"We are obliged to stay there until the (Iraqi) elections. To stay longer is an impossibility," Prime Minister Ferenc Gyurcsany said at a ceremony to mark the end of mandatory military service in Hungary.

The former communist country, which joined the European Union in May, sent the troops as part of the US-led coalition. But the government has been under mounting pressure from citizens and opposition parties who object to the soldiers' presence.

Recent polls had shown that around 60 per cent of Hungarians wanted the government to withdraw the country's troops from Iraq immediately.

The announcement was a huge symbolic blow to US President George W Bush, who has struggled to keep the US-led multinational force from unravelling since Spain pulled out its 1,300 troops earlier this year.
The interim Iraqi government asked Hungary last week to keep its troops there for about another year.

Hungary has a transportation contingent of 300 troops stationed in Hillah, south of Baghdad. Parliament last year authorised the mission until December 31.

The government will ask parliament next Monday to extend the mandate by three months, Defence Ministry spokesman Peter Matyuc said.