The Mongolian People's Revolutionary Party (MPRP) has nominated Health Minister Natsag Udval for the June 26 presidential election, making her the first woman to run for the country's top office.
Udval, a pediatrician and staunch supporter of jailed former president Nambar Enkhbayar, actively took part in demonstrations demanding his release.
Enkhbayar, who was in office from 2005 to 2009, was sentenced to two and half years in prison last year for corruption.
The ruling Democratic Party of Mongolia named incumbent President Tsakhia Elbegdorj as its candidate and two minor parties, the Mongolian National Democratic Party and the Civil Will-Green Party, said they would support Elbegdorj's reelection.
The opposition Mongolian People's Party nominated former champion wrestler Bat-Erdene Badmaanyambuu, who is popular in rural areas.
The decision late Saturday by the MPRP, which is part of the Justice Coalition with the National Democratic Party, to run its own candidate indicated a split within the coalition, analysts said.
They predict Elbegdorj is likely to win reelection.