ISLAMABAD, Nov 27: Prime Minister Shaukat Aziz has said Pakistan will continue to enhance defence capabilities of its armed forces to ensure peace and stability in the region.

“Pakistan does not have aggressive designs against any country and believes in peaceful settlement of international disputes and good relations with all countries,” he said while chairing a meeting of the Cabinet’s Committee on Defence here on Monday.

“Pakistan's defence policy is in conformity with the prevailing geo-strategic environment and measures up to its national inspirations,” he said.

The prime minister said the government was fully cognizant of the country's defence needs and would make all resources available to modernise and upgrade its defence forces in view of the fast-paced ongoing technological developments.

“Strong defence is the ultimate guarantee to peace,” he said.

He said Pakistan was proud of its armed forces for ensuring peace in the region and for their role in alleviating the sufferings of the people affected by the October 8 earthquake.

Mr Aziz said that Pakistan was keen to settle all disputes with India in a peaceful manner, including the issue of Kashmir.

“Without an early settlement of the Kashmir dispute in keeping with the wishes and aspirations of the Kashmiri people, peace in South Asia will continue to elude us,” he said.

The committee approved the second phase of the Jinnah Naval Base at Ormara and said that necessary funds would be provided to complete the project.

Later, the foreign secretary briefed the committee on the geo-strategic situation, his recent visit to India and the ongoing process of composite dialogue with it.