Sri Lankan troops yesterday seized control of the entire coastline for the first time in a 25-year war with the Tamil Tigers, the military said, cutting off escape for rebels now facing imminent annihilation.

President Mahinda Rajapaksa, on a visit to Jordan, said he would return to Sri Lanka today "as a leader of a nation that vanquished terrorism", even though military operations were still under way.

Intelligence reports indicated that Vellupillai Prabhakaran, founder-leader of the Liberation Tigers of Tamil Eelam (LTTE), and other leaders were surrounded by soldiers in barely a square km of land near the northeastern coast.

The Defence Ministry said the last rebels might be planning a mass suicide attack.

Rajapaksa told a meeting of 11 developing countries that his troops had "finally defeated the LTTE militarily", a government statement said.

But a presidential official who declined to be named said this was not an official declaration of victory. Rajapaksa was due to give an address on national television after his return.

The closure of the coast means the Tigers no longer have an escape route to the Indian Ocean. But the United Nations and others say they are still holding tens of thousands of civilians as human shields.

Nearly 11,900 people fled rebel areas yesterday, bringing the total to more than 25,000 since last Thursday, military spokesman Brigadier Udaya Nanayakkara said.

The LTTE said a conventional defeat would only result in a new conflict of a different kind.

"Colombo's approach, to finish the war in 48 hours through a carnage and bloodbath of civilians, will never resolve a conflict of decades," the pro-rebel website www.TamilNet.com quoted the LTTE's Pathmanathan as saying.

"On the contrary, it will only escalate the crisis to unforeseen heights."

Pathmanathan, believed by diplomats to be somewhere in southeast Asia, has for years been the Tigers' chief weapons procurer, and is wanted by Interpol.

The Tigers have answered early battlefield losses with suicide bombings in the capital, Colombo. Their widespread use of assassinations and suicide blasts has prompted the United States, European Union and India to class them as terrorists.

The Tigers this week again refused to surrender or to free civilians, while the government rejected calls to pause its assault to protect the people. Each side accuses the other of killing civilians, and diplomats say there is evidence both have done so.

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