Indian Prime Minister Narendra Modi on Saturday threatened Pakistan of "isolating it in the entire world" — the latest episode of his anti-Pakistan hate-mongering despite calls for restraint amid heightened tensions between the two countries.

"The time will come when we will have completely isolated Pakistan," he said.

Spewing hatred against the neighbouring country, Modi accused Pakistan of being a 'the epicenter of terrorism' and claimed it was 'exporting terrorism' to the world.

"While India exports software, Pakistan exports terrorism across the world," he said.

Modi's address to a BJP rally, his first since the Uri attacks, took place in Kozhikode city in Kerala state.

But mid-way during his provocative speech, the Indian prime minister changed tone and challenged Pakistan to a battle of defeating poverty and illiteracy.

"Lets see who wins? Who is able to defeat poverty & illiteracy first, Pakistan or India?" he said.

Modi's latest episode of anti-Pakistan vitriol comes on the heels of heightened tensions between the two countries.

Earlier today, a former Indian foreign minister asked the Modi government to exercise restraint.

Natwar Singh said that since India is a large country it should exercise restraint and not make emotional decisions. He also asked the Indian media to avoid sensationalizing news, and added that positive bilateral relations would benefit both countries.

Tensions are soaring high between the South Asian neighbours over the issue of Indian Occupied Kashmir (IoK) since the militant attack in Uri which killed 18 Indian soldiers.

Pakistan has been calling on the international community to take notice of Indian army atrocities in Occupied Kashmir, while New Delhi without any proof accused Pakistan of being behind the attack on an army base at Uri which left 17 soldiers dead.

Over a hundred Kashmiris have been martyred and thousands injured as a result of Indian army atrocities since July 8 this year.

Pakistan is pursuing the Kashmir issue peacefully in the United Nations where Prime Minister Nawaz Sharif has held meetings with world leaders and will address the United Nations General Assembly on Wednesday.

Pakistani Prime Minister Nawaz told reporters in London on Friday evening that India "does not speak about its atrocities, but only levels allegations at others".

"Pakistan was accused within 12 hours of the Uri attack. India placed blame on Pakistan immediately after the attack without any inquiry. No sensible person will accept this," he said.

Pakistan's Foreign Office has said that its army is ready to protect the country, and that the nation is prepared to face any challenges.

On Thursday, Foreign Office spokesman Nafees Zakaria stressed that Pakistan was a peace loving country. He said India has habitually blamed Pakistan for every incident while the country's media was creating hype with irresponsibility.