WARRING factions have agreed on the installation of a federal system of government in South Sudan, mediators announced today.

The structure and functions of a transitional government of national unity have been “mostly agreed on,” said the regional body known as Igad, which is brokering ongoing talks in neighbouring Ethiopia.

Mediators said, however, that although both sides agreed “in principle” to set up a federal system, they have not agreed on when to introduce that government.