Pakistani Prime Minister Yousaf Raza Gilani welcomed his Indian counterpart's statement that dialogue between their countries is the only way forward.

Gilani said Manmohan Singh had rightly emphasized the importance of honorable settlement of the outstanding issues between India and Pakistan, the state-run Associated Press of Pakistan reported.

The Pakistani leader was referring to Singh's statement in Parliament in New Delhi Wednesday while defending his July 17 joint statement signed in Egypt with Gilani on resumption of bilateral talks suspended since the Nov. 26 terror attacks in Mumbai in which more than 160 died.

"I say with strength and conviction that dialogue is the best way forward," Singh was quoted as telling Parliament. "The harsh reality of the modern world power structure is that when it comes to matters of our own self interest … we have to help ourselves."

Singh has come under intense criticism at home from the media and from the opposition that the joint statement had detached the key issue of terror from resumption of talks. India has charged the Mumbai attacks were planned in Pakistan and that the talks cannot resume until the perpetrators are brought to justice, APP said.

"We had useful talks and a good meeting of minds," Gilani said. "We had agreed that terrorism was a common threat. We also agreed that dialogue is the only way forward."