There is provided a method and system for positioning a transponder, the system comprising an antenna array of at least two spaced-apart antennas coupled to a common generating and switching unit. The generating and switching unit is configured for generating a periodic signal and switching the signal between said at least two antennas, constituting a positioning signal transmitted to the transponder. The system comprises a receiver for receiving a returned signal and a phase difference estimator coupled to the receiver and operable to measure phase differences between portions of the returned signal. The system further comprises a positioning utility coupled to said phase difference estimator and configured to determine the position of the transponder relative to the positioning system.