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Ethiopia's government has declared a ceasefire in its war-torn Tigray region, as rebel fighters claimed control of the regional capital Mekelle.

Residents reported scenes of jubilation with thousands of people in the streets waving flags. The Ethiopian government has not confirmed the loss of the city, nearly eight months after its forces ousted the Tigrayan rebels.

The conflict has left more than five million people in urgent need of food aid, according to the United Nations, with 350,000 facing famine.

While federal troops appear to have withdrawn from the region, fighting is reported to be continuing between Tigrayan forces and Eritrean troops and Amharan militias in the west.

Fesseha A Tessema, who is a Tigrayan himself, is a former Ethiopian Ambassador to Germany who is now advising the TPLF.

"People are trying to get to each other. There is a lot of heartbreak - this is the first time they will know who is killed because there was no possibility to go from town to town or village to village. So this is a time to mourn, and we'll have to wait and see what happens."

(Photo: Ethiopian troops patrol the streets of Mekelle before the army's withdrawal. Credit: Getty Images)

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