Foreign secretaries from the nuclear-armed rivals held talks in Islamabad on Thursday to review a peace process relaunched in early 2004 and to prepare for a summit in New York this month.

A joint statement on Friday expressed satisfaction at the progress so far and laying out a future schedule for talks.

Indian Foreign Secretary Shyam Saran told a news conference the current dialogue process was proving "a very useful instrument in bridging differences between the two countries".

But he reiterated to President Pervez Musharraf Indian concerns about militant infiltration from Pakistani Kashmir.

"I, of course, drew attention to the fact that on-the-ground infiltration and violence continues and it is our hope that this would subside," he told a news conference after seeing Musharraf.

"I took the opportunity to welcome the recent assurances which had been articulated by the president himself," he said. "We would hope that these commitments are in fact implemented."

Musharraf said he looked forward to talks with Indian Prime Minister Manmohan Singh in New York on Sept. 14 and that their last meeting had created an atmosphere conducive for progress.