The Prime Minister said this while talking to President Azad Jammu & Kashmir (AJK) Raja Zulqarnain Khan, who called on him at Prime Minister House.
Prime Minister Gilani apprised Raja Zulqarnain of his meeting with the Indian political leadership.
"During the recent meeting in Mohali, I discussed all issues, including Kashmir with Indian Prime Minister Dr Manmohan Singh and Chairperson of Congress Sonia Gandhi," he added.
The Prime Minister said that the resolution of dispute in accordance with the United Nations resolutions and the wishes of the Kashmiri people could help efforts for peace and economic prosperity of the South Asian region.
The Prime Minister said that the development of Azad Kashmir was priority of his government. The continuity of democratic process and the strengthening of institutions will be a step towards the AJK development, he observed.
The AJK President discussed matters relating to compensation and resettlement of families displaced due to the raising of Mangla Dam.
He observed that the test filling of Mangla Dam to its full capacity in the near future was crucial keeping in view the expiry of contractor's liability by the end of this year.
He invited the Prime Minister to visit Azad Kashmir to inaugurate King Abdullah University campuses in Muzaffarabad and Rawalakot. He also asked the Prime Minister for provision of gas supply for the industrial area of Mirpur.
The President appreciated Pakistan's support for the rights of the people of Kashmir.
He also briefed the Prime Minister about progress on the ongoing development schemes. They discussed reconstruction and rehabilitation projects for the flood affected areas of Azad Kashmir.
Matters pertaining to judicial appointments in Azad Kashmir to ensure early disposal of pending cases in the courts were also discussed in the meeting.-APP