Peaceful application of nuclear technology is legitimate right of our nation, he said adding that it is not clear whether the US and Britain do not really know or do not want to recognize Iranian rights, adding that they think they can create rift among the nation through such words but they do not know that our determined nation are united to defend their legitimate rights.

"It is 27 years that the US and Britain have stood against our nation to stop national progress but they failed."
Saddam's defeat during eight years of imposed war (1980-1988) is a good example to the US hostility to Iranian nation, he pointed out.

"Big powers cannot tolerate our development and progress," the president said.

President Ahmadinejad, accompanied by members of his cabinet, arrived in Kermanshah Tuesday for a three-day visit.

His current visit is his 23rd to various provinces of the country since the start of his initiative of bringing the government closer to the people.

He and members of his cabinet will hold a session in Kermanshah city later in the day to discuss the province's problems before they return to Tehran.

Time for Israel and the rest of the world to decide what to do about Iran's pursuit of nuclear power is approaching, Sneh was quoted as saying, adding only serious sanctions would "make the Iranian regime feel painful" and preclude the necessity for a military assault.

"There will be no need to weigh other options," he stressed.

The United Nations Security Council is set to vote on Friday on a sanction resolution against Iran, which has been revised in response to Russian objections.

The latest draft includes a ban on imports and exports of dangerous materials and technology relating to uranium enrichment, reprocessing and heavy-water reactors, as well as ballistic missile delivery systems.

The proposed sanctions would also include freezing the assets of a list of companies and individuals involved in the country's nuclear and missile programs.

The draft demands Tehran end all uranium enrichment work, which can produce fuel for nuclear power plants as well as for bombs, and halt research and development that could lead to atomic weapons.

Iran has vowed to continue its nuclear program despite the resolution, calling its nuclear program a peaceful effort to develop energy.

It has been reported that the president's camp just won less than 20 percent of the total seats.

At Tehran city council, moderate conservative Mayor Mohammad Baqer Qalibaf's camp won eight seats of 15, Ahmadinejad's followers two, reformers four and one for independent.

Similar results were seen in the final results of some other major city councils. Ahmadinejad's followers won no seat in Shiraz,Bandar Abbas, Sari, Zanjan and Kerman.

In the poll of the Assembly of Experts which has the power to elect, dismiss Iran's highest authority and the supreme leader, Expediency Council Chairman and centrist Akbar Hashemi Rafsanjani defeated Ayatollah Mohammad Taqi Mesbah-Yazdi, who was widely recognized as Ahmadinejad's spiritual mentor.

Since the camp which controls the Tehran city council is doomed to choose the mayor, handle municipal matters in the capital, and even would be more convenient for the next presidency, local media said the election results shows Ahmadinejad would face more obstacles when he tries for re-election in 2009.

The final results were out of many observers' anticipations. Some analysts said the results showed Iranian people favor moderate domestic and foreign policies instead of hardline nationalism.

"The voice of the pragmatists will be more prominent," said Baqer Moin, a London-based Iran expert and author.

According to some Iranian observers, Ahmadinejad was defeated mostly due to his maladroit domestic policy.

When elected as the president, Ahmadinejad promised to let the poor share the country's oil wealth and improve the standards of their living. However, people found the price was sostenuto rising and unemployment rate was up.

Due to the infaust economic situation, Iranians were stewed on their future lives and decided to make a different choice in the election.

Besides, Ahmadinejad has escalated tension with the United States and its allies over several issues, including Iran's controversial nuclear program, while he sparked international outrage for his comments against Israel and for casting doubt on the Nazi Holocaust.

Though Iranian people obtained national pride through the president's hardline position, looming UN sanction pressure made them intranquil and they wanted the government to pay more attention to tackling Iran's domestic issues rather than stimulating the West.

In addition, Ahmadinejad's camp split with moderates who voted him to the presidency and reformers formed a coalition and a single slate this time after they were swept off from local councils and the parliament several years ago.

The president's dealing drew sharp criticism from centrists and detracted votes, said a local analyst.

However, it seemed that the president would be unbowed and there was few chance for him to change foreign policy.

Ahmadinejad gained support from the poor because his slamming at the West increased national pride, said a reformer who refused to give his name.

The latest proof was cheer for him when he blasted U.S. President George W. Bush and vowed to push ahead with nuclear program, he said.

"I do not think there is going to be a vote tomorrow (Friday),"the Russia envoy said. "We believe there should be a postponement to Saturday."

There were still "two or three" difficult issues unsolved, he said, calling for "further thinking and maybe further discussion of the draft resolution."

But a spokesman for the French delegation said that the plan for a Friday vote still remained valid despite the Russian's qualms.

Britain's ambassador Jones Parry also said the council's president for December, Qatar's ambassador Nassir Abdulazziz Al-Nasser, had decided to schedule a vote for Friday.

The draft, sponsored by Britain, France and Germany, would slapa ban on imports and exports of materials and technology relating to uranium enrichment, reprocessing and heavy-water reactors, as well as ballistic missile delivery systems.

To secure support from Russia, a veto-wielding permanent member of the council, the European sponsors offered a watered-down version on Wednesday that removed a travel ban and instead calling on nations to notify a council sanctions panel of Iranians on a sanctions list transiting through their countries.

In a resolution passed in July, the 15-nation council required Iran to suspend its uranium enrichment by Aug. 31. But Iran ignored the deadline.

The United States has been seeking to impose sanctions on Iran through the UN Security Council on the grounds that Iran is developing a nuclear weapon program under the cover of a civilian program. However, Iran has said its nuclear program is for peaceful purposes only.

Based on the ratification, the Central Bank of Iran (CBI) is obliged to change foreign exchanges in all previous and future approvals of the Economy Council from dollar into euro or other forex while equalizing the rate of dollar with demanded forex.

The ratification was ordered to all ministries, the CBI and the Management and Planning Organization.

Use of monetary base "rial/euro" was among characteristics of budget bill for the next Iranian calendar year.

Currently, measures are being taken to use forex except dollar in transactions and oil investment.

Surveys showed an international welcome for Iran's decision to replace US dollar with euro while a number of other countries also adopted a similar measure.

The International Finance Institute (IFI), which is a representative of 335 private banks in the world, has previously announced that Arab states of the Persian Gulf intend to change their forex reserves into euro to create more opportunities for investment.

The resolution regarded denial of Holocaust as a support for anti-Judaism and called on parliaments of all countries to defend rights of the Holocaust victims.

"As officials in charge of holding the Holocaust conference have repeatedly announced and the Czech press also published, the conference did not aim to deny or confirm Holocaust rather it intended to create a scientific and research opportunity to reach a better understanding of doubts over the issue," the Iranian embassy said.

It added, "The conference was held under circumstances that despite freedom of thought speaking of Holocaust is regarded as a crime. Even figures interested in outlining various aspects of the historical event were obliged to keep silent or have been sentenced to prison.

"This is while sanctities of nations and religions have been repeatedly violated by dual views, the issue which is even regarded as a matter of honor."

The statement said, "Iran during its historical existence before and after Islam has always respected divine religions including Judaism and its real ideals based on the country's religious thought and its deep cultural roots.

"Iran opposes racialism in general and anti-Judaism in particular.

"It is a matter of question for the public opinion why should the Palestinians pay cost of Holocaust and witness massacre of their sons day by day in a century known as century of peace, freedom and defending human rights?"