In a major diplomatic setback, Pakistan has officially suspended the 1972 Shimla Agreement with India, escalating tensions following a deadly terrorist attack in Pahalgam, Jammu and Kashmir. The attack, which claimed the lives of 26 civilians, including 25 Indian tourists, has reignited hostility between the two nuclear-armed neighbours. India blamed Pakistan-based terrorists for the assault, prompting swift retaliatory measures and plunging bilateral relations into a serious crisis.
What is the Shimla Agreement and Its Impact on India and Pakistan

Signed on July 2, 1972, the Shimla Agreement was a landmark treaty between Indian Prime Minister Indira Gandhi and Pakistani President Zulfikar Ali Bhutto aimed at establishing lasting peace after the 1971 Indo-Pakistani War. It emphasised the peaceful resolution of disputes through bilateral negotiations, the conversion of the ceasefire line into the Line of Control (LoC), and the normalisation of diplomatic and economic ties. For over five decades, the Shimla Agreement has served as the foundation for managing conflicts, particularly the Kashmir dispute, without involving external powers.
The recent suspension marks a sharp shift in regional dynamics. In the aftermath of the Pahalgam attack, India suspended its obligations under the Indus Waters Treaty, downgraded diplomatic relations, expelled senior Pakistani diplomats, closed the Attari-Wagah border crossing, and revoked visas issued to Pakistani nationals. In retaliation, Pakistan not only suspended the Shimla Agreement but also closed its airspace to Indian flights, halted bilateral trade, sealed border crossings, and warned that any interference with its water rights would be treated as an act of war.
The suspension of the Shimla Agreement raises significant concerns for the future of India-Pakistan relations. Without the framework provided by the agreement, there is no formal bilateral mechanism to address disputes peacefully. Experts warn that the absence of structured dialogue could increase the likelihood of military confrontations, particularly along the volatile Line of Control. Additionally, Pakistan’s move may open the door to internationalising the Kashmir issue, something India has consistently opposed by citing the Shimla Agreement’s emphasis on bilateralism.
The international community has reacted with alarm. The United Nations has called for restraint and urged both countries to return to the path of dialogue. The United States reiterated the importance of bilateral talks and expressed regret over the suspension of an agreement that had historically helped in preventing full-scale wars between the two nations.
The impact of the Shimla Agreement’s suspension is likely to be long-lasting. Economically, the closure of trade routes and airspace restrictions will hurt businesses on both sides of the border. Strategically, the absence of a guiding framework increases uncertainty in South Asia, a region already fraught with instability. Moreover, this diplomatic fallout could hinder cooperation in multilateral forums like SAARC, further isolating both countries from regional growth opportunities.
As India and Pakistan stand at a critical juncture, the collapse of the Shimla Agreement symbolises a dramatic reversal of decades of diplomatic effort. Both nations now face the urgent challenge of finding new avenues for dialogue before tensions spiral out of control. Whether through backchannel diplomacy or renewed public engagement, the need for peace has never been more pressing.
