Rebels in the Democratic Republic of Congo on Saturday warned that negotiation can only take place if President Joseph Kabila steps down.

The M23 rebels have been waging a rebellion on Kabila's government since April. Government soldiers continue to battle with rebels around a strategic army garrison near a mountain gorilla reserve in East Congo.

Fighting around two villages in eastern Congo on Friday forced the army to retreat and displaced thousands of civilians. UN agencies said more than 260,000 civilians have been forced from their homes since the rebellion began three months ago.