Iran conservatives back Larijani for speaker: media

By Hashem Kalantari

TEHRAN (Reuters) - Conservatives picked one of Mahmoud Ahmadinejad's potential rivals for the Iranian presidency for the influential post of speaker in Iran's new parliament on Sunday, Iranian media said.

The main conservative faction, which secured a majority in a March parliamentary election, overwhelmingly voted in favor of Ali Larijani, Iran's former top nuclear negotiator.

Larijani received 161 of the votes cast at the internal meeting against 50 for current speaker Gholamali Haddadadel, the official IRNA news agency said, citing one MP at the session.

Larijani quit as top nuclear negotiator last year citing differences with Ahmadinejad over how to handle the atomic row with the West. He was elected to parliament in the March vote.

Larijani was beaten in the 2005 presidential race but analysts expect him to run again. They say he may become a rallying point for conservative MPs who oppose the president's economic policies and his fiery speeches against the West.

The speaker post could provide a launch pad for higher office. The new assembly holds its first meeting on Tuesday.

One Iranian analyst said he expected Larijani to be officially elected as speaker unless "something extraordinary happens" and that the conservatives recognized the need for change in view of economic problems such as high inflation.

ACHILLES' HEEL

The incoming parliament is expected to be more critical of the government but not as much as some people may expect, said the analyst, declining to be named. "Over certain issues we will see some challenges, especially over the economy," he said.

Ahmadinejad scored a surprise win in 2005, helped by his pledge to share Iran's oil wealth more fairly. But his government's lavish spending of windfall oil revenues has been blamed for sending inflation above 20 percent year-on-year.

He is widely expected to seek a second term in next year's presidential election but a faltering economy may prove his Achilles' heel, analysts say.

They also say the support of Supreme Leader Ayatollah Ali Khamenei will be vital and Iran's top authority has publicly praised the president.

Larijani is part of a broad faction of politicians who, like Ahmadinejad, call themselves "principalists" to express their loyalty to the Islamic Republic's ideals.

But it is a fairly diverse camp and includes some who argue Ahmadinejad's verbal assaults on the West, vowing no compromise in the nuclear dispute, have further isolated Iran.

Analysts say Larijani has shown support for negotiations, although the United States and European states were frustrated when months of talks he had with their envoy led nowhere.