Bharatiya Janata Party on Wednesday demanded that Prime Minister Manmohan Singh take into confidence opposition parties on the steps being taken by the government to initiate efforts to bring peace in Jammu and Kashmir.

Addressing a press conference in New Delhi, BJP general secretary Arun Jaitley also demanded that the PM convene an all-party meeting to discuss the matter.

He said security agencies should keep the government updated about the threat perception from terrorists.

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"While we welcome the steps taken by Prime Minister Singh to bring peace to the state, the government should not lower its guard while taking crucial decisions like troop withdrawal," he said.

He expressed concern over the terrorist attack in Srinagar on Wednesday morning, a few hours before the scheduled visit of the PM. The security forces killed two militants in a gun battle.

"The attack took place barely a few hundred metres from the place where Prime Minister Dr Singh was to address a public rally. The terrorists came within handshaking distance [of the prime minister] before being neutralised by security forces. This is a matter of grave concern. This is the second incident that has taken place in two days. On Tuesday, six persons who were helping in counter-insurgency operations were killed by terrorists," he said.

He refused to comment on the government's decision to reduce forces in the valley, particularly in view of Wednesday's attack. "Troop movements and their deployment are operational matters and we have nothing to say in this matter," he said.