Reformist Khatami to bid for Iran's presidency

Reformist ex-president Mohammad Khatami, who oversaw a thaw in ties with the West when in office from 1997 to 2005, on Sunday declared his intention to stand in Iran's upcoming presidential elections in a challenge that could see the ouster of the incumbent hardline government.

"Here I am announcing that I will seriously take part as a candidate for the election," Khatami told a meeting of a pro- reform political group.

The race will offer a stark choice for voters between Khatami and President Mahmoud Ahmadinejad, whose first four years in office have witnessed a sharp deterioration in ties with the West as tensions over Iran's nuclear work mounted.

People at the gathering clapped when they heard his statement.

"We should pay attention to having a free and legitimate election, and also secure a high turnout," Khatami said.

The fate of the nation

Khatami said it was important "to think about the fate of the nation and its long-time desire to be proud, free and to progress and reach justice."

"I hope I can take steps to remove the people's problems and also enhance their position in the world."

The West accuses Iran of seeking to build nuclear weapons, a charge Tehran denies, insisting its aim is to make electricity. But Tehran's failure to convince world powers of its intentions has led to three rounds of United Nations sanctions.

United States President Barack Obama has offered a new U.S. approach to engage Iran, saying he would extend a hand of peace if the Islamic Republic would "unclench its fist".

Some analysts say Washington may wait until the June result before spelling out any offer in detail. Iran, meanwhile, has set tough conditions for opening any dialogue, a move seen as a bid to buy time in part because of the pending vote.

It was important to think about the fate of the nation and its long-time desire to be proud, free and to progress and reach justice. I hope I can take steps to remove the people's problems and also enhance their position in the world,

Iranian ex-president Mohammad Khatami

Khatami worked for detente abroad and for political and social change at home while in office. But hardliners in charge of major levers of power in the Islamic Republic blocked many of his reforms, costing Khatami some key supporters.

Ahmadinejad has faced mounting criticism over his economic management and surging inflation, which climbed to almost 30 percent last year. Reformists, in particular, say his fiery foreign policy speeches have further isolated Iran.

Any bid by Khatami is likely to polarize the race, in which others have already declared, and may encourage conservatives to unite to prevent a reformist winning even though some of them have also criticized Ahmadinejad.

The supreme leader not the president

Analysts say the result of the vote could hinge on whether Ahmadinejad retains support of Supreme Leader Ayatollah Ali Khamenei, Iran's top authority who has publicly praised the president and whose words could sway millions of loyalists.

Ultimately any decision on policy in Iran lies with the supreme leader not the president.

Ahmadinejad may be able to call on the backing of Iranians in poorer and particularly rural areas where the impact of his spending has been most obvious, analysts say, although they add that his largesse is why prices have climbed so fast.

Although many of Khatami's reforms were blocked, such as a law to ease press restrictions, the media did become more vibrant during Khatami's term -- even if many newspapers were banned -- and some social strictures did loosen.

But some of Khatami's main supporters became disillusioned by the end of his presidency, saying he should have done more to push through change. And students, who were once at the vanguard of the reform movement, have now largely fallen silent.

Iranian presidents can serve two consecutive four-year terms but must then step down. They can run again at a later date.