Speaking to Pakistani journalists after a three-hour meeting between United States President Bill Clinton and Prime Minister Nawaz Sharif here, he said the fighting had involved loss of human lives on the hills and harmed the peace process.

The spokesman did not share the view that their withdrawal would demoralise the militants active in other parts of Kashmir. ``Our position is that the mujahideen, against whom India has unleashed its military might, have drawn the attention of the world to their cause. The international community is now focusing on the core issue of the conflict and urging for its resolution. The international media has also highlighted the Kashmir issue,'' he added.

Meanwhile, speaking to BBC World TV,Pakistan Foreign Minister Sartaj Aziz today said some progress on the Kashmir issue was needed to persuade the militants to withdraw. ``If the mujahideen or the freedom fighters, as we call them, are going to be persuaded to withdraw, then they obviously would do so if the world is paying some attention to their concerns and their right of self-determination,'' he said, speaking in Washington.

Aziz said their cooperation could be won if the world showed interest in resolving the ``dispute'' over the region. ``If there is greater attention and willingness to deal with their longer-term concerns... then obviously they would be prepared to wait or try to cooperate in any dialogue process.

``If not, they would not obviously respond to our appeal... because they say they have a right to be in Kashmir and they are fighting for their right of self-determination. So I think this assurance of some progress on Kashmir will give greater weight to an appeal that we may make to them,'' he said.

Aziz said the mainaim of Sharif's visit to Washington was to draw US and world attention to what Pakistan calls the ``core dispute'' bedevilling Indo-Pakistani relations. He said another Pakistani goal in the talks was to avoid another war with India.

Whatever be the Pakistani gameplan, the militants seem to be in no mood to withdraw. A militant group in Islamabad today warned Sharif against making any deal on Kashmir. ``A government which betrays the Kashmir cause cannot stay in power,'' said Fazl-ur Rehman Khalil, Chief of Harakat-ul-Mujahideen, a key guerrilla group fighting in Kargil. ``The masses will not tolerate such a government that succumbs to western pressure,'' he said.

Several years ago Harakat-ul-Mujahideen, formerly known as Harakat-ul-Ansar, was declared a terrorist group by the US.

Another leading militant group, Lashkar-e-Toiba, also refused to pull out. ``Pakistan may withdraw but the mujahideen will not,'' Hafiz Mohammad Saeed, central head of the Lashkar-e-Toiba, told reporters. Saeed said Sharif didnot speak for his organisation. ``This is our work after 10 years of sacrifice. He has no right to assume responsibility,'' Saeed said.

``And if he (Sharif) does that he would lose his trust as people are fully behind the mujahideen. This will become a problem for him politically. It is quite obvious that Nawaz Sharif was unable to truly represent his people in Washington.''

Al-Badr Mujahideen, another group of militants, has also issued a stern warning to Sharif saying the Pakistani nation would not allow the Prime Minister to return from the US if he agreed to any ``sell-out'' on Kashmiri martyrs. A spokesman of Al-Badr, commenting on reports from Washington about the Clinton-Sharif meeting, said the freedom fighters would not tolerate anyone who betrayed the martyrs.

The main Islamic Opposition group too rejected Pakistan's agreement to restore peace on the LoC. ``Nawaz Sharif has let down the army and the mujahideen and has dashed the hopes of 140 million people of Pakistan. He will not escape fromthis,'' said Munawwar Hassan, acting leader of the Jamaat-e-Islami party.

``This is total surrender from a leader who still has no clue about what is happening in Kashmir except meeting with Vajpayee, where Kashmir was not a subject of discussion.

``He has betrayed the entire national stand and the voice of the people and we are giving a call that tomorrow there should a Black Day observed all across Pakistan and it should continue.''

Jamaat-e-Islami is a vocal critic of Sharif's meeting in February with Vajpayee which led to the Lahore Declaration.

Meanwhile, former chief of the Inter Services Intelligence, lieutenant-general Hamid Gul (retd) has said Sharif has risked ``considerable danger'' to his political future by agreeing to a withdrawal of militants. ``This is not practical, this is unrealistic,'' he said. ``It is not going to push the chances of war back, but will rather bring them closer. This cannot be implemented.''

Asked if the agreement posed political danger to Sharif's government, hesaid: ``I think there is a considerable danger because I think Sharif has scuttled his own mandate by going against the wishes of the nation.''

Gul said it would be ``extremely wishful'' to push the Kashmiris in this direction, ``now when the ground reality is shifting in favour of... their liberation''.

But the markets reacted favourably. The Karachi Stock Exchange, the country's biggest bourse, closed three per cent up on the news as traders were encouraged by the news from Washington. The Pakistani Rupee too strengthened against major foreign currencies in the open market reacting to the belief that a major war with India may have been averted.