According to a release from the Ministry of Foreign Affairs, he made the remarks while visiting the Foreign Office on Thursday, shortly after the Indian government for the first time directly accused Pakistan's army of involvement in an ambush that killed five Indian soldiers on Monday in Kashmir.
Nawaz, during the briefing, emphasised that the existing military-to-military channels could be more optimally utilised to prevent misunderstanding and not allowing situation to escalate.
Despite the comments from the Indian side in the wake of an incident on the LoC which saw five Indian soldiers being killed, the prime minister said Pakistan is prepared to discuss steps with India for further strengthening of existing mechanisms, both, at the political and military levels.
Nawaz said that it was imperative for both India and Pakistan to take effective steps to ensure and restore ceasefire on the LoC.
India's Defence Minister AK Antony said specialist Pakistani troops had been involved in the attack and hinted at stronger military action. The Pakistani high commission in New Delhi was nearly stormed on Wednesday after protesters became violent.
But Pakistan has largely desisted from participating in a tit-for-tat media campaign.
Instead, Nawaz said that it was incumbent upon the leadership of both sides not to allow the situation to drift and to take steps to improve the atmosphere by engaging "constructively with a view to building trust and confidence."
And despite the accusations, the premier said that he was looking forward to his meeting with Prime Minister Manmohan Singh on the sidelines of the United Nations General Assembly in New York where he hoped to discuss steps to further "build trust and consolidate this relationship."
The picturesque Himalayan territory is divided between India and Pakistan by the UN-monitored Line of Control, but is claimed in full by both countries.
Pakistani military officials earlier Thursday accused Indian troops of opening fire and seriously wounding a male civilian along the heavily militarised Line of Control.
They said Indian troops opened fire at around 8:30 am (0330 GMT) in the Tatta Pani sector, seriously wounding one civilian who was evacuated to a military hospital.
Pakistan denied any part in Monday's incident. But India has lodged an official protest with Islamabad over what is one of the worst losses of life for Indian troops since the 2003 truce.
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He should also pay attention to the targeted killing of 13 punjabi passengers by baloch terrorists in balochistan that took place yesterday.
@indi: lets see.
@Shahzad: Why do you limit to another five. Why not five hundred or five thousand to cool your rage. Shining example indeed.
@Shahzad: This is exactly the attitude that has made Pakistan what it is today. If the Indian Army responds, you will see Nawaz in the US pleading Obama to mediate.Remember during Kargil, India left you with just 6 days worth of fuel to survive on. With a dwindling economy, floods & rampant terrorism you should welcome this initiative from Nawaz & remember to muzzle that dog of yours at the border.
@indi: And we have no hope from your side either. Who knows if it was a part of your government's strategy to distract your people from current internal issues?
@Shahzad...just has daily slaughter is bringing peace in ur country. i am sure u will see more of these peaceful days ahead also.
"Mere Aziz Humwatano" coming to a theater near you.
And this very apologetic attitude of our leaders allows India to go bonkers. Sir, we also want peace and dialogue with India but not this way. I think killing 5 more of their soldiers would be a better response.
No one country in the world who believes pakistani trust no even China and all due to typical pakistani attitude.Just for one example Nawaz/musharraf one day told that "pakistan is not involved in Kargil" so after Kargil war pakistani trust was revealed.so enough is enough. pakistan think himself as a trustful country but by no means acceptable for India.