Chief minister C V Wigneswaran led a large Tamil demonstration in Jaffna last week urging a federal solution by merging the north and eastern provinces.
"We will not grant a federal solution," Nimal Siripala de Silva, the Minister of Transport said.
Explaining the ongoing process to formulate a new constitution for the country, de Silva said the constitution- making steering committee report which is being prepared will be subject to a review in parliament.
The Sinhala majority has opposed the Tamil demand for federalism since the very early days of the ethnic conflict that sparked a 30-year civil war that killed 100,000 people.
Wigneswaran during his demonstration in Jaffna on Saturday said the Sinhalese fear federalism through ignorance and a federal solution would not mean a division of the island into ethnicity-based provinces.
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