ISLAMABAD, Dec 1: Pakistan on Monday welcomed the planned revival of air links with India as a “significant watershed” in the peace process between the two countries.

Speaking at his weekly press briefing here, Foreign Office spokesman Masood Khan said: “The president and the prime minister made a unilateral gesture and the ultimate aim is to jump start the stalled dialogue process.”

The spokesman said the move was a mistake and the two countries suffered huge financial losses due to the ban. The decision to restore ties was a “significant watershed”.

“I think there should be no excuse or pretext to stall the process,” he said.

The spokesman dispelled the impression that the ban on overflight facility had been lifted under pressure from the United States.

“I can tell you there was no pressure whatsoever from any quarter,” the spokesman stated.

He stressed that the objective behind the move was to revive the stalled dialogue process.

Masood Khan brushed aside suggestions that the sudden turnaround in Islamabad’s position that had sought “guarantees” against abrupt suspension of overflights at the last round of aviation talks in summer this year, was a “concession” offered to India in exchange for a bargain on the Kashmir issue.

The spokesman said Pakistan would never “compromise on Kashmir” which it had upheld against all odds for more than half a century.

In reply to a question, Mr Khan said as of now the ceasefire on the Line of Control was holding since it was put into effect on Tuesday night, and said it was an indefinite ceasefire with no time bar.

The spokesman recalled Pakistan’s efforts for more than a year to persuade India to resume the dialogue process which got interrupted in Agra some time ago.

In reply to a question about the visit of Nepalese Prime Minister Surya Bahadur Thapa, Mr Khan said the Nepalese prime minister held meetings with President Musharraf and Prime Minister Jamali since his arrival.

Although the spokesman could not say whether Mr Thapa had brought a message from Indian Prime Minister Atal Behari Vajpayee for the Pakistani leaders, he said as the current Saarc chairman the Nepalese prime minister had discussed issues of regional cooperation.

The central theme in talks here was to give an impetus to the efforts of South Asian nations aimed at regional cooperation in economic, commercial and cultural spheres, the spokesman said.

Responding to another question, Masood Khan said “sufficient indication” was available in a recent statement of Indian prime minister expressing his readiness to come to Islamabad for the Saarc summit, and to meet Prime Minister Zafarullah Jamali.

The spokesman expressed the hope that both the leaders would meet on the sidelines of the Saarc summit, but was hesitant to say whether this would immediately lead to resumption of a composite dialogue.

However, he stressed that civil aviation agreement and other confidence-building measures announced by both the countries were not the ultimate; they were supposed to lead to holding of an all-encompassing composite talks on peace and security including Kashmir.

Replying to questions about Afghanistan, the spokesman denied that former Taliban leader Mulla Omar was in Quetta as alleged by Afghan President Hamid Karzai.

He said Pakistan was ready to take appropriate action if Afghanistan shared intelligence information on Al Qaeda and Taliban with it.

The spokesman said Pakistan had been telling Afghan leaders that even if they had faulty intelligence about Mulla Omar or Al Qaeda remnants, they should share with it and Islamabad would take action. He said Afghanistan did not share any intelligence with Pakistan.

Mr Khan stressed the need for improving coordination and for avoiding making public statements because they vitiate the atmosphere.

The spokesman said the British government was “still tight-lipped” in response to Pakistan’s demand for a full report and explanation for bugging Pakistani mission in London.