Pak-US friendship robust: Obama

US President-elect Barack Obama telephoned President Asif Ali Zardari in the wee hours of Saturday and told him that the friendship between Pakistan and the United States was durable and long-lasting, reports a private TV channel.

Stressing need for the promotion of democracy in Pakistan, Obama said Pakistan was an important country for the US and both countries would continue cooperation in the war against terrorism.

President Zardari also stressed on strong ties between the countries. He said the two nations had close friendly ties and they should be further strengthened.

Obama promised to work along with Pakistan and gave full assurance to Zardari for the promotion of democracy there.

Our Special Correspondent from New York adds: Obama said an international effort must be made to keep Iran from developing a nuclear weapon.

"Iran's development of a nuclear weapon, I believe is unacceptable," he said at his first televised news conference in Chicago since his election as President on Tuesday. "Iran's support of terrorist organisations, I think is something that has to cease," he said.

Obama said he would be reviewing a letter from Iran's President Mahmoud Ahmadinejad, congratulating him on his election, and would "respond appropriately." But he said the US approach to Iran could not be done in a "knee-jerk" fashion. "I think we've got to think it through," he said.

The president-elect Obama focused on what he called "the greatest economic challenge of our lifetime", saying "we're going to have to act swiftly to resolve it."

However, Obama deferred to President George W Bush and his economic team, noting that the country has only one government and one president at a time.

He said the Congress needs to pass an economic stimulus measure either before or just after he takes office in January.

But, he said, "Immediately after I become president I will confront this economic crisis head-on by taking all necessary steps to ease the credit crisis, help hardworking families, and restore growth and prosperity."

"I'm confident a new president can have an enormous impact," he added.

The president-elect spoke after he and Vice-President-elect Joe Biden met privately with economic experts to discuss ways to stabilise the troubled economy.

More evidence of a recession came Friday when the government reported that the unemployment rate had jumped from 6.1 percent in September to 6.5 per cent in October. Despite dour third-quarter reports from Ford and General Motors, stocks rose some after two days of heavy losses.

AFP adds: The President-elect stressed during the 20-minute Press conference that he has not yet taken office and won't until January 20, 2009.

"I have to reiterate once again, we only have one president at a time," he said. "I want to be very careful that we are sending the right signals to the world as a whole."

On US economy, Obama said a new emergency economic stimulus package for the troubled US economy was a top priority for his incoming administration. He vowed that "immediately after I become President, I am going to confront the economic crisis head-on."

"One thing I can say with certainty is that we're going to need to see a stimulus package passed before or after inauguration," he stated.

Asked what he would do if the current Congress does not pass a stimulus before his inauguration on January 20, Obama said: "I want to see a stimulus package sooner rather than later. If it does not get done in a lame-duck session (of Congress), it will be the first thing I get done as President of the United States."

"Tens of millions of families are struggling to figure out how to pay the bills and stay in their homes," he told reporters in Chicago.

"Their stories are an urgent reminder that we are facing the greatest economic challenge of our lifetime. We will have to act swiftly to resolve it."

"It is not going to be easy for us to dig ourselves out of the hole we are in. But, America is a strong and resilient country. I know we will succeed if we put aside partisanship and politics and work together as one nation."

He said it was a high priority to work on policies to help the stricken US auto industry adjust to the economic crisis.

"I have made it a high priority for the transition team to work on additional policy options to help the auto industry adjust," Obama told reporters, speaking in the wake of fresh bad news from US automakers.

"The news coming out of the auto industry this week reminds us of the hardship it faces," he said.

The US President-elect said he would not be rushed into naming his White House team, saying he wanted to move with "deliberate haste" to make sure he made the right choices.

"When we have an announcement about cabinet appointments, we will make them. There is no doubt that people want to know who is going to make up our team," Obama said.

"I want to move with all deliberate haste, but I want to emphasize deliberate as well as haste.

"I am proud of the choice I made of vice-president partly, because we did it right. I am proud of the choice of chief of staff, because we thought it through," Obama told reporters referring to vice-president elect Joseph Biden, and new chief of staff Rahm Emanuel.

"I think that it is very important in the key positions in the economic team and the national security team to get it right, and not to be so rushed that you end up making mistakes.

"I am confident that we are going to have an outstanding team, and we will be rolling it out in subsequent weeks."

Earlier, Obama convened his high power panel of 17 economic advisors and was set to hold a press conference on another day of dismal news for the US economy.