Context:

India is adopting a multifaceted strategy to exert pressure on Pakistan beyond traditional military means, particularly by targeting Pakistan's economic vulnerabilities. The Indian government is lobbying international financial institutions to deny critical loans to Pakistan, aiming to exacerbate Pakistan's financial instability. Additionally, India has withdrawn from a longstanding river-sharing treaty, which Pakistan views as an act of aggression, and has limited cultural exchanges by blocking Pakistani musicians and artists from Indian platforms. Despite the minimal trade between the two countries, India has announced an official trade severance. Meanwhile, India leverages its international relationships, particularly with Western countries and Gulf monarchies, to further isolate Pakistan economically and politically on the global stage.

Dive Deeper:

• India is seeking to block a $7 billion loan extension to Pakistan from the International Monetary Fund (IMF), crucial for Pakistan's financial stability and essential services, by lobbying against it in upcoming meetings.

• The withdrawal from the Indus Waters Treaty, a pivotal agreement since 1960 that ensured Pakistan's water supply, is seen by Pakistan as a provocative step towards conflict.

• India has restricted Pakistani cultural exports by manipulating internet controls, cutting off Pakistani musicians and cricketers from Indian audiences, reminiscent of past digital restrictions applied to Chinese apps.

• Trade between India and Pakistan has been officially halted, although it was already minimal, with India exporting sugar, medicines, and chemicals, while Pakistan's exports to India were negligible.

• India is alleged to be working to have Pakistan relisted on the global anti-money-laundering and antiterrorism task force's 'gray list,' which would jeopardize Pakistan's ability to secure international financial assistance.

• India's diplomatic relationships have evolved significantly, with improved ties with the Gulf monarchies, the United States, and Europe, influencing global perceptions and potentially aiding India's stance against Pakistan.

• Historical context highlights that international financial institutions' decisions are often politically motivated, as seen in past rejections of loans to India following nuclear tests, and similar dynamics are now at play against Pakistan.