India and its neighbours have reached a tentative agreement to jointly fight terrorism in Kashmir and have agreed to establish a new border crossing, according to Indian media reports.
The agreement will also see the return of thousands of migrants from Pakistan, which has been holding back hundreds of thousands since its withdrawal from the region in November last year.
India and Pakistani officials have been trying to reach an agreement on the reopening of the border for almost a year after Pakistan and India claimed Kashmir for the past 25 years.
But negotiations have been ongoing for months and have failed to reach a breakthrough.
The Indian government, however, said that there was no end to the border conflict.
Indian Prime Minister Narendra Modi is due to meet his Pakistani counterpart Nawaz Sharif in Islamabad later this month to discuss the latest developments in the Kashmir conflict.
He has been pushing for the return to the pre-Srinagar days of the ceasefire that ended the violence in 2014.
The peace deal comes as India’s military, which is fighting in the disputed Kashmir region, has been trying for more than a year to regain control of the area.
However, the ceasefire failed to stop a string of militant attacks by Pakistani Taliban militants on Indian border posts in the region.
More than 150 people were killed on July 10, 2016, when Indian troops opened fire on Pakistani border posts at Chilaf and Mir Ali areas.
Indian forces have been engaged in an increasingly tense standoff with Pakistani forces in Kashmir, as well as in the eastern state of Jammu and Kashmir, which borders Pakistan.
They have been carrying out a series of raids in the area, including on a mosque in Mir Ali town in the town of Uri, killing three Pakistani security personnel and wounding five.
The attack in Uri was blamed on the Pakistani Taliban.
In August last year, an Indian soldier was killed when the Pakistani army opened fire in a village in Uri.
In September last year an Indian army officer was killed in a gun battle with militants in Uri, while three militants were killed and eight injured in another attack in the same village.
A similar encounter in June last year saw at least 10 militants killed.