Table 1: The Talibans activism in the Kashmir Crisis and Its Threats and Opportunities for India and Pakistan | ||
Country | Threats | Opportunities |
India | The opening of a second front in Kashmir via Afghanistan Increased risk of suicide attacks (fidayee) in Jammu and Kashmir |
Exploiting Taliban–Pakistan tensions to gain influence in Central Asia Developing ties with anti-Taliban ethnic groups (Uzbeks and Tajiks) |
Pakistan | Security dilemma: A 34% reduction in Kashmir’s development budget due to rising security expenditures Economic pressure: Suspension of $2.1 billion in financial aid from Saudi Arabia due to concerns about Taliban influence |
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Table 2: Economic Dimensions of the Kashmir Crisis | |
Destruction of Infrastructure and Disruption of Economic Activities | Repeated military clashes and counterinsurgency operations have destroyed vital infrastructure such as roads, bridges, schools, and hospitals. This destruction has made reconstruction costly and sustainable development impossible. |
Disruption of Supply Chains | Restrictions (such as internet shutdowns and military restrictions) have disrupted trade, agriculture, and the growth of handicraft industries. For example, the tourism industry—which held a major share in Kashmir's economy before the intensification of violence in the 1980s—is now nearly destroyed. |
Widespread Unemployment and Poverty | The unemployment rate in Indian-administered Kashmir (Jammu and Kashmir) is around 23%, nearly double the national average in India. Youth, who make up 65% of the population, face a severe shortage of formal job opportunities. Additionally, agriculture—which supports 80% of Kashmir’s population—has seen declining productivity due to security restrictions (such as curfews during conflicts) and climate change. |
Capital Flight and Investment Stagnation | Chronic insecurity and political instability have deterred both domestic and foreign investors from entering the region. Even Indian government development projects (such as tourism or energy initiatives) are often halted due to local resistance and conflict. The informal economy (such as smuggling and narcotics trade) has grown as a survival mechanism, but these activities make the economy more unstable and vulnerable. |
Military Spending and Resource Waste | India and Pakistan spend billions of dollars annually to maintain military presence in Kashmir. These funds could otherwise be invested in infrastructure development, education, and healthcare. |
Casualties and Psychological Trauma | Since 1989, over 70,000 people have been killed in the conflict. Thousands more have gone missing or have been held under detention without trial. Studies show that over 40% of Kashmir’s population suffers from anxiety disorders and depression. Children grow up amid violence, and generations are afflicted by post-traumatic stress disorder (PTSD). |
Displacement and Homelessness | Recurrent waves of violence have forced thousands of families to leave their homes. Many of these displaced individuals live in temporary camps with inadequate sanitation and food supplies. |
Human Rights Violations | Reports from international organizations (such as Amnesty International and Human Rights Watch) document widespread torture, arbitrary detentions, and the use of pellet guns against protesters. India’s Armed Forces Special Powers Act (AFSPA) grants legal immunity to military personnel and creates an environment of impunity. |
Collapse of Education | Schools and universities have repeatedly been attacked or converted into temporary military bases. Prolonged closures and fear of attending classes have reduced literacy and skill levels among the younger generation. |
Social and Identity Fractures | Kashmiri society has been fractured due to political and religious divisions (especially between Hindus and Muslims). The suppression of cultural and linguistic identity—particularly after the revocation of autonomy in 2019—has exacerbated tensions. |
Gendered Impacts | Kashmiri women bear a heavy burden from the crisis: many have assumed new roles as heads of households while facing the risk of sexual violence and social restrictions. |
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