Pakistan and Australia on Wednesday signed an agreement on counter-terrorism in a bid to rein in militant activities and the Al Qaeda [Images] network.

The memorandum of understanding was signed in the presence of visiting Pakistani President Pervez Musharraf [Images] and Australian Prime Minister John Howard.

Pakistan is the 11th country to sign such a pact with Australia since the September 11, 2001 attacks on the United States as Canberra continues to build regional cooperation against what it describes as a 'scourge of terrorist networks'.

The MoU envisages joint training exercises between the security forces of the two countries as well as sharing of sensitive information.

Howard expressed appreciation for Musharraf's role in warming of ties between India and Pakistan.

"Both countries have long historical ties with Australia. We have much in common and we look forward to a consolidation and a continuation of that process," Howard, who will visit New Delhi next month, told reporters.

Musharraf, who is the first Pakistani head of state to visit Australia, said he had briefed Howard and other cabinet members on his government's efforts to counter militancy.

"We did highlight our role in countering terrorism and our successes in neutralising and marginalising Al Qaeda in Pakistan," he said.