Hungarian leader Karoly Grosz said Friday he will resign as prime minister, the Communist Party newspaper Magyar Hirlap reported.

Grosz said, however, he would keep the more powerful post of general secretary of the Communist Party.Grosz, 58, said he will announce the resignation at a session of the Hungarian Parliament.

"I am highly dissatisfied with my activity as prime minister," he said. "But I would feel the same even if my results had been considerably better."

Grosz became prime minister in June 1987 and on May 22, 1988, he replaced the aging Janos Kadar as the leader of the Communist Party.