Sunday, January 16 2005 19:32 Hrs (IST) - World Time -

Pune: India and Pakistan could co-operate and emerge as one big economic entity in South Asia despite the Kashmir issue, Union Information and Broadcasting Minister, Jaipal Reddy said in Pune today (Jan 16, 2005).

Delivering the inaugural speech for Indo-Pak Business Summit as part of he 7-day Indo-Pak Reverence Conference, he said the two countries were not paying attention to several economic problems in south-east Asia as their attention was focussed on Kashmir.

Emphasising on reducing the military expenses of both the countries, Reddy said "If both the countries reduce their expenses on Defence by fifty per cent, then the poverty in India and Pakistan could be eliminated in five years as the funds saved could be spent on development".

"If the US reduces its expenses on armament by fifty per cent then poverty of the whole world would be eliminated," he said on a lighter vein.