At least 165 people were killed in the 60-hour siege in India's financial capital in which 10 gunmen targeted multiple locations in Mumbai, including two luxury hotels, a railway station and a cafe.

''The attack resembles the Mumbai attacks,'' chief of police in Punjab province, Khaled Farooq, said in Pakistan's eastern city of Lahore after yesterday's attack.

''That was also a commando action and this is also a commando operation,'' Mr Farooq said when asked how the attack resembled Mumbai.

''They were trained terrorists and they attacked in a planned manner ... The attackers looked like Pashtuns,'' Mr Farooq said, hinting that those behind the assault may have links to Pakistan's north-west tribal areas.

Hundreds of Taliban and al-Qaeda fighters are hunkered down in north-west Pakistan, just across the border from Afghanistan, where they have been fighting against Pakistani security forces.

''Pakistan is fighting the war against terrorism. It was a targeted killing in which luckily the Sri Lankan team survived,'' Mr Farooq said.

Commissioner of Lahore Khusro Pervez said, ''It appears that the attackers were fully trained and they used lethal and sophisticated weapons.''

India denounced as ''hopelessly inadequate'' Pakistani security after the attack.

The Indian Government said the incident proved Pakistan was doing nothing to combat known militant networks.

Foreign Minister Pranab Mukherjee said, ''It reminds us it is the responsibility of the incumbent Government to take all precautions and all steps, particularly when the international community wants member countries to take certain positive steps to fight against terrorism.

''Unless infrastructure and facilities available to terrorist organisations within Pakistan or territory under its control are completely dismantled ... repetition of these incidents will take place,'' he said. AFP