(Reuters) - President Hosni Mubarak said on Thursday he wanted to quit but that he feared his resignation would bring chaos to Egypt, as protesters demanding an end to his 30-year rule clashed with his supporters on Cairo's streets.
Mubarak's government has struggled to regain control of a nation angry about poverty, recession and political repression, inviting Islamist opponents to talks and apologising for bloodshed in Cairo that left 10 people dead.
A bloody confrontation gripped central Cairo where armed government loyalists fought pro-democracy demonstrators on Thursday in an uprising which is reshaping the modern history of this key U.S. ally and the Arab world's most populous nation.
"I am fed up. After 62 years in public service, I have had enough. I want to go," Mubarak, 82, who remains inside his heavily guarded palace in Cairo, said in an interview with ABC.
"If I resign today, there will be chaos," he added. Asked to comment on calls for him to resign, he said: "I don't care what people say about me. Right now I care about my country."
Protesters, who numbered some 10,000 in Tahrir (Liberation) Square during the day, prepared to defy a curfew and sleep there ahead of a big demonstration they are calling the "Friday of Departure" to mark last week's bloody "Day of Wrath" protest.
In a move to try to calm the disorder, Vice President Omar Suleiman said on Thursday the Muslim Brotherhood, Egypt's most organised opposition movement, had been invited to meet with the new government as part of a national dialogue with all parties.
An offer to talk to the banned group would have been unthinkable before protests erupted on January 25, indicating the giant strides made by the reformist movement since then. But scenting victory, they have refused talks until Mubarak goes.
ARMY ROLE CRITICAL
Protesters in Tahrir Square, dominated now by a youthful hard core including secular middle-class graduates and mostly poorer Islamist activists from the Brotherhood, barely listened, saying the concessions were too little and too late.
"Suleiman has not listened to the people's needs. We want Mubarak to leave immediately, not to stick around for another six months," said Mohamed Anis, 29, who works at the bourse.
"We have refused dialogue and negotiation with Suleiman until Mubarak steps down," he added.
Opposition leaders including the liberal figurehead Mohamed ElBaradei and the Muslim Brotherhood said again that Mubarak, who wants to stay on until September elections, must go before they would negotiate with the government.
The overture came after new Prime Minister Ahmed Shafiq apologised for the violence and the breakdown in law and order. Shafiq said he did not know who was responsible for the bloodshed, blamed by protesters on undercover police.
United Nations human rights chief Navi Pillay said up to 300 people may have died in the bloody uprising.