposal on resolving the border dispute with Eritrea, Chinese Foreign Ministry spokesperson Zhang Qiyue said Tuesday.

Zhang told the regular press conference that China has always paid much attention to the peace process in Ethiopia and Eritrea and supported the two countries in holding consultation and dialogue on the basis of Algiers Agreements.

China backs settling the border dispute by peaceful means, Zhang said.

Zhang also said that China sincerely hoped the two countries could "make joint efforts, dispel differences as early as possible and restore neighborly amity".

Zhang also called on the two countries to make contributions to realize lasting peace between the two countries, and promote the stability and development in the region of the Horn of Africa as a whole.

"Together with the international community, China will, as always, make active endeavors." Zhang said.

Ethiopia and Eritrea fought a border war between May 1998 and December 2000. As part of a 2000 agreement to end the war, the two countries agreed to set up an independent boundary commission. Ethiopia has suspended its cooperation with the boundary commission over the last two years.

The Ethiopian government said on Nov. 25 that it has decided to resume its cooperation with the boundary commission by accepting the commission's decision on its border with Eritrea "in principle".