http://news.bbc.co.uk/2/hi/middle_east/4300039.stm
Egypt's President Hosni Mubarak has asked parliament to change the constitution to allow multiple candidates in presidential polls.
The surprise announcement followed US and domestic pressure for reform in the Arab world's most populous nation.
Mr Mubarak said the move was aimed at bringing the law "in line with this stage of our nation's history".
The proposal will be put to referendum before September's presidential poll.
Currently, Egypt holds presidential referendums on a single candidate approved by parliament.
Mr Mubarak's National Democratic Party has dominated the assembly since political parties were restored in the 1970s and he was expected to use the system to secure a fifth six-year term in September.
The US has been pressing for democratic reform in the Middle East, including in close allies such as Egypt and Saudi Arabia.
Inside Egypt, there have been many calls recently by the opposition and civil society for political reform.
Opposition activists welcomed the announcement, though some were sceptical about President Mubarak's motives.
The Muslim Brotherhood, the influential but outlawed Islamic organisation, said it would consider putting up a candidate.
An official in the opposition Al-Wafd party, Mohamed Ulwan, said it was a historic step.
"For the first time since the days of the pharaohs, the Egyptian people will choose their ruler," he was quoted as saying by Reuters news agency.
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