REFUGEE

Sri Lanka's main opposition said on Thursday it will back former army chief Sarath Fonseka's bid in a presidential poll, the most serious challenge to President Mahinda Rajapaksa's re-election campaign. [ID:nCOL130560]

Fonseka, a key figure in the defeat this year of Tamil Tiger separatists after a 25-year war, has yet to formally announce his candidacy to challenge his former commander-in-chief.

Here are some questions and answers on Fonseka:

WHO IS SARATH FONSEKA?

A soldier from 1970, Fonseka was the army commander who spearheaded victory over the Tamil Tiger rebels in a 34-month campaign.

Known for his volatile temper and win-at-all-costs attitude on the battlefield, Fonseka was nearly killed in April 2006 by a rebel suicide bomber, but returned three months later to launch the campaign that defeated the separatists..

WHY DID HE RESIGN?

Fonseka has accused Rajapaksa of sidelining him despite his contribution to the victory, and of sullying the army's reputation by falsely alerting India that a coup plot was afoot in October.

WHY IS THE OPPOSITION RALLYING AROUND FONSEKA?

None of the opposition parties has a candidate to challenge Rajapaksa, who was at one point expected to win his second six-year term easily.

The United National Party, the main opposition grouping, endorsed Fonseka on Thursday and the Marxist Janatha Vimukthi Peremuna has said it will support him if he runs.

Fonseka has so far made no formal announcement. But if he runs as the candidate of a united opposition, analysts say it will be a tough call between him and Rajapaksa.

WILL MINORITY GROUPS SUPPORT HIM?

Minority groups have yet to take a firm stand on Fonseka's expected bid to contest the presidency. Parties representing minority Tamils and Muslims are in discussions with him, mainly focusing on minority rights. The groups command a swing vote of up to 25 percent.

CAN FONSEKA TAKE VOTES FROM RAJAPAKSA?

Fonseka has at least as much claim as Rajapaksa to credit for victory in the war, a key factor in the incumbent's popularity.

HAS THE FONSEKA FACTOR AFFECTED RAJAPAKSA?

Ministers and a close confidante of Rajapaksa say the incumbent is not at all worried about the prospect of Fonseka running.

But the presidential administration has undertaken moves that appear linked to just such a contest.

Authorities pledged last Saturday to provide freedom of movement from Dec. 1 for refugees from the long-running conflict held in military-guarded camps, a concern raised by Fonseka.

The government also relaxed security measures in Colombo on Thursday after Fonseka petitioned the Supreme Court to provide him with increased security -- opening up long blocked streets and reducing security measures provided for dignitaries.

Since Fonseka's resignation, some ministers have been underscoring the role of senior politicians in securing victory over the Tigers, discounting the role played by Fonseka.

WHAT ABOUT THE ECONOMY?

If Fonseka enters the presidential race, economists expect Rajapaksa to spend more to woo voters with public-sector wage hikes, subsidies and new state jobs. Rajapaksa has already promised public sector pay increases from January.

But implementing this will be very difficult due to strings attached to a $2.6 billion loan from the International Monetary Fund (IMF). If Rajapaksa decides to cancel the IMF loan, investor confidence in the $40 billion economy will be badly dented.