By Damian Zane BBC, Addis Ababa

In Ethiopia, new information has come to light that foreign companies could be demanding hundreds of millions of dollars in restitution claimed from the Ethiopian Government.

Last week it was revealed that the food multinational Nestle wanted $6m for assets that were nationalised by the then Marxist regime in 1975.

Given the famine that the country is facing, that news sparked a wave of protest in Europe, and Nestle has softened its stance.

But now it seems that Ethiopia is facing a far bigger claim.

Stalled negotiations

Nestle's demand is dwarfed by that of a UK-based conglomerate, the Besse Group, which is asking for more than $20m.

Many other companies are also involved.

The Ethiopian Government has been negotiating over the claim ever since the assets were nationalised, and 18 months ago the World Bank stepped in to help.

But it appears that negotiations have stalled for the time being, with the government saying that it is only prepared to offer a small fraction of the total demand.

Meles Zenawi says the famine is a 'ghastly' nightmare

Ethiopia's Information Minister, Bereket Simon, says his government wants to solve the problem and hopes that it can reach a reasonable understanding with the foreign companies, but he was not specific on what he meant by "reasonable".

The British aid agency, Oxfam, highlighted Nestle's demand last week.

It said given that millions of Ethiopians are facing famine, the country can ill-afford to settle the restitution claim.

Though Ethiopia holds the moral high ground in this case, the long-term effects of the restitution row may not be entirely positive.

The country is anxious to attract foreign investment and the controversy may leave a bad impression in the minds of potential investors.