Pakistan has denied Indian accusations that it is preparing for war between the nations, saying that it wants further steps towards peace.
The Advani-Musharraf exchange contrasts with recent peace moves
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Pakistani Information Minister Sheikh Rashid Ahmed was responding to comments attributed to Indian Prime Minister Atal Behari Vajpayee on Tuesday that "Pakistan has lost three times in wars. It is preparing to lose a fourth time".
Mr Ahmed said: "We are not preparing for a fourth war against India. We do not want it."
His comments come a day after a sharp exchange of views between Pakistani President Pervez Musharraf and Indian Deputy Prime Minister LK Advani, who are both in London.
Mr Advani forcefully rejected General Musharraf's claim that there was no infiltration by Muslim militants into Indian-administered Kashmir.
Traded allegations
The exchanges of recent days conflict with peace overtures between the two countries that Mr Vajpayee initiated in April.
Mr Vajpayee said he would be willing to discuss all issues of dispute, including Kashmir, over which two of the three wars between Pakistan and India were fought.
Mr Ahmed on Wednesday repeated General Musharraf's argument that the rebellion in Indian Kashmir was an "indigenous movement" and that militants were not entering from Pakistan.
Alleged infiltration over Kashmir's Line of Control has raised tension
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Mr Ahmed said Pakistan desired negotiations towards peace: "This has been our policy and this is what we want."
After talks with UK Prime Minister Tony Blair a day earlier, General Musharraf categorically denied any infiltration, ending with the words, "it's their word against mine; why believe them against me?"
Later, Mr Advani told reporters at the Indian High Commission: "Infiltration continues and terrorist violence continues."
He added: "We want friendship, we want a dialogue. We want to discuss with Pakistan all issues... but this dialogue and this discussion can [only] be purposeful if infiltration stops and the infrastructure of terrorism is dismantled."
BBC Asia analyst Jill McGivering says the traded allegations and denials are not new but the levels of public anger and frustration are worrying.
She says Mr Vajpayee's peace overtures have to be set against his need to win popular support in the run up to national elections, where anti-Pakistan rhetoric is a potent rallying cry.
Conversely, Mr Musharraf is implying he has already gone as far as he can and will not be able to stretch his clampdown on infiltrations much longer.
The diplomacy in London seems to have done very little to break the deadlock, our analyst argues.