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by Ranga Jayasuriya.

The People's Alliance and the Janatha Vimukthi Peramuna are moving closer to an alliance, PA and JVP sources told the Daily News after yesterday's talks between the two parties.

The PA delegation comprising General Secretary D. M. Jayaratne, SLFP General Secretary Maithripala Sirisena, Sarath Amunugama and Nimal Siripala de Silva yesterday held talks with the JVP on the " proposals for the rebuilding of the Nation" presented by the JVP.

The proposals focus on a solution to the ethnic conflict and economy.

President Chandrika Bandaranaike Kumaratunga who was expected to lead the PA delegation had not taken part in the talks held at the President's House due to "certain official obligations," PA sources said. JVP General Secretary Tylvin Silva, Propaganda secretary Wimal Weerawansa and Anura Dissanayake comprised the JVP delegation.

A PA representative at the talks said discussions were "extremely fruitful" expressing optimism that "a final deal on the alliance could be sealed very soon".

A JVP spokesman said both parties had understood the necessity to reach a consensus on the major national issues as soon as possible, and hoped to strike the final agreement very soon.

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