The Pakistan government has dismissed as "malicious and baseless" media reports that President Asif Ali Zardari might replace Prime Minister Yousuf Raza Gilani while transferring all presidential powers to the premier.A presidential spokesperson said all constitutional institutions are functioning according to the mandate given to them and the President and Prime Minister will continue to play their role as provided in the constitution.Dismissing the report as "malicious and baseless", the spokesman said all decisions in a democracy are taken by the Parliament as it is a sovereign authority.Democracy has taken firm roots in Pakistan and is gaining strength, he added.Reports had said that Zardari intended to become the Prime Minister and install his father Hakim Ali Zardari as President while transferring presidential powers to the PM by annulling all constitutional amendments effected by former President Pervez Musharraf.