Indian Prime Minister Manmohan Singh says his nation is committed to forging the "friendliest possible relations" with Pakistan.
Mr. Singh said India wants to find pragmatic and practical solutions to all outstanding issues, including the Kashmir dispute.
He said there has been steady progress in improving relations with Pakistan since a peace process was launched two years ago.
He noted enhanced people-to-people contacts and the reopening of bus and rail links between the two countries. Mr. Singh also said five points along the Line of Control have been opened, where Kashmiri families from either side can meet.
Earlier this week in an interview with Newsweek magazine, Pakistani President Pervez Musharraf said he is disappointed that India has not responded to his suggestion for demilitarization and self-governance for Kashmir.