Malaysia's prime minister has dissolved parliament, paving the way for early general elections that will be a key test of his popularity amid complaints about inflation, crime and ethnic tensions.

Abdullah Ahmad Badawi made the announcement on Wednesday at a hastily convened news conference.

Elections are not due to be held until mid-2009 when Abdullah's five-year term officially ends, but most Malaysian prime ministers have traditionally sought a fresh mandate after four years.

Abdullah told reporters that the ruling Barisan Naional coalition hopes to retain a two-thirds majority of the 222 seats up for grabs at the polls.

The election follows a series of rare public protests by groups accusing the government of introducing unfair election laws and by ethnic Indians alleging discrimination.

The government has taken a firm line against such protests, saying they risk undermining Malaysia's multi-ethnic balance and ordering police to use water cannon and tear gas to break up demonstrations.

An election date is expected to be announced shortly by Malaysia's election commission.