Netanyahu convened a press conference after the country's lawmakers rejected a bill to dissolve Parliament, the Knesset, which defeated the bill 68-48.
Netanyahu said he was sure that if he could get signatures from 10 Knesset members to be able to run in the Feb. 6 elections, he could win to become prime minister. He said, however, that once in power, he would be stymied because he would lack the necessary majority in Parliament.
Netanyahu said he believed Labor's candidate, Prime Minister Ehud Barak, also would fail to win a majority for a peace agreement, should he sign it.
General elections are inevitable, he said.
"When the Knesset goes to general elections, I will be there and at that time will seriously consider in a favorable light running for the leadership of this country," Netanyahu said.
In the meantime, he said, he expected to remain active in politics. Netanyahu refused to say whether he would agree to serve as Foreign Minister under Likud leader Ariel Sharon, should he become prime minister.
Netanyahu's withdrawal from the race means Barak, who is seeking re-election after losing his parliamentary majority in the face of failed peace efforts and Israeli-Palestinian clashes, likely will face Sharon in the Feb. 6 elections.
Netanyahu slammed Barak for the latest heightened efforts to work out a deal with the Palestinians. Netanyahu said that signing such an agreement, without going to the people first, would be wrong, irresponsible and immoral.
Barak, he alleged, is desperately and cynically engaged in "a liquidation sale to help him survive a few more months in the prime minister's office."
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