Contending that "rigidity and violence" must give in to "flexibility and positive engagement", for success of the Indo-Pak peace process, Pakistan President Pervez Musharraf [Images] Saturday said it is essential to create an "enabling environment" to find an "out of box solution" to the Kashmir issue.

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"We are engaged in a sincere and purposeful dialogue with India to resolve all outstanding issues for bold decisions and out of box thinking to resolve this dispute," he said in a message to mark the annual Kashmir Solidarity Day to be observed by Pakistan Sunday.

"An enabling environment is necessary for the success of the peace process. Rigidity and violence must give way to flexibility and positive engagement," he said in a statement.

"Given sincerity, courage, flexibility, we can work for a solution of the Kashmir dispute that is acceptable to all parties especially the Kashmiri people, Pakistan is prepared to show flexibility provided there is reciprocity from the other side," he said.

Pakistan would observe the Kashmir Solidarity Day Sunday to highlight its stand on Kashmir with special functions, rallies and meetings.

In his message, Musharraf stressed the need to end violence and human rights violations in Jammu and Kashmir [Images] and reiterated his proposal of demilitarisation in the region.