The leaders of Ethiopia and Eritrea have signed a declaration saying that the state of war between the two countries is over.
A peace deal ending the 1998-2000 border conflict has never been fully implemented and there has been tension between the neighbours ever since.
The countries have also agreed to re-establish trade and diplomatic ties.
Family members divided by the dispute are now able to telephone each other for the first time since the war.
Ethiopian journalist Shishay Wores was contacted by one of his brothers in Eritrea.
"For a moment my heart stopped beating, my voice was shaking and I was struggling for words. It took me a while to calm down and talk to my brother."
The declaration came at a landmark meeting between the two countries' leaders in Eritrea's capital, Asmara.