ASMARA - The United States has intensified its criticism of Eritrea, saying the Red Sea state systematically abuses human rights and is a destabilising influence in the Horn of Africa.

In its annual human rights country report, released late on Thursday, the U.S. State Department accused Eritrea of sponsoring terrorism in the Horn of Africa, and acting as a source and conduit for arms to insurgents in Somalia.

It said Asmara oversaw unlawful killings by its security forces, routine beatings and torture, arbitrary arrests, and severely restricted freedom of speech, the press, assembly, association and religion.

Citing a June report by the U.N. Munitions Monitoring Group, it said the Red Sea state was guilty of sponsoring terrorism in the Horn of Africa.

The State Department report went on: "The government acted as a principal source and conduit for arms to antigovernment, extremist, and insurgent groups in Somalia."

Asmara says there is no concrete evidence for the allegations, accusing Washington of inventing statistics and interfering in the region, and blames years of intrusive U.S. foreign policy as a cause of the conflict in Somalia.