The INLA yesterday ruled out decommissioning its weapons and accused republican backers of the Good Friday Agreement of supporting "an attempt to hide and cover up a defeat for republicanism".
In a statement published on the fifth anniversary of its ceasefire, the paramilitary group's leadership said: "Now is not the time for any republicans to be even considering negotiating any arms surrender.
"However, the INLA does not see a return to armed struggle as a viable alternative at this time."
The paramilitlary group's leadership also called on "all units of the INLA to desist from policing communities".
"It is no part of our role to police the working class," it said.
"However we do reserve the right to defend our membership and the most vulnerable members of our community."
Five years on from the creation of the Good Friday Agreement, it was "time to take stock" of recent political progress which had proved the agreement "is a failed and flawed agreement", the statement said.
"Four suspensions of the assembly, a massive increase in sectarianism, the introduction of a neo-liberal economic agenda, the failure of mainstream unionism to actively accept an equality agenda, and continuing direct rule by the British government confirms the correctness of our analysis," it said. The INLA said it would not disarm while there was "disillusionment within loyalist ranks" about the political process.
"With the increasing disillusionment with-in loyalist ranks over the whole so-called peace process and with whole sections of the UDA rejecting the GFA while the UVF re-arms now is not the time for any republicans to be even considering negotiating any arms surrender," it said.
"A squalid political deal that exchanges guns for government was not what the republican struggle of the past was about.
"Such a deal is in effect an attempt to hide and cover up what has been in effect a defeat for republicanism.
"Running Stormont departments does not and will not hide that reality."
Five years after calling its ceasefire "there is still a role for the INLA", it said.
"We will remain vigilant in defence of working class communities but we will not take offensive action," the statement also said.
"We will assist in resolving disputes within working class communities but we will not police those communities. The INLA is not a police force."
"However, we do reserve the right to defend our membership and the most vulnerable members of our community," it added.
The organisation will "encourage initiatives that give some respect and dignity back to communities living in fear from drug dealers and young, disaffected youth", it said.
"The INLA has no interests outside the liberation of the working class and the establishment of a socialist society."
