Pakistani President Pervez Musharraf will stay on as chief of the army staff beyond the date he promised to give up the post, the information ministersaid. Musharraf, a key ally in US President George W. Bush?s ?war on terror?, had previously promised to stand down as army chief by Dec. 31, 2004 in a deal with hardline Islamic opponents in which they allowed legislation through parliament that boosted Musharraf?s presidential powers.

?The president has decided to keep both offices of the president and the army chief beyond December 31,? Sheikh Rashid Ahmed told Reuters. The minister did not offer specific details as to why the president had decided to hold onto the position. ?He has to take many important decisions... war on terror is of course an important issue.?

The military has ruled Pakistan for more than half of the 57 years since the partition of India.

Musharraf said last week the overwhelming majority of Pakistanis wanted him to keep his military uniform. But the decision is likely to infuriate his hardline Islamic and secular opponents in Pakistan?s parliament as well as the Commonwealth. The hardline Islamic groups had earlier threatened to launch a protest movement if Musharraf did not step down as army chief.

But observers say the opposition?s protest is unlikely to pose any challenge to his rule given the parliamentary majority of the pro-military ruling party and its allies.

The Commonwealth, which has only just lifted its suspension of Pakistan which it imposed after the coup, made clear it would not be happy for Musharraf to stay on as army chief. ?...our Secretary-General Don McKinnon has reinforced the expectation of the Commonwealth that there will be a clear separation between the president and the chief of army staff after December 31,? Commonwealth spokesman Joel Kibazo said.

The Commonwealth, which groups mostly former British colonies, readmitted Pakistan in May citing progress on democratic reforms.

But it warned it would consider taking fresh action if Musharraf failed to stand down as army chief. Pakistan will be on the agenda at a Commonwealth meeting in New York this month.

While Western countries have voiced concern over Musharraf?s democratic credentials, the criticism has been muted given his role in helping US forces hunt down members of Afghanistan?s former Taliban government and the al Qaeda militants blamed for the Sept. 11 attacks.

Bullet for bullet

US officials believe al Qaeda leader Osama bin Laden and his close associates may be hiding in the border region between Pakistan and Afghanistan. Pakistani forces have arrested hundreds of Islamic militants and handed them over to the United States over the past three years. Pakistani authorities say a large number of foreign militants including Chechens, Uzbeks and Arabs are holed up around the border. Ahmed reiterated Pakistan?s offer that foreigners would not be handed over to another country if they surrendered, but warned: ?It will be bullet for bullet if they continue their activities.? Islamic militants, angered over Musharraf?s decision to support the war on terror, are blamed for a series of attacks across Pakistan, mainly on Western and minority targets.