Iran says it has successfully test launched a mid-range surface-to-surface missile, state media has reported.
President Mahmoud Ahmadinejad said the Sajjil-2 missile used "advanced technology" and had "landed exactly" on the unspecified target.
He was speaking in Semnan, from where the missile, with a range of 2,000km (1,240 miles), was reportedly launched.
Correspondents say the test may be seen as provocative by Iran's Arab neighbours and its enemies in the West.
"The defence minister [Mohammed Najjar] told me today that we launched a Sajjil-2 missile, which is a two-stage missile and it has reached the intended target," Mr Ahmadinejad told a crowd in the northern town.
He said the missile used solid fuel and was "able to go beyond the atmosphere then come back and hit its target".
Solid-fuel missiles are reputedly more accurate than liquid-fuel missiles, which make up the majority of Iran's long-range arsenal.
Political message
Iranian President Mahmoud Ahmadinejad
Mr Ahmadinejad and three others have been cleared to run for office
Iran tested a Sajjil missile in November last year, described by officials at the time as a highly accurate "defensive" weapon.
The BBC's Jon Leyne in Tehran says the Sajjil-2 is one of Iran's longest range rockets, able to reach Israel and US bases in the Gulf, and the launch is likely to be criticised by the West.
It is hard to tell whether the launch was deliberately provocative, but the fact that it was announced by the president means it is probably intended as a political message, says our correspondent.
Iran says its missile development programme is solely for defensive and scientific purposes, but critics say the rockets could be used to carry nuclear weapons.
The announcement of the launch came shortly after Mr Ahmadinejad was confirmed as one of the four candidates cleared to stand in Iran 12 June presidential elections.
He will run against two leading reformists - former Prime Minister Mir-Hossein Mousavi and ex-parliament speaker Mehdi Karoubi - and Mohsen Rezai, former chief of the Revolutionary Guards.
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