"As a peace gesture we will be releasing him tomorrow," Khan told parliament in Islamabad on Thursday, Sputnik reported.
Earlier, India called upon Pakistan to release and return the Indian MiG-21 fighter jet pilot who was arrested by the Pakistan Army after his warplane shot down.
This week, tensions between India and Pakistan escalated as the two countries engaged in an air battle, resulting in the confirmed downing of at least one warplane.
Pakistan claimed on Wednesday that it had downed two Indian warplanes which entered its airspace, capturing an Indian pilot.
This came a day after Indian jets crossed into Pakistan to bomb a Jaish-e-Mohammed militia camp in the Kashmir region.
India's air raids in Pakistan came after a deadly terrorist attack when a car carrying over 100 pounds of explosives detonated next to a security convoy, killing 45 Indian paramilitary officers. India accused Pakistan of harboring and protecting those behind the attack.
In turn, Pakistan has rejected the allegations of its involvement in the attack.
MNA/SPUTNIK
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