India ready to discuss all issues with Pak: SM Krishna

India is willing to discuss everything with Pakistan in a "step-by-step" approach to resolve differences with the neighbouring country, external affairs minister SM Krishna said today.

"We have nothing to be afraid of... Let the nation understand India is willing to discuss everything," he said in the Rajya Sabha during the question hour.

He said that India favours a graduated and step-by-step approach in resolving differences with Pakistan, but cross-border hostilities will have to cease.

Referring to the controversial statement of home secretary GK Pillai, around the time of Krishna's recent visit to Islamabad, the external affairs minister said it was a "reflection" of what LeT operative David Headley had revealed to the FBI.

Ahead of the recent foreign ministers' talks in Islamabad, Pillai had said Pakistan's ISI had a hand in the Mumbai blasts.