Pledging to wage an all-out war for a permanent end to terrorism, Pakistan President Pervez Musharraf on Saturday said the composite dialogue process with India will be pursued with sincerity and good intentions to find a peaceful solution to the Kashmir problem.

Addressing a joint session of the national assembly and the senate, Musharraf said: "Any agreement [on Kashmir] should be pursued with good intentions and sincerity keeping in mind the aspirations of the people of Kashmir to take this process forward."

In an apparent reference to the Indian charge of cross-border terrorism, Musharraf said: "There are allegations being levelled against us with regard to Kashmir. To get out of this...we have to find a peaceful and justifiable solution to the Kashmir issue."

The Pakistan president's address began an hour behind schedule. Throughout the 35-minute address, the opposition raised slogans against him and his government.

Asserting that Pakistan is determined to root out terrorism permanently, Musharraf appealed to the people to wage a 'jihad' against those indulging in extremism and sectarian violence.

He said that a majority of the Pakistani people are moderates, but there is a section which is "wrongly interpreting Islam for their ulterior motives" and trying to mislead the people with their "narrow and sectarian perceptions. Such sections weaken the country from within."

Musharraf said: "Far-reaching and important decisions" will have to be taken to meet the grave challenges facing the country. "Otherwise the nation will have to pay dearly."