The statement came at the end of two-day talks in Islamabad between top officials of the home ministries held as part of a peace dialogue between the South Asian rivals.

"Both sides agreed that fishermen and civilian prisoners, who have completed their prison sentences and have been granted consular access, and whose national status has been verified, would be released by 30 June 2006," it said.

The statement did not give any number of such prisoners.

It said the two countries also agreed to exchange lists of civilian prisoners by June 15 to facilitate consular access to them by July 31 and their subsequent release.

Agreement was also reached on early release of inadvertent border crosses including minors, senior citizens and disabled persons, who are not involved in specific cases.

The statement said the two sides reiterated their "commitment to fight terrorism in all its forms and manifestations, and re-emphasized the need for effective steps for the complete elimination of this menace".

The two sides vowed to pursue "effective and sustained action against the terrorists".

The statement said the two countries would immediately notify of arrests of each other's nationals and grant consular access to them within three months.

India and Pakistan have fought three wars since their 1947 independence from the Britain, two of them over Kashmir.

The bitter rivals are engaged in a slow-moving peace process begun in January 2004.