"The two sides have agreed to revive Track-II dialogue to explore ways of resolving issues that have been lingering on for a long time and need to be resolved in order to give peace a chance," Adviser on Foreign Affairs and National Security Sartaj Aziz said.
Diplomatic channels from both the countries will work out on the details to revive the Track-II dialogue, Dawn online reported.
The two sides will now give a fresh start to the informal dialogue.
The Track-II - an unofficial dialogue involving private individual, mostly retired officials, to resolve conflicts - has long been part of the peace process between Pakistan and India and complemented the official dialogue.
Kashmir and other outstanding issues will be taken up for discussion.
This development has come after Indian Prime Minister Narendra Modi met his Pakistani counterpart on the sidelines of the Shanghai Cooperation Organisation (SCO) Summit in Ufa, Russia on July 10.
The meetings agreed in Ufa include a dialogue between the two countries' national security advisers on terrorism and talks at the level of directors general of the Indian Border Security Force and Pakistan Rangers and the military operations on enforcement of ceasefire along the LoC and Working Boundary.