Olmert announces decision to step down

The Israeli Prime Minister Ehud Olmert today said he will not run in his party's primary election in September.

His announcement signals the end of his term in office and could stall US-backed Middle East peace efforts.

Mr Olmert said he would vacate his position to allow his successor to form a government.

He is facing several corruption investigations. He has denied wrongdoing but pledged to resign if indicted.

His decision not to run in the 17 September Kadima Party primary sets in motion a process to choose a new prime minister.

If Mr Olmert's successor as party leader can form a coalition, Israel could have a new government in October. If not, an election campaign could take several months.