At a meeting of the Congress Working Committee on Tuesday, members, including party President Sonia Gandhi, have backed the government's decision on economic reforms saying it was essential to control inflation and the depreciating value of the rupee, reports said.

However, the PM added that flagship programmes cannot be implemented effectively till economy is in a sound position.

The Congress top brass met on Tuesday to take stock of the "present situation" and chalk out the strategy ahead.

Very recently, the government announced a diesel price hike of Rs.5 per litre, FDI in aviation, retail, power exchanges and broadcast and on Monday, it approved the debt restructuring for power distribution companies.

In the bargain, the government has lost an important ally, Mamata Banerjee’s Trinamool Congress, who was opposed to the fuel price hike and FDI in retail.

However, the government seemed unfazed by her exit and has stuck to its guns as both Samajwadi Party and Bahujan Samaj Party have continued to back the government.

After the TMC’s withdrawal, UPA-II will be left with 254 MPs, 17 lower than the half way mark of 271.

 If Mayawati's BSP decides to support the UPA, its strength in the Lok Sabha will go up to 275.

If Mulayam Singh Yadav's Samajwadi Party decides to extend support, the UPA's strength will go up to 276.

And if both parties bail out the government, then the UPA will be comfortable at 297. Add to that another four MPs of the RJD and the UPA safely crosses the 300 mark.

For a simple majority, government needs the support of at least 273 MPs in a House of 545.

Moreover, the Opposition NDA has also said that it is not pushing for the ouster of the government, maintaining that it will not take steps in that direction as it may fall due to its internal contradictions.

However, the worry for the government is that some of its allies do not agree with recent decisions. DMK had joined the nationwide bandh on September 20 against the government's decisions.

Even within Congress, there have been voices of disagreement.

The meeting was signficant as it was being held ahead of the crucial assembly elections in three states including Narendra Modi-run Gujarat.

The CWC meeting took place in the backdrop of clear indications that Rahul Gandhi is going to assume a 'larger role' in party affairs very soon.

However, Janardhan Dwiwedi also said on Tuesday that there was no discussion on the issue of statehood to Telangana.