As of now, Sinha said, "We have no intention of imposing any tax." However, he added, a reassessment of the fiscal situation would be made in October with a view to ascertaining whether fresh taxes were required to meet the enhanced defence and other expenditure.

The minister pointed out that he did not impose new levies as the fiscal situation was turning buoyant. Widening of the tax base along with higher rate of growth or the economy, and better tax compliance has helped the government in meeting the cost of Kargil conflict without much difficulty.

Sinha added that an assessment was on in his ministry along with the defence ministry to work out the immediate, medium-term and long-term requirements in the aftermath of Kargil conflict. Meanwhile,he assured that all necessary financial requirements of the ministry of defence as well as the security forces would be met.

About interest rates, Sinha said that cut in interest rates would have to be linked to reduction in deposit rates. "You can't go on having high deposit rates and then low interest rates," he added. However, he said, it was for Reserve Bank to decide on rising or lowering of interest rates.

Referring to the achievements of the BJP-led coalition, he said, that notwithstanding major economic challenges including Kargil and sanctions, the good management by Vajpayee government has restored confidence making the economy `bullish'.

Sinha said the economy has come out of the slowdown phase with inflation touching an all-time low, stock markets booming, bumper food crops, stable foreign exchange market and a low current account deficit (CAD). The new government after elections "will inherit an economy that is growing strongly," he said.

Meanwhile, Sinha also took exception to formerfinance minister Manmohan Singh's remark that the economy was heading for worse days, and instead painted a rosy picture outlining his achievements as prudent management.

The minister added that despite the government's desire to have $10 billion FDI in a year, all steps would be taken a protect domestic industry. The time-frame required by them for getting strong enough to face foreign competition would be provided. Sinha also assured of strict control on prices.

The finance minister said the recently announced nuclear policy of the Vajpayee government would not result in scarcity of essential and basic goods.

He also expressed the hope that economic growth rate was likely to be 7 per cent during the Ninth Plan period.

The minister pointed out that the Washington-based Institute of International Finance, has forecast real GDP growth of 7 per cent for the year 1999-2000, in its recent economic report on India. He said the report had stated that, "the next Government will inherit a strong economy thatis growing strongly with low inflation and a small current account deficit."