More than 50 Nigerian public figures have called on President Umaru Yar'Adua to resign, saying ill health has impaired his judgement.
Several Nigerian newspapers carried a statement asking him to step down that was signed by senior political figures and democracy activists, among others.
But ministers dismissed the statement, saying there was "no basis" for the president to leave office.
Mr Yar'Adua is currently being treated in Saudi Arabia for a heart problem.
In a statement, Information Minister Dora Akunyili said the cabinet had met and had "unanimously resolved" that the president "has not been found incapable of discharging his functions".
She said: "Council wishes to inform all Nigerians that all organs of government are functioning and that government will continue to deliver."
