The Centre favours a dialogue with Naxals, but with caution and will not be rigid in talks with the All Parties Hurriyat Conference in Kashmir.

The government also feels that the Ayodhya issue should be resolved by courts, but if a settlement is reached outside it should have judicial approval.

"The Centre favours talks but with some precautions with Naxalite groups and its steps will only strengthen peace and not militancy," Home Minister Shivraj Patil told PTI on Sunday.

In Jammu and Kashmir, he said the Centre does not have any rigid stand on talks with separatist groups and would talk to Hurriyat Conference with an open mind.

There would be no conditions in talks with Hurriyat 'except that I will be talking within the four walls of the Constitution', the home minister said.

Referring to the unconventional forms of terrorism as the "problems of tomorrow", Patil said scientists and experts from within and outside the country were formulating India's response to biological, chemical and other non-conventional forms of terrorism.

The minister said the United Progressive Alliance government was keen on debarring "criminally inclined" persons from contesting elections and was contemplating convening an all-party meeting to arrive at a consensus.

"Our intention is to see that criminally inclined persons should not be allowed to contest elections. But in what fashion that has to be done has to be decided by all of us," he said.

On administrative reforms, Patil said government recognises a need for them and may appoint a commission to suggest measures to streamline the bureaucracy.