A crucial meet of the Congress Core Group on Wednesday remained inconclusive with the government deciding to standby its decision on fuel price hike, cap on LPG subsidy and allowing FDI in the retail sector.
According to reports, the Congress Core Group meet that lasted for almost two hours at the Prime Minister's 7, RCR residence saw the top party leaders deliberating over the political situation arising out of the Trinamool Congress's decision to withdraw support to UPA government.
During the meeting, which was chaired by Congress president, both Sonia Gandhi and Prime Minister Manmohan Singh deliberated over the strategy ahead.
Shortly after the meet, Union Finance Minister P Chidambaram also said, "The government stands firm on its decision. There will be no rollback. The PM will speak to the TMC ministers on Friday."
The top Congress leadership got into a huddle to finalise its strategy in the wake of Trinamool Congress deciding to withdraw its support to the UPA government as another key ally Samajwadi Party will meet in New Delhi on Thursday to decide its stand.
Congress President Sonia Gandhi drove to the race course of Prime Minister Manmohan Singh and was closeted with him over discussions on how to tackle the threat to the government caused by Trinamool's decision.
Defence Minister A K Antony and Gandhi's political secretary Ahmed Patel were present in the discussion. Earlier in the day, Planning Commission Deputy Chairman Montek Singh Ahluwalia had a meeting with the Prime Minister.
Trinamool, the second largest constituent of UPA with 19 MPs last night decided to withdraw support to the government and pull out its ministers opposing the decision to hike diesel price, cap supply of subsidised LPG cylinders and allow FDI in multi brand retail.
It has set a deadline of Friday afternoon to reconsider its stand if the government rolls back its decisions.
Meanwhile, Mulayam Singh Yadav, leader of the 22-strong Samajwadi Party, whose support for government assumes importance in the current context, expressed opposition to government's decisions but declined to reveal the party strategy.