The United States supports Sri Lanka's search for peace, Deputy Secretary of State Richard Armitage said on Monday.

Armitage who met Prime Minister Ranil Wickremesinghe at the Ritz Carlton Hotel, later told journalists that he discussed with Prime Minister Wickremesinghe, Sri Lanka's economic and political situation and proposals put forward by the LTTE on October 31.

"We want Sri Lanka to be a full and complete partner in the economy not only of South Asia but of the globe. We see no reason why Sri Lanka cannot be an engine of growth in South Asia. I look forward to that day," he said.

Armitage said that violence and struggle in any place can spread to other places. "But the overwhelming interest we have is the development of Sri Lanka," Armitage said.

Asked how the LTTE proposals will advance the situation in Sri Lanka and what the United States could do to carry the peace process forward, Armitage said the LTTE proposals unveiled last week were the first he had seen with a "comprehensive delineation of the aspiration of the LTTE".

"In that regard I think it's significant. I think it goes beyond what was discussed in Oslo and Tokyo where we talked about democratic society federation, respect for human rights and territorial integrity. These comprehensive proposals may form the best for a way forward," he said. "We need to come back to the boundaries envisaged at Oslo."

"We are not immune to human suffering. This is one of the reasons that even with the LTTE boycotting the Tokyo meeting, the United States was keen to support the Japanese government and the Sri Lankan government," Armitage said.

"The international community and financial institutions promised aid at the Tokyo meeting. When the peace negotiations begin, all Sri Lankans will benefit," he said.

Asked about India's role, Armitage said India has to make her own decision about what role to play.

Armitage said for removing the LTTE from the list of foreign terrorists organisations, it must in "word and deed eschew the use of terrorism, (and) violence against innocent people as a political weapon."

When Assistant Secretary of State Christina Rocca testified at the American Congress, she expressed concern that the conscription of children was still going on.

Asked about arms smuggling by the LTTE, he said: "We are quite concerned that there are reports of arms smuggling. We want to throttle arms smuggling and continue to find ways to do that. It will be done by exchanging information with the government of Sri Lanka and working with like-minded countries to stop the illegal transfer of weapons across national boundaries."

Armitage said the United States is solidly behind the peace accord.

"The conflict has affected the region for 20 years. For the United States, we see a real possibility that President Chandrika Bandaranaike Kumaratunga who began the search for peace and Prime Minister Ranil Wickremesinghe who continues to search for peace, may actually be able to develop and bring about a peace accord," he said.

"The LTTE was perhaps tired of the conflict and violence associated with it, is going to give negotiations a chance. If there is a possibility of alleviating something which has made 20 million people in one way or another suffer for 20 years, then we ought to be involved.

We are proud to be involved with the efforts of the Norwegian facilitators," Armitage said. Ministers Milinda Moragoda and Tyronne Fernando were also present when Armitage met Prime Minister Wickremesinghe.