The UN nuclear watchdog chief said on Thursday Iran was clarifying atomic development efforts on schedule, countering Western doubts, but Tehran must step up cooperation to resolve remaining questions this year.

Mohamed ElBaradei summarised findings of an International Atomic Energy Agency report on Iran at a debate of the IAEA's governing board, where differences simmered over whether Iran's improved transparency is cause for hope or further scepticism.

The West fears Iran is secretly trying to build atom bombs. Iran says it only wants electricity from uranium enrichment.

Western states on the 35-nation board were expected to dwell on Iran's defiant campaign to enrich uranium despite agreeing to a plan for transparency. Developing nations were likely to highlight Iranian steps towards openness and warn against rising Western pressure they feel could lead to dangerous conflict.

ElBaradei, believed to be concerned by US-led criticism of the transparency plan's limitations and resolve to isolate Iran with harsher sanctions, said the plan was on track  after some Western powers suggested Iran was dragging its heels.

"It is proceeding according to schedule... There has been good progress," he said, in getting Iran to own up after years of stonewalling about secret 1980s and '90s efforts to acquire centrifuge enrichment technology from nuclear smugglers.

"Our progress over the past two months has been made possible by an increased level of Iranian cooperation. However, I would urge Iran to be more proactive in providing information and accelerating the pace of cooperation so the agency will be able to clarify all major remaining outstanding issues by the end of the year," he said.

That call reflected the fact that the next issues to resolve will be more difficult due to possible military dimensions.

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