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Simla Agreement Fallout: Why Pakistan Pulled Out — And What It Means For India-Pak Ties

The Simla agreement was signed by then-Prime Minister Indira Gandhi and Pakistan's then-President Zulfikar Ali Bhutto.

Pakistan responded to India’s move to end the 1960s Indus Water Treaty after the terror attack in Pahalgam. Pakistan, in reply, has suspended the 1972 Simla Agreement. This was a significant peace treaty between both nations, signed on July 2, 1972.

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What Is Simla Agrrement?

In the 1971 Indo-Pak war, Pakistan was defeated, and this agreement came after this war. The agreement was signed by then-Prime Minister Indira Gandhi and Pakistan’s then-President Zulfikar Ali Bhutto.

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According to this agreement, both countries will resolve mutual disputes peacefully and will refrain from war or the use of force. All issues will be resolved through bilateral talks. There will be no mediation by any third party, that is country or institution (like the UN). The territories captured in the war will be returned, and India will release Pakistani prisoners of war. India returned about 13,000 square kilometers of territory and released all prisoners of war. Both countries accepted the ceasefire line of 1949 by a new name- ‘Line of Control’.

Also Read: Pahalgam Terror Attack: China Condemns Killing, Falls Short Of Calling It A Terrorist Act

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What Will Happen If The Simla Agreement Ended?

The Line of Control (LoC) has historically been a tense frontier between the two countries, often marked by ceasefire breaches, cross-border firing, and infiltration efforts. A breakdown in the mutual resolve to honor the Simla Agreement’s provisions could escalate tensions and provoke further conflict.

If the existence of LoC is not there, there will rise in hostilities and cross-border activities. It may affect regional stability and eliminate any remaining chances for dialogue.

India will get an advantage if the LoC is removed. This is because both nations will claim that the area lies on their side. Not recognizing LoC can increase border conflict, which will make things difficult for both nations.

There are chances that internal instability and extremism can increase in Pakistan. Deterioration of relations with India will have a bad effect on trade, employment, and investment.

There are chances that things will get difficult for Pakistan if the agreement gets ended like it will be more difficult for Pakistan to get international aid and loans.

In August 2019, India abrogated Article 370. And now, after this Pahalgam terror attack, steps from both nations will bring changes in political relations and also bring changes in trade.

Also Read: Pahalgam Terror Attack: India Issues Persona Non Grata Note, Summons Pakistan’s Top Diplomat

First published on: Apr 25, 2025 03:34 PM IST


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