In response, the opposition called for nationwide protests today.

The president intervened after former Supreme Court chief justice KM Hasan backed out of an arrangement to take the reins temporarily after the expiry of Prime Minister Begum Khaleda Zia's five-year term.

Officials said the president's swearing in had put to rest a long-running controversy over who should lead the caretaker authority, which would supervise the election in January 2007.

Disagreement over the appointment of Hasan had triggered political clashes that killed 22 and injured hundreds more over the last three days across the impoverished country of 140 million.

But some analysts said the president's self-appointment as interim head could further inflame opposition anger.

State television showed Iajuddin taking the oath in front of Chief Justice JR Mudassir Hossain at the presidential palace. The swearing-in ceremony was attended by diplomats, civil and military officials, and leaders of all major parties except the main Awami League.

Awami general secretary Abdul Jalil said Iajuddin had violated the constitution by appointing himself as head of the interim government.

Shortly after the ceremony, police, members of elite Rapid Action Battalion and paramilitary troops were drafted into the capital, witnesses said.

"The city looks like a ghost city, with mostly empty streets patrolled by hundreds of security forces," one witness said.

Three people were killed in street violence Sunday, police said. Their deaths raised the toll of those killed in street battles since Friday to 22.

"We are still facing a dangerously turbulent situation," said one police officer. "Anything may happen at any time."

Thousands of protesters, carrying sticks and chanting slogans, gathered in central Dhaka Sunday for a rally. Protesters also blocked roads, burned vehicles and attacked the homes and offices of politicians, police and witnesses said.

Earlier Sunday, army, navy and air force chiefs met Khaleda, fueling speculation a state of emergency could be declared.

"This may be just a farewell call, as the PM is about to formally step down," one official said.

"On the other hand, maybe they have discussed the prevailing situation and a possible way out, let's say a state of emergency."

The southern port of Chittagong remained idle as the opposition enforced an indefinite strike there.

The strike is hitting the country's US$8 billion (HK$62.4 billion) a year garment export business, said S M Fazlul Haque, president of the Bangladesh Garment Manufacturers and Exporters Association.

REUTERS