Dhaka: Observing that the process of composite dialogue and CBMs (Confidence Building Measures) has resulted in "appreciable improvement" in the regional atmosphere, Pakistan Prime Minister Shaukat Aziz has said that his country hopes to open a "new chapter" in its relations with India.

The Indo-Pak relations have witnessed a "positive evolution" and Pakistan hopes to start a "new chapter" in its relations with India, Aziz, currently visiting Bangladesh as the SAARC (South Asian Association for Regional Co-operation) Chairman, said at a banquet hosted by Bangladesh Prime Minister Khaleda Zia in Dhaka last night.

"The process of confidence-building measures and composite dialogue has resulted in an appreciable improvement in atmospherics. We are sincerely committed to resolving all outstanding issues, including that of Jammu and Kashmir, peacefully through dialogue," he said.

Aziz said the peace process has also had a definitive impact on SAARC and brightened the prospects of regional cooperation.

"Pakistan believes that a process of building confidence, assuring security, resolving disputes peacefully, and ushering in mutually beneficial cooperation on the basis of the sovereign equality needs to be instituted in South Asia," he said.

"We look forward to passing the SAARC baton to Bangladesh at the Dhaka summit (in January next year) and assure you of our fullest cooperation in making our next summit a great success," he said.