ISLAMABAD -- The latest indications of an emerging peace process between India and Pakistan, South Asia's two nuclear armed neighbors, have momentarily brightened prospects for stability across the region.

The decision by India and Pakistan to exchange ambassadors -- who were withdrawn at the height of last year's intense military standoff -- and restore normal diplomatic ties has been followed by conciliatory statements from both countries' prime ministers.

But India and Pakistan also carry immense historical baggage, prompting skeptics to argue that what looks like an emerging peace process will probably fizzle out. In 1999, just months after Atal Bihari Vajpayee, the Indian prime minister, traveled to Lahore, Pakistan, the two countries became locked in a miniwar along the Kargil region of Kashmir, the disputed Himalayan state claimed by both countries.

In 2001, the Pakistani president, Gen. Pervez Musharraf, traveled to Agra, India, amid expectations of a bilateral agreement marking the first step in building peace. Musharraf returned home empty-handed when the expected agreement fell apart at the last moment.

Underscoring prevailing frictions is the fact that the two countries have fought three wars in their 56-year history since gaining independence from the British Raj.

Another peace process will need the support of the world community. Leaving the Indo-Pakistani conflict unresolved will neither reduce the fears of a nuclear exchange in South Asia nor help allay global security concerns about nuclear proliferation. Success of a new peace process will depend on developments in three areas:

First, for Pakistan and India, the most significant obstacle to improved relations is the conflict over Kashmir. If, however, there were a global emphasis on solving this dispute through diplomatic pressure along with incentives in recognition of progress, India and Pakistan in time might well have a chance to break fresh ground. Several formulas for a solution have been suggested, but the key to a resolution lies primarily in the political resolve of both countries to reach a settlement rather than in their initial agreement on the outlines of a peace plan.

Second, as Pakistan and India begin a new peace journey, their relations need to diversify into expanded trade and economic ties, which continue to be far too modest for neighbors. In the past, India, the largest South Asian economy, keenly pressed for expanded economic ties, while Pakistan was reluctant because of concerns it would be overwhelmed. These anxieties pose continuing hurdles unless political issues are addressed first.

Finally, the global community must begin to tackle the economic predicament of a region with a population of well over 1 billion. Although India and Pakistan have acquired nuclear weapons, they are home to vast numbers of impoverished people. Many suffer due to the inability of their governments to assist them with basic needs. It's not surprising in such an environment that hardline nationalism has flourished in both countries for the past two to three decades as militant groups become increasingly robust participants in mainstream politics, making peace-building difficult.

Reversing these trends won't be easy and not possible in the short term. The global community's best prospect for assisting with peace-building in South Asia must be to step up the pace of support for antipoverty measures and ways to rejuvenate the social sectors.

Every child who goes to school and receives medical care with the prospect of being employed one day could be a child less inclined to follow a militant cause.

The new peace process may amount to either another futile effort or the first step of a success story. Even a slightly better hope for peace in South Asia is reason enough to press ahead with intense diplomatic efforts.

It's too early to predict the outcome of the newly emerging Indo-Pakistani peace round -- except to predict that countries that are engaged in a peace process will find it difficult to embrace conflict as the primary course for a policy choice.