NEW DELHI -- Indian Prime Minister Atal Behari Vajpayee said on Monday he would soon visit the troubled state of Jammu and Kashmir where he said the situation had improved following changes in Pakistan.

"Things have taken a turn. Changes in Pakistan have had an impact on the situation in Jammu and Kashmir. It has had a favorable impact. We must take advantage of it," Vajpayee told Parliament, Reuters reported.

Pakistan has banned two guerrilla groups operating in Kashmir as part of a pledge to fight terrorism and the number of militants crossing into India from Pakistan has dropped, although Indian officials say this may be due to heavy winter snow.

But the two nuclear capable nations remain locked in a dangerous military standoff along the border stretching from Kashmir to the Arabian sea in a crisis triggered by an attack on the Indian Parliament in December.

India has said its forces will stay on alert on the border until Islamabad halted the flow of militants into Muslim majority Kashmir and handed over 20 men including Kashmiris and Sikhs suspected of terrorist acts in India.

Vajpayee, who last visited Jammu and Kashmir in August, 2000, said he would be accompanied by Home (Interior) Minister Lal Krishna Advani and Defense Minister George Fernandes.

"We will study the situation, we will hold consultations on what kind of strategy to adopt," Vajpayee said, but did not say when he intended to make the trip.

More than 33,000 people have died since the revolt erupted in the scenic Himalayan region towards the end of 1989. Separatists put the toll closer to 80,000.

Vajpayee vowed state elections set for later this year in Kashmir would be free and fair after allegations earlier polls had been rigged.

He urged all groups to take part in the election for the Kashmir state assembly.

"Those who claim to represent the people must come to the (political) battlefield to show their worth," he said.

Kashmir's main separatist alliance, the all parties Hurriyat (freedom) Conference, which has been seeking implementation of a 1948 UN resolution for a plebiscite to decide if Kashmir should be folded into India or Pakistan, has said it will not take part in the election.

Hurriyat, which bands two dozen religious, social and political groups, said it would conduct its own elections in the Indian and Pakistani parts of Kashmir to choose true representatives.

India rules about 45 percent of Kashmir, Pakistan a third and China the rest.