“I'm not as active as before; but enough to fight an election,” the 82-year-old told local media during a trip to the Middle East.

Lee led Singapore in a split from Malaysia in 1965 and built the tiny territory into an affluent economic hub with a political system dominated by the People's Action Party (PAP).

During a visit to Qatar, Lee told television news station Channel NewsAsia that he had no intention of leaving the political scene anytime soon.

“You're keen to see me pack off and go? In that case I'm going to disappoint you,” he joked. “I eat less than I should, or I stop eating when I want to eat more; I exercise every day; I work hard every day and I sleep well every day.”

Lee's son, Lee Hsien Loong, became prime minister in 2004 and must hold parliamentary elections by mid-2007. Some political analysts have said they expect the next election to be held sooner so the government can benefit from Singapore's current economic health.

An escalation of election-related comments by members of the PAP has raised speculation that an announcement will be made soon after the prime minister presents the annual budget in Parliament on Feb 17.

The ruling party has won every election since independence.