The Bolivian governor accused of masterminding the deaths of 15 supporters of the country's president has been arrested.

Leopoldo Fernandez, the governor of the easternmost Pando province, is being held on suspicion of ordering an attack upon a pro-Evo Morales demonstration that also wounded 37.

But Mr Morales, the country's first indigenous president, has agreed to hold talks with Mr Fernandez's fellow rebel governors in a bid to defuse the taut political situation afflicting Bolivia.

The pledge for discussions is dependent on anti-government protestors relinquishing control of civic buildings and gas pipeline installations, while supporters of the president must disband their own demonstrations.

Governors in Bolivia's east are in opposition to Mr Morales over his socialist land reforms, while they are also demanding a greater share of the country's natural gas wealth.

Bolivia's domestic problems have had an impact on the world stage, with La Paz and Washington expelling ambassadors in tit-for-tat moves.

On Wednesday the US also placed Bolivia on an anti-drug blacklist along with Venezuela and Burma, while Peace Corps volunteers were evacuated.
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