The State Department said the resumption in train service between the countries, along with the decision this week to increase staff at their respective embassies, were "remarkable developments" and evidence of "political courage" by the leaders of both countries.

"We've welcomed certainly the political courage that's been exhibited by leaders on both sides and the actions that they've taken recently to really bring about some remarkable developments in relations," spokesman Richard Boucher said.

"We welcome the confidence-building steps that are being taken with trains and sizes of diplomatic missions," he told reporters ahead of a visit here next week by Indian Foreign Minister Yaswant Sinha.

"We think that resuming transportation links will allow family members to meet and to improve people-to-people ties and that expanded diplomatic links help the countries address the complex agendas that they face," Boucher said.

Earlier Thursday, the first train between India and Pakistan in two years trundled across the heavily-militarized border, the latest move by the fractious South Asian giants to ease long-standing tensions that veered close to a feared nuclear war in 2002.

A day earlier, India and Pakistan said they had agreed to increase the size of their embassies and remove travel restrictions on their diplomats as part of the warming trend.

The rapprochement picked up steam last week when the two countries agreed to resume a dialogue over numerous contentious issues, including the 56-year old territorial dispute over the Himalayan region of Kashmir, which has led to two of the three wars they have fought since independence in 1947.

In addition to praising those moves, Boucher also sought to play down the apparent impression among some in South Asia that the United States is seeking to claim credit for the improvement in relations.

In particular, he said Indian Prime Minister Atal Behari Vajpayee and Pakistani President Pervez Musharraf had acted boldly in seeking to repair relations.

"They've taken initiatives with each other," Boucher said. "They've reciprocated initiatives from each other. They deserve the credit for taking these steps."

"What India and Pakistan have done to reduce tensions and now to seek some progress in their relationship is a matter that's deserving of the praise of all of us and it's something that we have commended," he said.

"We'll continue to work with them if we can contribute to that process."

In an interview with the Financial Times newspaper published on Thursday, Sinha denied that pressure from any third party had been responsible for the improvement in India-Pakistan ties.

"People in India and Pakistan would not like to think this (peace process) was the result of any third party pressure -- and it is not even true," he told the paper.

India has been steadfastly against any foreign intervention in the Kashmir dispute.

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