Prime Minister Abdullah Ahmad Badawi vowed, during a rally of more than 10,000 Indians, to reduce poverty among the ethnic Indians. -- PHOTO: REUTERS

Speculation is mounting that Mr Abdullah will call for national ballots by mid-March, even though his ruling coalition's current five-year mandate only expires in mid-2009.

Mr Abdullah told CNN in Davos, Switzerland, on Friday that he is hoping for a 'good mandate' to enable the government to implement public development programs.

'We will call for the election when I think everything is all right and at the moment I think people are ready for the election,' Mr Abdullah said in the interview on the sidelines of the World Economic Forum.

Mr Abdullah had said in Kuala Lumpur earlier this week that his National Front coalition would probably not be able to repeat its huge electoral success of 2004, when it won 196 of the 219 parliamentary seats.

Among Mr Abdullah's biggest electoral challenges are inflation, rising crime and tensions in the multiracial society sparked by frustrations among minority ethnic Indians, who feel they are not getting a fair share of the national wealth.

Nevertheless, the National Front - which has governed Malaysia since 1957 - is expected to easily retain power. Indians form 8 percent of the country's 27 million people and do not have enough clout or numbers to drastically affect the poll results.

Separately on Saturday, Mr Othman Ali, a federal police official responsible for security, said police have 'put in place all the necessary preparations and we are ready' for elections, the national news agency Bernama reported.

'We expect a smooth election,' Bernama quoted Mr Othman as telling reporters in eastern Malaysia. 'I don't expect any rioting or disturbances in the coming election but if there are, we are prepared to face them either in terms of personnel or logistics.' -- AP