'I look forward to a very constructive and, as usual, frank exchange of views,' Dr Gambari told Chinese Vice-Foreign Minister Wang Yi in Beijing.

'So that by the end of my round of consultations, which will take me to Indonesia, Singapore and Japan, I'll be able to report to the Secretary General that we are moving forward and adding to (a) kind of positive development... in Myanmar,' he added.

Dr Gambari sees regional powers as central to pushing Myanmar into political concessions, but they have been reluctant to agree to sanctions or other tough measures.

That is especially true of China, one of the military-ruled country's few foreign friends.

The junta made a surprise announcement earlier this month of a referendum on a new, as yet unfinished, constitution in May to be a followed by a general election in 2010.

But opposition figures and some Western countries have voiced skepticism the junta will be willing to let the opposition compete in the vote or to relinquish power.

'I believe we are now in a critical phase in terms of development(s) in Myanmar, in terms of Myanmar's relations with neighbouring countries, with Asean, with the international community,' Dr Gambari said.

Myanmar carried out a bloody crackdown on monk-led pro-democracy demonstrators in September.

Beijing joined Western powers in deploring Myanmar's crushing of the protests in a statement by the UN Security Council.

But China has stressed the statement did not mean it would stomach harsher action or legally binding UN resolutions against Myanmar, where it has major economic and strategic stakes.

Freeing dissidents vital for Myanmar transition: EU
BRUSSELS - Myanmar's military government should free opposition leader Aung San Suu Kyi and all other political prisoners to show it is serious about transition to civilian rule, the European Union said on Monday.

Myanmar's generals made a surprise announcement last weekend of a referendum on a new, as yet unfinished, constitution in May to be a followed by a general election in 2010.

The EU tightened sanctions last year after a bloody crackdown in September on peaceful pro-democracy protests led by Buddhist monks.

The steps targeted 1,207 firms and expanded visa bans and asset freezes on the country's military rulers.

The generals last held elections in 1990, but ignored them when Suu Kyi's National League for Democracy won by a landslide.

EU External Relations Commissioner Benita Ferrero-Waldner backed the assessment of UN mediator Ibrahim Gambari that the steps announced at the weekend were welcome but 'do not yet meet all the expectations'.

'We would like to see that both the referendum and the ensuing elections are steps towards that goal, but they have to be clarified,' she told a news briefing.

'The participation of political parties has to be clear, the electoral law, the process of free and fair elections itself.'

She said full participation of the opposition and ethnic groups was vital to reconciliation and stability and urged a more inclusive political dialogue.

'This requires of course as one of the major bases of conditions the release of Aung San Suu Kyi and of course all the other political prisoners,' she said.

Despite the referendum and election pledges, EU foreign ministers meeting in Brussels on Monday are expected to issue a joint statement warning that sanctions could be toughened if there is no progress on human rights.

House arrest
Opposition figures and some Western countries have voiced scepticism that the junta will be willing to let the opposition compete in the vote or to relinquish power.

Ms Ferrero-Waldner said it was important Dr Gambari be allowed back in to Myanmar as soon as possible.'It would be very important that he could go there before April and have the authorities fully cooperate with him,' she said.

Last week, Dr Gambari criticised Myanmar's extension of the house arrest of top Suu Kyi ally Tin Oo but said the generals might allow him to visit sooner than a proposed mid-April date. -- REUTERS