Libya-led 'African Unity' launched as step to envisaged continental federation

Sirte: Concluding marathon talks late into the night, African leaders have agreed to a Libyan-driven push to transform the African Union and in theory greatly extend its powers.

The change was materialised by morphing the African Union's executive body, the commission, into an "African Authority."

The draft document adopted at 4am Friday at the AU summit of heads of states in Sirte, Libya, showed that the new Authority would simplify the AU's structure and boost its power over defence, diplomatic and international trade matters.

The document, obtained by The Associated Press, was viewed as a milestone for the buildup to what Libyan leader Moammar Gadhafi has long envisioned as a federal government overseeing a "United States of Africa."