(Adds Security Council statement, British and Rwandan envoys) By Louis Charbonneau UNITED NATIONS, Oct 29 (Reuters) - Escalating violence in eastern Democratic Republic of Congo is creating a humanitarian catastrophe and could have tragic consequences for the entire region, U.N. Secretary-General Ban Ki-moon said on Wednesday. Rebels loyal to renegade General Laurent Nkunda advanced on the eastern city of Goma, scattering residents and threatening to overwhelm a 17,000-strong U.N. force, known as MONUC, trying to halt a return to all-out war. Thousands of civilians and hundreds of Congolese government soldiers poured into Goma. In a statement read by U.N. spokeswoman Marie Okabe, Ban said "the intensification and expansion of the conflict is creating a humanitarian crisis of catastrophic dimensions and threatens dire consequences on a regional scale." She said Ban urged "all parties to immediately cease hostilities and to respect international humanitarian law." "He deplores the use of civilians as human shields and their deliberate targeting by belligerents," Okabe said. Shortly after Ban's statement, a spokesman for Nkunda loyalists said the CNDP rebels had declared a ceasefire. The U.N. Security Council discussed the issue for the second day in a row and unanimously adopted a non-binding statement that "condemns the recent CNDP offensive ... and demands that it bring its operations to an end." The Security Council statement also called on the governments of Congo and neighboring Rwanda "to take concrete steps to defuse tensions and to restore stability in the region." It also welcomed Nkunda's ceasefire and urged him to rejoin the peace process. RWANDAN DENIAL Several council diplomats told Reuters that Rwanda was clearly providing support to Nkunda's CNDP but Rwanda's U.N. Ambassador Joseph Nsengimana denied the allegation. "It is not true," he told Reuters. "There is no proof." The council took no action on a request from MONUC chief Alan Doss for a temporary increase in his force by roughly 2,000 personnel -- two battalions of soldiers, two companies of special forces and one police unit. The statement said the council "duly notes" the request. British Ambassador John Sawers told reporters the request for additional troops would be discussed in the coming weeks, above all by the European Union. In the short term, he said MONUC would be redeploying peacekeepers to reinforce the roughly 800 MONUC troops now in Goma. In an attempt to mediate the crisis on Congo's border with Rwanda, Okabe said Ban was dispatching two envoys to meet the governments -- deputy U.N. peacekeeping chief Edmond Mulet to Congo and U.N. special envoy to Zimbabwe Haile Menkerios to Rwanda. Ban's decision to send Menkerios to Kigali reflects a growing concern among U.N. officials that Rwanda may be providing support to Nkunda, as Congo has alleged for weeks. Okabe said both sides in the fighting were preventing U.N. peacekeepers from evacuating civilians. Among those needing evacuation were "humanitarian workers, including a double amputee nun who has been injured in the fighting," she said. "I cannot emphasize how desperate the situation on the ground is right now," she said. The U.N. refugee agency UNHCR said up to 45,000 uprooted people had left camps for the displaced and headed to Goma on Wednesday. The agency also said more than 1,000 villagers fled to neighboring Uganda, with many more expected to follow. (Additional reporting by Laura MacInnis in Geneva; editing by John O'Callaghan)
U.N. peacekeepers from Uruguay prepare to trek to higher ground as Congolese children look on near Kibati, 12 km (7 miles) north of the provincial capital of Goma, October 29, 2008. ...