Islamabad, July 30 - Pakistan's Prime Minister Yousuf Raza Gilani has lauded his Indian counterpart Manmohan Singh after positive remarks by the Indian premier in parliament on the peace process with Pakistan.

Gilani praised Manmohan Singh 'for his bold vision of peace and prosperity in South Asia and the statesmanship he demonstrated', the Nation newspaper reported on its website Thursday.

Gilani said: 'At Sharm-el-Sheikh, we had useful talks and a good meeting of minds. We had agreed that terrorism was a common threat. We also agreed that dialogue was the only way forward.'

Reciprocating the sentiments for peace expressed by the Indian prime minister, Gilani said Manmohan Singh had 'rightly emphasised the importance of honourable settlement of the outstanding issues between India and Pakistan'.