Even as DMK chief M Karunanidhi announced his decision to withdraw support to it on the Lankan Tamils issue, the government today put up a brave face, insisting that there was no threat to its stability.

At the same time, the government sought to molify Karunanidhi, saying his "statement deserves all respect" and consultations have been started with political parties on DMK's demand that Parliament should adopt a resolution on human rights violations in Sri Lanka.

"Let me assure everyone that the stability of the government and the continuation of the government are not an issue. The government is absolutely stable and enjoys majority in the Lok Sabha," Finance Minister P Chidambaram told reporters outside Parliament.

His statement came hours after Karunanidhi announced that DMK will pull out of the government over the Sri Lanka Tamils issue. DMK has 18 members in Lok Sabha and UPA with the support of DMK has 303 MPs in the 543-member House.

On the issue of a resolution moved at the UNHCR against Sri Lanka which DMK wants India to support, he said that the government is examining the final draft which reached here late last night.

Chidambaram, who along with Defence Minister A K Antony and Health Minister Ghulam Nabi Azad had met Karunanidhi yesterday, said the government is also examining whether amendments can be moved to that draft to strengthen that resolution as demanded by DMK.

"As far as the resolution in the UNHCR is concerned, we are examining the final draft that came to us late last night and whether amendments can be moved to that draft to strengthen that resolution," he said.

"As far as DMK's request for Parliament to adopt a resolution is considered, it is evident that we would have to consult all political parties. Consultations have begun on the sugggestion that Parliament should adopt a resolution," Chidambaram said.

Chidambaram said the Congress Core Group, headed by party chief Sonia Gandhi, had considered the two suggestions made by DMK at length.

He also referred to the statement made by Gandhi at the CPP meet here this morning in which she pressed for an independent and a credible probe on the human rights violation in Sri Lanka.

Asked whether he was hopeful that DMK will reconsider its decision, Chidambaram said, "According to the media, the DMK president has said that he will review its decision if a resolution is brought before Parliament. We take note of that statement also.

"The government is stable. The government will continue. The government has a majority in the House," he said responding to repeated queries on the issue of the government's stability.

Chidambaram also expressed hope that the appropriation bill will be passed in Rajya Sabha.

"The appropriation bill is passed in the Lok Sabha. The appropriation bill is before the Rajya Sabha. I was here this morning in the hope that after question hour, the debate will resume. The Rajya Sabha did not function. I am confident that the parties in the Rajya Sabha will find time to return the appropriation bill," he said.

Talking to reporters separately, Parliamentary Affairs Minister Kamal Nath said the government is stable.

"We are considering what will be our next step with regards to the demands raised by DMK. But notwithstanding that, the government is perfectly stable and there is no problem at all," he said.

The Minister said the government is discussing the issue of the type of resolution and whether there should be one at all.

In reply to a poser on the stand on BJP, he said it was upto the Opposition party to support it. "We will decide our stand and they will decide on theirs," he said.