"If Pakistan were to launch surgical strikes, India would not be able to forget it for generations to come," General Sharif said just days before his scheduled retirement.
"India would be teaching its children as part of syllabus what a surgical strike means if Pakistan launched such strikes," he said.
He also dismissed India's assertion that it had carried out surgical strikes in Pakistan. He said that Pakistan army was capable of teaching Indian forces a lesson.
He said he would dedicate his life after retirement for the welfare of the families of martyrs of the armed forces.
Earlier, Prime Minister Nawaz Sharif said Pakistan will not tolerate "deliberate targeting" of civilians particularly children and women, ambulances and civilian transport.
"Pakistan has exercised maximum restraint despite continuing ceasefire violations from Indian security forces along LoC," he said at a cabinet meeting which reviewed the situation along the LoC.
According to a statement issued by his office, Sharif said Kashmir issue "is an unfinished agenda of the partition" and vowed to continue support to the people of Kashmir.
"We will never abandon our Kashmiri brethren in their freedom struggle," he said.
The meeting re-affirmed Pakistan's "political, diplomatic and moral support" to the people of Kashmir "in their just and legitimate struggle for the exercise of their right to self-determination in accordance with the UNSC resolutions", his office said.
The meeting urged the international community to take note of the increasing number of civilian casualties. It also called upon the international community to play active role in diffusing the deteriorating security situation along the LoC.
"We are not worried about India at all," he said, speaking at the 9th International Defence Exhibition and Seminar in Karachi. He said it is better if India showed restraint and solved the Kashmir issue to prevent escalation of tension.
"India should show restraint and instead solve the issue of Kashmir as that would be better for them," he said.
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