Mugabe also mentioned the possibility of new elections within two years.

"If we call for elections, you must be prepared," Mugabe told members of his ruling ZANU-PF party on state television Thursday, CNN reported.

An opposition spokesman said a "genuine election" would be welcome -- with international supervision.

Zimbabwe has had no Cabinet since the March presidential election that started the current political impasse.

The once prosperous nation's humanitarian and economic crises, aggravated by its political troubles, have included a cholera outbreak that has killed about 600 people since August and the world's highest inflation rate -- 231 million percent and rising.

A national unity government failed to take off after Morgan Tsvangirai's Movement for Democratic Change accused Mugabe of violating their September agreement by keeping all key ministries for his own party.

The 84-year-old Mugabe, who has led Zimbabwe since 1980, said he would appoint a Cabinet if MDC leaders aren't ready to join the national unity government and call new elections in the next 1 1/2 to 2 years.