seek peace, stability, cooperation and economic development in the sub-continent.
"We attach the highest priority to relations with our immediate neighbours. With Pakistan, we have made progress towards normalization of relations, strengthening mechanisms for bilateral trade and facilitating greater people-to-people contact," Mukherjee said.
In an apparent reference to the recent beheading of an Indian soldier on the Line of Control, he said while India remained committed to taking the process forward, "it is also important that Pakistan abides by its commitments and desists from acts that contribute to a trust deficit".
He said the government proposes to introduce a Constitutional Amendment Bill in Parliament to give effect to the provisions of the Land Boundary Agreement with Bangladesh and its 2011 Protocol, which will strengthen border management and security.
The President said the government was making progress in the engagement with Sri Lanka, including in efforts to resettle and rehabilitate the internally displaced persons there and to ensure a life of peace, dignity and equality for the Tamil people.
Mukherjee said India will work with the new Chinese leadership to reinforce the positive direction of our relationship.