India Suspends Indus Waters Treaty: World Bank President Ajay Banga Says Role Is Only Facilitator
India recently took a major step in its diplomatic approach by suspending the Indus Waters Treaty (IWT) with Pakistan. The announcement on April 23, 2025, also included the expulsion of Pakistani military attaches and the closure of the Attari land transit post. These actions reflect growing tensions between the two neighbors.

World Bank President Ajay Banga responded to the situation, making it clear that the institution’s role in the treaty remains strictly limited. According to him, the World Bank only acts as a facilitator and cannot interfere unless both countries request its involvement.
A Historic Treaty Faces Uncertainty
India and Pakistan signed the Indus Waters Treaty in 1960, with the World Bank playing the role of mediator. The agreement divided the six rivers of the Indus basin: India received rights over the Ravi, Beas, and Sutlej, while Pakistan gained access to the Indus, Jhelum, and Chenab.
For over six decades, both nations maintained the treaty despite multiple wars and deep political differences. Many viewed the treaty as a rare success in Indo-Pak cooperation. But India’s decision now places that long-standing agreement in doubt.
Why Did India Suspend the Treaty?
Although the Indian government did not provide a detailed list of reasons, officials suggested that ongoing border tensions, cross-border terrorism, and security threats contributed to the decision. Indian leaders believe Pakistan has repeatedly taken advantage of India’s goodwill and ignored international norms.
By suspending the treaty, India hopes to send a clear message: national security will take precedence over outdated agreements. Officials in New Delhi emphasized the need for a fresh approach to diplomatic relations with Pakistan, especially in light of repeated provocations.
World Bank’s Clarification: No Arbitrating Authority
World Bank President Ajay Banga addressed the growing speculation around the treaty. He stated, “The World Bank serves as a facilitator under the Indus Waters Treaty. We do not act unless both countries request our support. We cannot enforce or arbitrate.”
His remarks clarify that the organization cannot step in independently, even during a crisis. This puts the onus back on India and Pakistan to find a path forward through dialogue or legal means.
Pakistan Reacts with Concern
Pakistan strongly criticized India’s move and called it a violation of international commitments. The country heavily relies on the western rivers for drinking water, agriculture, and hydroelectric power. Any disruption to the flow of these rivers could severely affect its economy and public health.
Pakistani leaders warned that the suspension of the treaty could escalate regional tensions. Some reports suggest that Islamabad plans to raise the issue at international forums such as the United Nations or the International Court of Justice. The government has also started exploring legal options to respond to India’s decision.
India’s Internal Reactions
In India, the decision sparked both support and caution. Many political leaders and citizens praised the move, calling it bold and necessary. They believe India has the right to protect its resources and interests.
However, some experts urged the government to act carefully. Environmental analysts worry that changes in river flow could harm ecosystems. Policy advisors have also asked for clear long-term plans to manage water distribution and avoid backlash from the global community.
What Could Happen Next?
The suspension does not necessarily mean India has exited the treaty for good. Analysts believe the government may be trying to pressure Pakistan into talks or force a renegotiation of the terms.
This strategy could serve as a bargaining tool, but it also risks increasing tensions. Without international intervention or a new agreement, both countries must rely on direct negotiations to prevent further fallout.
Ajay Banga’s comments show that outside institutions will not step in unless both parties agree. That leaves India and Pakistan with the responsibility to resolve the dispute themselves—through either diplomacy or formal legal channels.
A Tense Turning Point
The Indus Waters Treaty has long symbolized the possibility of cooperation between two bitter rivals. Suspending the treaty changes the dynamic and introduces new uncertainty in an already unstable region.
India’s decision reflects a broader shift toward a more assertive foreign policy. At the same time, Pakistan faces rising pressure to protect its water access and seek international support. If both sides choose confrontation over communication, the region could face serious consequences.
Conclusion
India’s suspension of the Indus Waters Treaty marks a significant moment in South Asian geopolitics. The government has sent a clear message that it will no longer tolerate repeated threats without action. Meanwhile, Pakistan must now consider its next steps carefully.
World Bank President Ajay Banga made it clear that only India and Pakistan can resolve this issue. The global community will watch closely as both countries navigate this turning point. Whether the situation leads to new cooperation or deeper conflict depends on their willingness to engage in meaningful dialogue.