The formal notification of handing over the case to the NIA is expected to be issued by the ministry soon, an official privy to the development said.
Body of Reyaz Ahmad, with a big perforation in the abdomen, was found outside Shri Maharaja Hari Singh Hospital.
One of the slain terrorists has been identified as Shahbaz Safi Wani alias Rayees Kachru, who was active in the area since June, 2016.
Security agencies braced for a march called by separatists on Monday.
Mehbooba had announced on Monday that she had convened an all party meeting on July 21 to discuss the prevailing law and order situation in the Kashmir valley.
"Deeply anguished at the loss of precious lives in the incidents of violence in Jammu and Kashmir. I also pray for the speedy recovery of those injured," he said.
Seven people including Altaf Ahmed Shah, the son-in-law of hardline separatist leader Syed Ali Shah Geelani, were arrested on Monday by the National Investigation Agency in connection with its probe into the funding of terror and subversive activities in the Kashmir Valley, officials said.
Curfew has been lifted from Bandipora, Baramulla, Budgam and Ganderbal districts of the Valley but restrictions on the assembly of people under Section 144 CrPC continue in these districts
The prime minister thanked Trump for the welcome.
With local militancy gaining ground in the Valley, S P Vaid, a highly-decorated police officer who helped tackle the recent unrest in the region, was on Wednesday appointed the new Director General of Police of Jammu and Kashmir.
Army can detect terrorists who might be hiding in wall cavities or false ceilings.
The banned Hizbul Mujahideen chief Syed Salahuddin wants to return to India even today, says former chief of Research and Analysis Wing, India's external spy agency A S Dulat, who regrets the government "wasted too much of time" chalking out plans for his comeback.
Jammu and Kashmir cops mistakenly used the image of Irfan Shah, a resident of Kupwara, instead of militant Abdul Qayoom Najar.
Gandhi asked who in the Bharatiya Janata Party government had been held accountable for the security lapses that allowed the attack.
Shops, business establishments and schools remained closed due to the strike called jointly by the JKLF, Hurriyat Conference factions led by Mirwaiz Umar Farooq and Syed Ali Shah Geelani; and supported by almost all separatist groups in the Valley.
Girls in the Kashmir valley hurling defiance at the security forces will detract from the legitimacy of India's response and its standing in the world, says Ajai Shukla.
Normal movement of people and vehicular traffic was observed in parts of Srinagar on Tuesday, the officials said.
Amidst the ongoing hostilities with Pakistan, Home Minister Rajnath Singh on Tuesday said the Modi government will not allow anyone to dent India's honour and every citizen has faith in the country's armed forces.
Pakistani-American terrorist David Coleman Headley on Tuesday continued his deposition for the second consecutive day before a court in Mumbai.
It was suspected that the scholar from Tikipora in Lolab area might have joined the Hizbul Mujahideen.
Curfew was on Monday lifted from the entire Valley except three police station areas 51 days after it was clamped to maintain law and order.
Addressing the 34th Session of the Human Rights Council, Ambassador Ajit Kumar hit out at Pakistan for destabilising the situation in Jammu and Kashmir by promoting infiltration and cross-border terrorism, inciting, promoting and glorifying violence.
Earlier, a youth injured during clashes last week succumbed at a hospital in Srinagar on Monday morning.
Curfew remained in force in six police station areas of the city, Anantnag town, Kokernag and Khanpora in Baramulla district as restrictions on assembly of four or more people continued in entire Kashmir.
Two of the terrorists belonged to Hizb-ul-Mujahideen.
Major Sandeep Kumar,Captain Manik Sharma and Naik Arvind Singh Chauhan gunned down the the poster boy of resurgent militancy in the Kashmir valley.
42 terrorists, 7 civilians and 15 security personnel have lost their lives since May 15.
Pakistan played a 'key role' in fomenting the recent trouble in Kashmir, Home Minister Rajnath Singh has said.
The identities and affiliation of the terrorists were yet to be known. Arms and ammunition had been recovered from the site.
The government has identified 65 terror groups active in the country, out of which a maximum of 34 are in Manipur, the Lok Sabha was informed on Tuesday.
India on Monday told Bahrain that terrorism emanating from Pakistan remains its most important concern and support from across the border has incited the current unrest in Jammu and Kashmir.
Describing the Uri terror strike a transit destination in the "war" forced on India by Pakistan, BJP President Amit Shah on Sunday said the attack was an outcome of frustration after security forces foiled 17 infiltration attempts and that the final victory will belong to India.
She also underlined that 'black laws' like AFSPA would be repealed from the state only when the situation improves.
The officer claimed 88 Kashmiri youths joined militancy in 2016.
Of the 18 terrorists killed, 14 belonged to JeM including its "six main commanders", the Lt. Gen., flanked by IGP Kashmir S P Pani and IG CRPF Zulfiqar Hassan, said.
Geelani's son-in-law Altaf Ahmed Shah and other six accused Ayaz Akbar, Peer Saifullah, Shahid-ul-Islam, Mehrajuddin Kalwal, Nayeem Khan and Farooq Ahmed Dar were arrested on July 24 in the case of alleged funding of terror and subversive activities in the Kashmir Valley.
If Pakistan continues with the 'Grey List' or put in 'Dark Grey' list, it would be very difficult for the country to get financial aid from the IMF, the World Bank and the European Union, making its financial condition more precarious.
Behal is also a member of the legal cell of the separatist amalgam led by Geelani and a 'close associate' of the Hurriyat hawk.
Pakistan on Friday "regretted" India's virtual rejection of its proposal for talks on Kashmir even as it briefed the ambassadors of the P-5 and European Union countries about the situation there in yet another attempt to internationalise the issue.
The subscribers will have to, however, wait for some more time for Internet services to resume in the Valley