"Rajesh Khanna is fine now. He should get discharged by day after tomorrow (Tuesday), " a source close to the family told.
"His family members are with him. (Estranged wife) Dimple Kapadia and Rinki are in hospital with him and Twinkle came to see him today (Sunday) afternoon, " added the source.
Khanna was admitted to Lilavati Hospital June 23 and spent two weeks there.
The actor has been battling health issues since April l when he was admitted due to weakness and fatigue and was discharged in three to four days.
Fondly known as Kaka, Khanna, who featured in hits like "Aaradhana" and "Amar Prem" in the 1970s, was out of limelight for many years. He recently acted in an advertisement.
He married Dimple in 1973. They separated in 1984.