The eight candidates in Iran's presidential election are discussing the country's economic problems in a televised debate, with one hard-liner calling for "reconciliation with the world" to solve high unemployment and inflation.

In Friday's debate, hard-liner Ali Akbar Velayati, a top adviser to the supreme leader, said Iran cannot use its full capacities without improving ties with the world and neighboring countries.

Iran's economy has been ailing in part because of international sanctions over Iran's disputed nuclear program.

Few candidates directly referred to sanctions, though one, Mohsen Rezaei, a former Revolutionary Guard commander, said, "We should find a logical solution for the sanctions" to deal with inflation.

Inflation stands at 30 percent and unemployment at 14 percent, making it a major issue in the June 14 election.