• India has requested the IMF to review loans provided to Pakistan.
• The request follows escalating tensions after a deadly attack in Kashmir.
• Pakistan's finance minister advisor claimed their IMF program is on track.
• India and Pakistan have suspended critical treaties and closed airspace.
• US Vice President JD Vance emphasizes the need for cooperation between India and Pakistan.

India has formally asked the International Monetary Fund (IMF) to review loans disbursed to Pakistan, as tensions between the two countries have intensified following a deadly attack in Kashmir that resulted in the deaths of 26 individuals, mostly tourists. This development has raised concerns among observers about the potential for the situation to escalate further into military conflict. The Indian government has labeled the attackers as "terrorists," claiming two of them are Pakistani nationals, while Pakistan has called for a neutral investigation and denied any involvement, according to Channel News Asia and Reuters.

In reaction to the attack, India suspended the Indus Water Treaty, vital for water sharing, and both countries have closed their airspace to one another, underlining the deteriorating bilateral relations. Pakistan's finance minister advisor, Khurram Schehzad, asserted that the IMF program is "completely on track" and mentioned the successful spring meetings that involved 70 meetings with financial institutions, encouraging investments in the country as the economy stabilizes post-bailout, as reported by Dawn and Reuters.

Pakistan secured a critical $7 billion bailout program from the IMF last year and received an additional $1.3 billion climate resilience loan in March. While India has raised concerns regarding these loans and requested a review, the IMF has not provided a timely response regarding this matter. The program remains essential for Pakistan’s struggling economy, as it aims to avert a potential default, according to Channel News Asia and Dawn.

Global calls for de-escalation have emerged in response to these rising tensions. U.S. Vice President JD Vance expressed hope that Pakistan would cooperate with India to identify and apprehend the assailants involved in the Kashmir attack, emphasizing the need for collaboration to address security concerns in the region. His comments illustrate the international dimension of this conflict, reflecting broader geopolitical implications, as mentioned in Dawn and Reuters.