Sri Lanka, July 2 -- Exiled Tibetan spiritual leader the Dalai Lama has confirmed he will have a successor, putting to rest speculation over whether the 600-year-old institution will end when he dies.

In a video message keenly-awaited by his followers, he said only the trust that he founded could appoint his successor and "no-one else has any authority to interfere in this matter".

According to Tibetan tradition, Dalai Lamas are "reincarnated" after they die. The current Dalai Lama's exile from Tibet after China annexed it in the 1950s has made succession a highly contentious issue.

Beijing rejected the statement, saying his successor would be from inside China and must be approved by the government.

Hundreds of followers gathered tod...