RAWALPINDI, Feb 11: President Gen Pervez Musharraf has said that Pakistan and Afghanistan need to continue their joint efforts to combat the menace of extremism and terrorism in order to realize economic potential of the region.

"Extremism and terrorism are stumbling blocks in the way of fast-paced progress and we need to jointly combat this menace," he said during a meeting with Afghan Finance Minister Anwarul Haq Ahadi, who had called on him here on Friday.

The president expressed satisfaction at the growing level of trade between the two countries. He said that Pakistan considered peace and stability in Afghanistan as crucial for the benefit of both countries in the context of economic growth, development of the region and expansion of trade links with Central Asia.

Gen Musharraf said that historic and cultural ties between the two countries would be further strengthened through increased trade and economic cooperation. The governments of Kabul and Islamabad, he said, could steer trade to higher levels by facilitating more cooper-ation between their private sectors.

In this context, he spoke of the initiatives Pakistan had taken in facilitating bilateral trade and economic cooperation with Afghanistan, which included lowering of air freight and railways fare, bringing down duty on the import of Afghan fruit and removal of a number of items from the negative list.

The Afghan finance minister on the occasion said that his country attached great importance to its trade and economic relations with Pakistan. Mr Ahadi, who is heading a four-member delegation, described his interaction with senior finance and trade officials here as positive and forthcoming, a fact which, he added, promised increased bilateral economic cooperation in near future.

He conveyed Afghan President Hamid Karzai's good wishes for Pakistani leadership and people. Mr Ahadi said the Afghan nation was extremely thankful to Pakistan for its economic assistance and providing help for the reconstruction and rehabilitation of their country. The president reciprocated the warm sentiments of the Afghan leadership and its people.