S.Lanka rebels say will release prisoners in swap
(Reuters)
Updated: 2006-02-17 19:59

Sri Lanka and the Tamil Tigers agreed to a prisoner swap on Friday, as a rebel delegation left for next week's crunch talks in Switzerland which are seen as a last chance to avert a return to civil war.

The Liberation Tigers of Tamil Eelam (LTTE) said they would release a policemen they detained in September after the government released four rebels on bail and would release another one as long as four other Tigers were also freed.

The policemen had strayed into rebel-held territory in September as they tried to catch a suspected British paedophile.

A third policeman was released in January after both sides agreed to hold last ditch talks to funds ways to preserve a 2002 truce.

"We are going to release one tomorrow or the day after," rebel media coordinator Daya Master said from the northern Tiger stronghold of Kilinochchi as a rebel delegation took off for Switzerland for talks on February 22-23.

"There are four more of our people in custody. When they release them, we will release the other one also."

The government earlier on Friday released on bail four rebels jailed in the eastern district of Trincomalee who the Tigers had wanted released in the prisoner swap deal, but there was no word on the other four.

The prisoner swap comes days ahead of talks analysts say could determine whether Sri Lanka is headed for peace or for a return to a two-decade civil war that killed more than 64,000 people up until a 2002 ceasefire.

Many businesses are holding back investments until they see the outcome of the talks before betting on the $20 billion economy, and the stock market has seen volatile trade in recent days.