Barack Obama. has urged the Iranian government to "stop all violent and unjust actions against its own people" as protests continue in Iran against the alleged rigging of last week's election.

Obama said: "The Iranian government must understand that the world is watching. We mourn each and every innocent life that is lost.

"The universal rights to assembly and free speech must be respected, and the United States stands with all who seek to exercise those rights."

In her turn, German Chancellor Merkel called on Iran to refrain from using violence against demonstrators, free detained opposition members, allow free media reporting and conduct a recount of votes in the election.

Later at a news conference, Merkel said Iran could earn trust from the international community by inviting observers to oversee a vote recount.

"One could eliminate doubt, very well I believe, by simply repeating the count transparently and if needed also with international observers. And then trust could grow," news agencies cited her as she saying.