ISLAMABAD, April 9: President Gen Pervez Musharraf and Norwegian Foreign Minister Jan Peterson discussed the situation in Afghanistan and the prospects of Pakistan-India dialogue here on Tuesday.

On a day’s visit to Pakistan, the Norwegian foreign minister also held a meeting with Foreign Minister Abdul Sattar at the ministry of foreign affairs.

Speaking at a press conference prior to his meeting with the President, Mr Peterson said the Norwegian government was finalizing a $30-million-debt swap for Pakistan.

In addition to the debt swap, Norway would give a one year grant of seven million dollars to Pakistan for strengthening processes of democracy, human rights and education.

Mr Peterson discussed with Pakistani officials the debt issue and it was agreed that the commercial loan of $30 million would be swapped for development schemes.

Replying to a question about holding of referendum by Gen Pervez Musharraf, he said Norway supported the transition to democracy and was looking forward to parliamentary elections.

“The transition to democracy is important and we are supporting it.”

Referring to his meeting with Mr Sattar, he said a number of issues, including Kashmir and the situation in the Middle East, had come under discussion.