India and Pakistan held the first of two days of talks on Tuesday on starting a bus service between the capitals of divided Kashmir, a proposal which could give their peace process a major shot in the arm, officials said. "We had a very good meeting," Pakistani foreign ministry official Jalil Abbas Jillani told reporters after the first day of talks. "We covered a lot of issues. The talks were held in a very constructive and frank manner." An Indian official said New Delhi had proposed passengers should travel with special entry permits, but that they should also carry their passports.