India and Pakistan on Wednesday agreed to free all fishermen as also prisoners in each other's custody who have completed their sentences by August 14-15 when the two neighbours observe their Independence Days.
At the end of Home Secretary level talks during which India raised its concerns on terrorism and fugitives, it was agreed that "effective and sustained" measures would be taken to combat the menace.
"It was agreed that terrorists and criminals in either countries would be effectively dealt with," a statement issued after talks between Home Secretary Madhukar Gupta with his Pakistan counterpart Syed Kamal Shah, in New Delhi said.
It was agreed that cooperation would be enhanced between CBI and its Pakistani counterpart Federal Investigation Agency (FIA) in the areas of human trafficking, illegal immigration and counterfeit currency.
The nodal points in both the agencies will meet periodically to facilitate early disposal of Interpol related cases.
Shah cut short his visit and left for Islamabad early on Wednesday morning in the wake of bloody clashes between militant students and security forces at Lal Masjid in Pakistan's capital.
The two sides decided to free fishermen in each other's custody "on completion of due process" and initiate immediate steps to release fishing boats, excluding trawlers, which had strayed into their territorial waters.