The country has no oil of its own and the sharp rise in the petroleum market has sent its energy import bill soaring to 1.2 billion dollars this year from an originally estimated 0.9 billion dollars and eroded foreign reserves.

However, the finance ministry's top official P.B. Jayasundera is hoping that the oil exporting countries with their soaring incomes would now be more willing to bankroll Sri Lanka.

"When OPEC (Organisation of Petroleum Exporting Countries) have more money, they are able to give us longer term credit and contribute more by way of development assistance to us," Finance Secretary Jayasundera said.

He said Finance Minister Sarath Amunugama would visit Malaysia soon seeking extended credit for oil imports. A similar request has been made to Iran.

The OPEC itself is being tapped for development aid.

"What we need is credit to tide over the immediate period," Jayasundera said. "We expect oil prices to come down from about February."

He said the government was not concerned about the high rate of inflation which he attributed to consumer-led demand and played down worries over the dwindling foreign reserves.

"At these high prices, there is going to be a decline in demand and inflation will ease. I am not concerned about inflation," Jayasundera said. "We expect this kind of (high) rates till about February."