Pervez Musharraf has begun a new five-year term as Pakistan's civilian president today.
His new role came after he ceded the powerful post of army chief - the basis of his rule for the past eight years.
"Congratulations, Mr President," Chief Justice Abdul Hameed Dogar said after a Mr Musharraf had sworn his oath.
In his inaugural address, the president welcomed as "good" for political reconciliation the return from exile of former prime ministers Benazir Bhutto and Nawaz Sharif.
"I only hope that they will . . . move forward toward a conciliatory, civilised, democratic and political environment in the future," he said.
Pakistan's President Pervez Musharraf takes part in a ceremony to hand over the command of the army yesterday
However, neither were present at the ceremony in the state palace in Islamabad, and it remained unclear whether the changeover would defuse the threat of a boycott of parliamentary elections.
Such a move would undercut Gen Musharraf's effort to legitimise his rule through a democratic ballot.
"This is a milestone in the transition of Pakistan to the complete essence of democracy," Mr Musharraf told an audience of government officials, foreign diplomats and military generals. "Elections will be held in January come whatever may."
Gen Musharraf again sought to justify his imposition of emergency rule on November 3rd, during which he purged the Supreme Court just as it was about to issue a verdict on the legality of his continued rule.
Gen Musharraf gave no indication of when the emergency would be lifted - a key demand of his domestic rivals and international backers, including the United States.
"It is most unfortunate that some elements of the judiciary, the ex-chief justice, tried to derail this stage of democratic transition . . . and this conspiracy was impacting negatively on the functioning of justice and the sovereignty of parliament," Gen Musharraf said. "I had to act and I acted in the interests of Pakistan."
Mr Musharraf also claimed that stepped-up military action had "broken the back" of the spread of terrorism in the northwest.