Tsvangirai challenges Mugabe to new election

By Mike Saburi

GWERU, Zimbabwe (Reuters) - Zimbabwean opposition leader Morgan Tsvangirai said on Sunday his party would rather quit power-sharing talks than sign an unsatisfactory deal and challenged President Robert Mugabe to call a new election.

"We are saying to him you can call another election under international supervision and let's see who is going to win that race," he told a rally to celebrate the ninth anniversary of his Movement for Democratic Change (MDC).

Tsvangirai beat Mugabe in a March 29 election but fell short of enough votes to avoid a June run-off, which was won by Mugabe unopposed after Tsvangirai pulled out, citing violence and intimidation against his supporters.

"We would rather have no deal than a bad deal," Tsvangirai said.

The post-election talks are deadlocked over how to share executive power between Mugabe and Tsvangirai, putting off any chance of rescuing Zimbabwe from its economic collapse.

Mugabe has said he will form a cabinet with or without Tsvangirai.

MEDIATION STRUGGLE