READY to face any eventuality arising out of the threats by the United States to impose economic sanctions for conducting nuclear tests the Government on Tuesday expressed the confidence that no sanctions would eventually be imposed.

The Government had taken into account some amount of adverse reaction by some Western nations to the bold and extraordinary decision, but after a high-level review of the situation arising from the nuclear tests, the Government said that it was ready to face any eventuality.

Making light of the threats of sanctions, top Government sources said that they would have little or no impact as the country's economy had its own inherent strengths which no outside elements could adversely affect.

But, in the ultimate analysis of the Government, the possibility of economic sanctions being imposed on the country was lesser than the initial reactions of some Western nations seemed to indicate.

Prime minister Atal Bihari Vajpayee has already written to some heads of states, including the United States, explaining India's security concerns and the reasons behind the Pokhran nuclear tests.

Political advisor to the Prime Minister Pramod Mahajan told newsmen that the Government hoped that even the US would appreciate India's security concerns, especially in view of the recent developments in the region.

The Prime minister, who received Dr Abdul Kalam, Dr Chidambaram and other scientists at his residence in the morning, later held a detailed and in-depth review of the situation arising from the nuclear tests, at a meeting attended by Defence Minister George Fernandes, the three service chiefs, Home Minister L K Advani, Finance Minister Yashwant Sinha and senior officials of Defence, Home and Finance ministries.

Ordinarily, a weekly meeting is held at the Defence Ministry. But, what was significant on Tuesday was that the Prime Minister attended the same along with the Home and Finance Ministers to make an overall assessment of the fallout of the nuclear tests, given the initial adverse reaction from some Western nations. The issue of economic sanctions reportedly figured at the meeting, where it was assessed that the threats might not eventually materialise. Mr Mahajan said that "we hope and are confident that no sanctions will be imposed. And even if some sanctions are resorted to, the country as such will be able to overcome them as the country's economy has its own inherent strengths.

" Our security perception is in reality no different from that of the previous governments. What was needed was a strong Prime Minister who could take a bold decision," Mr Mahajan said, adding the Government had made assessment of all possible scenarios that might emerge from the nuclear tests. "It (to conduct nuclear tests) was an extraordinary decision and that there will be some fallout was expected," he said.

Later, the Cabinet and the Council of Ministers congratulated the Prime Minister the Prime Minister for the bold step that revived the nation's self-confidence.

He said that the public reaction and the stand of the political parties all proved that the decision was right