Japan 'reviews' aid to Sri Lanka

http://news.bbc.co.uk/go/rss/-/1/hi/world/south_asia/7189002.stm

Version 0 of 1.

The Japanese peace envoy to Sri Lanka, Yasushi Akashi, has said that the breakdown of the ceasefire may make it necessary to review Tokyo's aid.

Mr Akashi said he was worried that the end of the ceasefire may lead to more violence and more civilian casualties.

He arrived in Sri Lanka over the weekend and met President Rajapaksa.

Japan is Sri Lanka's largest foreign donor, giving about $9bn in grants, loans and aid since 1985, including around $400m in 2007.

'Continuous review'

"The termination of the ceasefire agreement may prompt the pursuit of a military solution of the conflict, with dire humanitarian consequences," Mr Akashi said.

"A devolution package on which the government of Sri Lanka had been exerting considerable efforts must be drafted as soon as possible and be offered to the relevant parties, including the Tamil Tigers."

The Japanese envoy - who has visited Sri Lanka 15 times in an effort to end the conflict - said that his government was "gravely concerned" over Colombo's decision formally to scrap the six-year ceasefire with the rebels.

He was speaking at the end of a two-day visit marked by fierce fighting in the north.

Mr Akashi said that the future of Japanese aid would be taken "on the basis of very close monitoring and observation of the situation" which he said would be the subject of "continuous review".

"What the government does, does not do, will be important considerations," he said.

All-out war

Japan has so far not pledged any aid for this year, but it has also not halted any existing aid.

The government will formally annul the ceasefire on Wednesday, a move which has concerned the international community because of the possibility of a return to all-out war and the breakdown of peace talks.

The rebels are accused of using the truce to regroup

President Rajapaksa's government argues the rebels used the peace pact as a means to regroup and rearm. It has accused them of not being sincere about talking peace.

The government now says that it is intent on defeating the rebels militarily, while at the same time promising to finalise a long-delayed political devolution proposal within weeks.

The military says it has killed about 250 insurgents since the announcement a fortnight ago that it was formally scrapping the pact.

Both sides are accused of exaggerating the casualties they inflict in the fighting.

In the latest fighting, the army on Tuesday said that government it had killed 22 rebels in the north.

Correspondents say that over 5,000 people have been killed since early 2006 in daily air raids, land and sea battles, ambushes and bombings.