Islamabad warns Indian suspension of Indus Waters Treaty could set precedent for China

People walk on the dry riverbed of the Indus River in Hyderabad, Pakistan on April 24, 2025. (REUTERS)
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Updated 26 April 2025
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Islamabad warns Indian suspension of Indus Waters Treaty could set precedent for China

  • New Delhi suspended the river-sharing agreement after a militant attack in Indian-administered Kashmir
  • PM Sharif’s aide says Pakistan is discussing the situation with friendly countries and the United Nations

ISLAMABAD: India’s suspension of the Indus Waters Treaty (IWT) could set a precedent for China to block the Brahmaputra River, a senior aide to Prime Minister Shehbaz Sharif warned on Friday, potentially putting New Delhi in a difficult position.
India relies on rivers that originate in China, particularly from the Tibetan Plateau, where major waterways like the Brahmaputra and Sutlej rivers begin.
China’s dam-building activities and lack of a formal water-sharing agreement have raised concerns in India about future water security during floods or droughts. The absence of binding treaties leaves India vulnerable to upstream decisions made by Beijing.
In 2016, China blocked the flow of the Xiabuqu River, which feeds the Brahmaputra, as part of a hydropower project in Tibet after a militant attack in Indian-administered Kashmir.
“If India does something like this that they stop the flow [of rivers] to Pakistan, then China can also do the same thing,” Rana Ihsaan Afzal said while speaking to Geo News. “But if things like this happen then the entire world will be in a war.”
The IWT is a landmark water-sharing agreement signed in 1960 between India and Pakistan, brokered by the World Bank, to manage the use of rivers flowing through both countries from the Himalayas. Under the treaty, India was granted control over the three eastern rivers — Ravi, Beas and Sutlej — while Pakistan received rights over the three western rivers — Indus, Jhelum and Chenab.
Despite multiple wars and ongoing tensions, the treaty has largely held as a rare example of sustained cooperation.
However, India on Wednesday suspended the six-decade-old river-sharing treaty with Pakistan as part of a series of measures following a deadly militant attack in Indian-administered Kashmir, for which it holds Islamabad responsible.
Pakistan has denied any involvement in the attack, in which gunmen killed 26 people at a tourist site in Pahalgam, a scenic town in Anantnag district, marking the deadliest assault on civilians in the country in nearly two decades.
Highlighting that India’s actions threatened the food security of 250 million people, Afzal said under international water laws, upper riparian countries cannot “stop” water but may only “regulate” it.
He added that upper and lower riparian countries coexist peacefully across the world and warned that India’s threat could undermine the entire system of peaceful water-sharing mechanisms, potentially escalating tensions toward conflict.
“This will not be easy at all,” he said. “The United Nations and lower riparian countries throughout the world will raise their voice against it.”
Afzal confirmed that Pakistan was engaging friendly countries through diplomatic channels and was also in contact with the UN.


Pakistan stocks recover as oil supply fears ease after Islamabad seeks Red Sea route— analyst

Updated 05 March 2026
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Pakistan stocks recover as oil supply fears ease after Islamabad seeks Red Sea route— analyst

  • Pakistan has sought Saudi help to secure oil supplies via Red Sea port after Iran’s closure of Strait if Hormuz
  • Analyst says higher crude oil prices, expectations of IMF releasing next loan tranche also triggered bullish activity

ISLAMABAD: Pakistani stocks marked a sharp recovery when trading closed on Thursday, as institutional activity increased following Islamabad’s move to seek crude oil supplies through the Red Sea port eased oil supply fears, a financial analyst said. 

Pakistani stocks have recorded a sharp decline this week, with the benchmark KSE-100 index recording its largest-ever single-day decline on Monday when it plunged 16,089 points. Escalating conflict in the Middle East triggered panic selling at the Pakistani bourse, forcing a temporary trading halt on Monday. 

The KSE-100 index, however, gained 3.49 percent or 5,433.46 points to close at 161,210.67 when trading ended on Thursday, up from the previous close of 155,777.21 points, according to Pakistan Stock Exchange’s (PSX) data.

Pakistan’s Petroleum Minister Ali Pervaiz Malik met Saudi Ambassador Nawaf bin Said Al-Malki on Wednesday to discuss Iran’s closure of the key Strait of Hormuz, which has threatened Pakistan’s energy supply. Roughly 20 percent of the global oil and gas supply passes through the route. Saudi Arabia indicated it could facilitate shipments through the Red Sea port of Yanbu, offering an alternative route if Gulf shipping lanes remain disrupted, the petroleum ministry said on Wednesday. 

“Stocks staged a sharp recovery at PSX amid institutional activity on easing fuel supply fears after KSA [Kingdom of Saudi Arabia] commits oil supplies through the Red Sea port,” Ahsan Mehanti, chief executive officer at Arif Habib Commodities, told Arab News.

He said higher global crude oil prices and expectations of the International Monetary Fund releasing its next tranche of the $7 billion loan for Pakistan also helped bullish activity at the PSX.

An IMF mission was in Pakistan to hold talks on the third review of a $7 billion Extended Fund Facility multi-year program, and for the second review of the $1.4 billion Resilience and Sustainability Facility this week.

However, the delegation left for Türkiye amid tensions in the Gulf. Pakistani officials have said talks are likely to continue virtually in the coming days. 

Pakistani brokerage Topline Securities said in its daily market review report that strong institutional buying “turned the tide” on Thursday after the market’s recent overreaction to regional issues.

The report added that Hub Power Company (HUBC), Oil & Gas Development Company (OGDC), Fauji Fertilizer Company (FFC), Engro Corporation (ENGROH), and Meezan Bank Limited (MEBL) collectively contributed 2,197 points to the KSE benchmark’s gain.

Topline Securities said 723 million shares were traded on Thursday, with K-Electric Limited (KEL) stealing the spotlight as more than 1.17 billion shares changed hands.

Pakistani investors are closely monitoring developments in the Gulf, particularly around energy routes and further retaliatory actions, as the conflict’s trajectory remains uncertain.