Category Archives: Atlantic Council

Pakistan and India Cracking Barriers of the Mind

About bloody time, some would say. The news that Pakistan’s cabinet has approved Most Favored Nation trade status for long-time adversary India will also be greeted by the usual wry comments by skeptics and cynics on both sides of this volatile border. But though Pakistan may not have broken any barriers it may have cracked a few.

Consider that India had already given Pakistan MFN status, putting it on the back foot in trade negotiations. But Pakistani analysts and officials maintained that India’s non-tariff barriers made a mockery of the MFN. Pakistan’s military and civilian governments lacked the will to open trade with India, in the process missing out on huge income gains from trading with a neighbor and allowing its industries and consumers to benefit from less expensive products and inputs in numerous categories of tradable goods and services. Until now. 

 

Give credit to the civilian government for finally giving birth to an obvious and necessary condition for Pakistan’s future growth. As India speeds away at 9 plus percent annual growth, Pakistan is heading in the opposite direction—3 percent or less. Trade alone will not solve its problems but even after the elephantine gestation of the MFN decision the government seems to be listening to its economic team and reason. And, if India starts lowering its NTBs, it may stop Pakistan from resorting to them. 

Why is this such a big deal? Because the most cited obstacle to better relations with India was the powerful Pakistan military. The civilians did not wish to buck the military’s views, it was said. Now it seems the impossible has happened, either with the military’s approval or without. An objective devoutly to be wished has emerged from Islamabad. 

What adds to the import of this first step is another statement by Prime Minister Yousaf Raza Gilani that Pakistan wishes to tie into India’s power grid to facilitate sharing of electricity.

A natural corollary will be greater collaboration on water issues. Both India and Pakistan have serious problems in how they manage water, both internally and with each other, sharing water from rivers that rise in the Himalayas and come into India and then Pakistan. Joint investments in water and power projects, especially if undertaken by private investors under a joint water commission that takes forward the idea behind the Indus Water Treaty, may provide the ultimate market solution. But standing in the way of such powerful dreams are two powerful and suspicious bureaucracies that have stymied free travel and cross border investments till now. They may yet nullify the MFN decision by a war of non-tariff barriers and red tape. 

Yet, amidst the plethora of Track 2 efforts between Pakistan and India there is a growing momentum among concerned citizens, and even among the militaries that the status quo of “no war, no peace” is not favoring either country. At the Atlantic Council, we are doing our bit to “wage peace” in the region. But in the end it is the people and governments there that have the power to effect change for the better. 

Against that background, cracking open the locked gates at the Wagah border between these fractious neighbors and keeping them open day and night seems the best option. Two cheers then for Pakistan and India free trade. Confound your critics and militants. Don’t botch this opportunity… for the sake of future generations.

Shuja Nawaz is director of the South Asia Center at the Atlantic Council, and is the author of Crossed Swords: Pakistan, its Army, and the Wars Within.

Taking Government Back

The perhaps incorrectly-named Occupy Wall Street movement in the United States appears to be gaining momentum, and even gaining traction overseas. I say “incorrectly-named” since conversations with the protesters indicate that they wish to take back power from the current representatives of government and not just take over Wall Street. The movement contains a congeries of different interest groups. But it is clear that it includes all age groups and not just the bearded young men and freedom-loving young women who evoke the hippie culture of the 1960s.

On my way to work every morning I pass McPherson Square in the heart of the K Street corridor from where fat-cat lawyers and lobbyists rule the roost in Washington, D.C. I have a conversation with a 50-year-old woman protester carrying a sign that reads: “Honk if you want to take back America.” Wearing a party mask, she talks about her anger. She lost her job and her home because of the mortgage crisis. The mask that covers her eyes signifies the “masquerade” that is the current system of government in her view. I asked if the movement would be able to galvanize youth to come to the polls and effect change. She said “No, we don’t need to go to the polls! We need to take back government. The polls are a sham.”

Clearly, the movement or parts of it want a revolution.

That seems to be the sentiment in other parts of the world. In Egypt, the youth are back in Tahrir Square and being beaten up by the military. On 60 Minutes, the most popular newsmagazine show on American television, the singer who led the Arab Spring protesters in song is shown back at Tahrir singing against the military. He spoke calmly but resolutely about the military men who tortured him with electric prods and tasers. Surprisingly, the venerable Economist in its leader lets the Egyptian military off lightly for the political engineering they are attempting and for their treatment of protesters. Experience throughout the developing world, including Pakistan, shows clearly that political engineering by the entrenched establishment does not work, even if the political systems in place are rotten to the core.

Unless the leaders, both civilian and military, recognize the need for a nationwide discussion of what the people want, the chances of disruptive change are magnified. In Pakistan, clearly, the model of politics as family business has not delivered. Simply having a game of political musical chairs may not be enough. The growing attraction of Imran Khan may be a symptom of the general unhappiness with the status quo. Making and breaking coalitions is not going to solve Pakistan’s problems. Meanwhile the large and growing cohort of Pakistani youth is increasingly going to be jobless and angry. They are also increasingly susceptible to the charms of religious extremism as a vehicle for revolutionary change.

Against the backdrop of a nationwide militancy and a messy situation on its Western border, especially after the coalition exits Afghanistan, Pakistan can ill afford to ignore these trends. What if a facsimile of the Occupy Wall Street movement takes root in Pakistan and peaceful protests start occupying parts of its mega cities and cantonments? Who will be able to take them on? Who knows what forces will end up owning and leading these protests and reaping the gains from the chaos that will ensue? Given the record of its leaders to date, a domestic and peaceful movement to take back Pakistan may have more force than currently imagined by the power brokers in Islamabad.

Shuja Nawaz is director of the South Asia Center at the Atlantic Council, and is the author of Crossed Swords: Pakistan, its Army, and the Wars Within. This essay first appeared in Newsweek Pakistan.

The Train Wreck

Complicated and fraught, U.S.-Pakistan relations took a turn for the worse with Adm. Mike Mullen’s Sept. 22 testimony before the U.S. Senate Armed Services Committee in which he all but declared Pakistan as sponsoring terrorism in Afghanistan.

Admiral Mullen referred to evidence linking Inter-Services Intelligence to the attacks: “Extremist organizations serving as proxies of the government of Pakistan are attacking Afghan troops and civilians as well as U.S. soldiers. For example, we believe the Haqqani network—which has long enjoyed the support and protection of the Pakistani government and is, in many ways, a strategic arm of Pakistan’s Inter-Services Intelligence agency—is responsible for the Sept. 13 attacks against the U.S. Embassy in Kabul.”

Pakistan protested this accusation, and the Army chief, Gen. Ashfaq Kayani, reportedly was surprised by it since he said he had had a good exchange with Mullen in Spain the week before. Kayani termed Mullen’s testimony as “unfortunate and not based on facts.” Harsh words for his once best friend in the U.S. government. Clearly, the two “partners” against terrorism are talking past each other, yet again. And suspicion continues to dog this benighted “friendship.” If the people of Pakistan are angry and confused, they have good reason.

No one has yet spelled out to the Pakistani people the strategy of the Pakistani state’s efforts against insurgents and homegrown as well as foreign-supported terrorists. Who speaks for the state? Who acts on its behalf? At least two if not more centers of gravity exist as far as decision making is concerned. The most powerful voice being that of the Army chief; the quiet whispers of the ISI may be next, followed by the empty rhetoric of the civilian leadership that has failed to exercise effective control over domestic, defense, and foreign policies.

This most recent contretemps with the United States has been fueled by the speeding-up endgame in Afghanistan, as local and regional players vie for influence. Pakistan still appears to be caught in the Pakhtun puzzle: trying to win some influence over the militant Pakhtun groups whose territory abuts Pakistan’s western border and who use its territory as a base for attacking Afghanistan. In doing so, it has failed to recognize and work with all Afghanistan, a mosaic of different ethnic entities and interest groups. Pakistan’s archrival India has meanwhile consolidated its economic and political ties throughout Afghanistan by its infrastructure investments and other forms of economic aid, adding to Pakistan’s concerns about being sandwiched between the two.

This is a time for bold and creative thinking by Pakistan’s civilian government and military and not for the age-old “staff solutions” that inhibit daring action. Neutralizing the hostility on its eastern flank with India is one good option. Reaching out to the Shia and to the Tajik, Uzbek, and Hazara ethnic groups inside Afghanistan may be another, while maintaining links to all Pakhtuns in Afghanistan.

Favoring the Afghan Taliban groups, be they Haqqani’s or Mullah Omar’s people, may well create a new threat to Pakistan as the likely conflict inside Afghanistan after the allies withdraw may reverse the sanctuary available to Pakistan’s own Taliban terrorists. The Kunar sanctuary that prompts attacks in the northern reaches of the Federally-Administered Tribal Areas and Dir may be a precursor of a wider phenomenon. Recall also that Pakistan has never been able to exercise full control over foreign or domestic militants. If it did, its domestic and external relationships would be in far better shape than they are today.

Back to the “frenemy” odd couple: today Pakistan and the United States remain heavily codependent. The U.S. needs both air and land lines of communication via Pakistan for its final years of active fighting in Afghanistan. President Barack Obama will be under increasing pressure from his electorate to bring the boys and girls home sooner rather than later.

Pakistan’s military could benefit from U.S. equipment and technical expertise and its teetering economy badly needs U.S. support not only directly but also through the international financial institutions. Even Pakistan’s friends in the region are concerned about its state of affairs and the rise of terrorism inside the country. At a recent conference that I attended in Beijing on potential U.S.-China cooperation in Central Asia and the Middle East, our Chinese hosts and other well-informed contacts were anxious about the current growth, and support, of Islamist militancy in the region. They have good reason for that concern. So should Pakistan.

The genie of militancy that the Pakistani state once fostered is running rampant. Pakistan does not need the U.S. or other countries to warn it of the consequences of inaction against terrorism at home and abroad. It must recognize the danger of its wars within and come up with a combined civil-military plan under civilian control. As the head of the ISI, Lt. Gen. Ahmed Shuja Pasha told Der Spiegel on Jan. 6, 2009: “We may be crazy in Pakistan but not completely out of our minds. We know full well that terror is our enemy, not India.” Those ground realities have not changed since.

Let the prime minister speak to the nation and outline this new strategy that abjures support for any militancy inside its borders or in neighboring countries. President Pervez Musharraf once made such a bold pledge in public to open the doors to India but failed to garner support for it or to implement it fully. That opportunity still remains open for Pakistan’s leaders. (President Richard Nixon ordered the Central Intelligence Agency to cease all operations in mainland China before his historic 1972 visit to Beijing and “leaked” the order to the Chinese.) Pakistan is at yet another critical fork in the road. Will it dither or boldly take the right path?

Shuja Nawaz is director of the South Asia Center at the Atlantic Council, and is the author of Crossed Swords: Pakistan, its Army, and the Wars Within. This essay first appeared in Newsweek Pakistan.

Shuja Nawaz on National Public Radio to Discuss Recent US-Pakistan Row

Highlight - Nawaz

On September 26, South Asia Center director Shuja Nawaz appeared on National Public Radio this week to discuss the continual degradation of US-Pakistan relations following comments by Admiral Mike Mullen, the chairman of the Joint Chiefs of Staff, that directed blame at Pakistan’s Inter-Services Intelligence for recent attacks in Afghanistan.

September 28, 2011 – NPR’s On Point with Tom Ashbrook – What To Do About Pakistan

September 27, 2011 – KCRW’s To The Point with Warren Olney – Will the US Bomb Pakistan?

September 26, 2011 – NPR’s Morning Edition – Fragile U.S.-Pakistan Relations On Downward Spiral

How Reliable is Intelligence on Iran’s Nuclear Program?: 9/15/11 – Transcript

Back to the event page

The Atlantic Council of the United States

How Reliable is Intelligence on Iran’s Nuclear Program?

Welcome:
Frederick Kempe,
President and CEO,
The Atlantic Council

Speakers:
Stuart E. Eizenstat,
Co-Chair,
Atlantic Council Iran Task Force

Barbara Slavin,
Nonresident Fellow,
South Asia Center, Atlantic Council

Olli Heinonen,
Senior Fellow,
Belfer Center for Science and International Affairs, Harvard University

David Albright,
Founder and President,
Institute for Science and International Security

Paul Pillar,
Director of Graduate Studies,
Georgetown University’s Center for Peace and Security Studies

Date: September 15, 2011 

Transcript by
Federal News Service
Washington, D.C.

FREDERICK KEMPE: Good morning, everyone. I’m Fred Kempe, president and CEO of the Atlantic Council. And I think by the fact that all seats are filled and we’ve got a bit of standing room, it underscores the importance of what we’ll be discussing today and the timeliness of what we’ve been discussing today.

I’m certainly pleased to see you all for a discussion of Iran’s nuclear capabilities. The council has been built on three pillars – ideas, influence, impact. We’ve tried to bring the right people together for our meetings and our discussions on Iran, the right experts around the right task force, and then write papers that keep us ahead of the debate and what we think needs to be discussed on these issues.

The Iran Task Force under our South Asia Center exemplifies these principles, and we’ve done a comprehensive analysis – or we’re building a comprehensive analysis of U.S.-Iran relations, Iran’s relationship with its neighbors and internal dynamics.

The task force has been on the forefront of this important dialogue on Iran since its launch last year. We’ve had eight briefings, published four reports, held meetings with key policymakers and written numerous articles and op-eds. As you all know, the timing is significant given the events of this year in the region. Understanding Iran’s motivations, its capabilities and potential avenues for engagement is more vital than ever.

I’d also like to add that this endeavor would not have been possible without the generous support of the Plowshares Fund, and Joe Cirincione is here today.

Joe, thank you very much for making this effort possible and standing behind it, both intellectually and with your material support.

Today I am pleased to announce the launch of our fourth issue brief, “How Reliable is Intelligence on Iran’s Nuclear Program?” It focuses on one of the central yet elusive questions surrounding U.S. engagement in Iran: What exactly are Iran’s nuclear ambitions, and what in intelligence makes us feel confident of that.

The brief, authored by Iran expert and Atlantic Council Senior Fellow Barbara Slavin also examines the reliability of U.S. and global intelligence on the nuclear program and offers practical recommendations to global leaders on how to slow down the development of a nuclear Iran.

But before turning to microphone over to Barbara, I’d like to recognize one of our co-chairs for the Iran Task Force. The two co-chairs have been Senator Chuck Hagel and Ambassador Stuart Eizenstat. Senator Hagel was delayed returning from the West Coast. So he can’t be here this morning.

Ambassador Stuart Eizenstat was able to work this into his busy schedule. He’s a board member of the Atlantic Council, a great friend of the Atlantic Council, a distinguished public servant and respected leader on all manner of global issues ranging from these issues to trade issues to global economic issues. His strong yet pragmatic views on U.S. policy toward Iran have been a valuable contribution to this project, and I’d like to ask him to say a few words today.

Stu?

STUART EIZENSTAT: Thank you, Fred. And thank you all for coming. And I very much appreciate the leadership that the Atlantic Council has provided to this very important issue for our own national security interest and in particular the leadership that Barbara Slavin, who you’ll hear from shortly, has given.

She is the author of all of the papers that we’ve done along with Mark Brzezinski, who’s helped coordinate the work and Shuja Nawaz and Atlantic Council staff. They’ve really assembled an extraordinary group of experts on each of the four areas that we’ve so far covered.

The timeliness is quite striking with Ahmadinejad coming to the U.N. very shortly. This is obviously a very important time to look at it. There have been four papers, of which this is the fourth. The first was on domestic internal politics where we took a deep dive on the fissures within Iranian society that have been underscored just within the last few days.

The effort by President Ahmadinejad in anticipation of his U.N. trip to release the two bikers being overturned clearly by the more conservative elements and by the court, his efforts at dismissing cabinet members being overturned by the Supreme Leader, Ayatollah Khamenei, and just within the last 24 hours the arrest of a significant figure close to someone who is presumably Ahmadinejad’s handpicked successor. At the same time, they will be holding parliamentary elections in the spring of this coming year, and Iran has become a significant focal point of the presidential debate in our own country.

The second issue paper that Barbara and Mark helped coordinate focused on Iran’s regional position, and the bottom line there is we described Iran as a strategically lonely country despite the tentacles that it has in Iraq and to Hamas and Hezbollah

Third, we looked at sanctions, how are they working, where are the gaps. We found that they were in fact biting, that they were having a significant impact but that at least to some extent they are being undercut by China. Fourth and the subject of today’s briefing is their nuclear program and in particular a focus on the reliability of U.S. and Western intelligence.

It’s been widely reported that they’ve now implemented their threat to move some of their centrifuges into a mountainous area underground near the holy city of Qom. That has now been done, which makes it less vulnerable to attack.

They have to some extent recovered from their Stuxnet attack. Their centrifuges are now operating. They have more enriched uranium, up to a level of 20 percent, closer and closer to weapons grade. And their stockpiles of enriched uranium are growing, as are their potential capabilities to weaponize this.

So the timeliness of this paper is particularly pertinent. It does fit into this broader context in which we’ve taken a broad look at Iran and looked, by the way, as Barbara will mention, at areas where there might be cooperation despite our standoff on the nuclear issue in areas like the future of Iraq and Afghanistan.

So with no further ado, I’d like to call on Barbara Slavin, who’s really been our intellectual leader and to thank you, Barbara, for your work and let you introduce the rest of the panel. (Applause.)

BARBARA SLAVIN: Wow, this is a big crowd.

Fred, thank you very much.

Ambassador Eizenstat, thank you very much.

Joe Cirincione, thank you very much – Plowshares, for funding this.

I’m sorry that Shuja Nawaz who heads our South Asia Center can’t be with us. He’s had his appendix removed. So he’s taking a sudden but well-deserved break. But I want to thank everyone else at Atlantic Council and South Asia Center – also our speakers, particularly Olli Heinonen and David Albright; Greg Thielmann, who I believe here in the room; and Mark Fitzpatrick of the IISS, who were all kind enough to submit to interviews and to read my paper to make sure that I didn’t confuse carbon fiber and maraging steel and one kind of centrifuge with another.

Because we have such a strong panel, I’m going to give just a very brief overview of the report. And I think the bottom line is that our intelligence about Iran is not bad. It is in some ways worse than it was about Iraq because – worse than it was about Iraq because we haven’t had – the IAEA has not had a deep and extended ability to go anywhere it wants in Iran, as it was able to do after the 1991 Gulf War.

But in some ways, it’s better. And it’s better because our technical means have vastly improved and human penetration of the Iranian program – defections, cyberanalysis and so on – has also vastly improved since those days with Iraq.

And I think equally if not more important – and we stress this in the report – our intelligence community is no longer being pressured to fix the facts around a particular interpretation, as of course we know happened during the Iraq fiasco.

We have greater confidence about what we know and what we don’t know, and I think there is less of a chance now of either underestimating or hyping the Iranian program. And this is very important. As far as we know, Iran has not yet built a nuclear device. It certainly hasn’t tested one.

But it is, as Ambassador Eizenstat mentioned, accumulating the materials and the knowhow to be able to do so if it makes that decision. It is still possible in our view to dissuade Iran through sanctions, sabotage, interdiction of sensitive materials and diplomacy, as well as a greater emphasis on nonproliferation on the part of the existing nuclear powers, both the members and the nonmembers of the nonproliferation treaty

It’s important to see Iran in context, and that’s something we’ve sought to do in all the reports that we’ve had here. Iran has not been sprinting toward a bomb, despite the Chicken Littles in this town and elsewhere who have been predicting an Iranian bomb every year for the last 15 years. The Iranian program started in 1957. China is real. India, Pakistan and North Korea have all gone nuclear while Iran for long periods of time was just treading water.

Now, the program has accelerated in the past five years. The most recent estimates we have from the IAEA are troubling. Iran now has about 4,500 kilograms of uranium enriched to 3.5 percent – U-235 – and more than 70 kilograms of uranium enriched to 20 percent U-235. And that’s enough material if it were further enriched to make a couple of nuclear weapons.

On the positive side, Iran has provided the IAEA with a little bit more access than it has recently. In August, inspectors were allowed to see a heavy-water production site and a heavy-water reactor. This is another potential source of bomb fuel. And inspectors were also allowed to see an R&D facility for advanced centrifuges. But Iran still refuses to answer questions about alleged military-related nuclear work.

According to Dr. Heinonen, the last meaningful discussions about the so-called military dimensions took place three years ago. Inspectors have not been allowed to interview key personnel, such as Mohsen Fakhrizadeh, a nuclear physicist and officer in the Revolutionary Guards who is alleged to have directed nuclear weapons research. And Iran has not implemented the additional protocol to the NPT so that the IAEA can go where it pleases when it pleases.

The Iranians play with us. They are enjoying the anxiety and consternation that their behavior creates in the West. It’s a kind of revenge for 30 years of isolation and sanctions. I think strategic ambiguity suits Iran’s purposes. It puffs up its sense of self-worth without forcing it to quit the NPT and lose the political support of nonaligned countries, which is very important to Tehran.

In my view, Iran will continue to skate close to the edge of the NPT as long as possible and will not cross it certainly until it has large quantities of highly enriched uranium or it’s attacked, in which case it might have justification for quitting the NPT and sprinting toward a weapon. Iranian leaders, as has been mentioned by Ambassador Eizenstat, are preoccupied with many problems right now – economic and political.

And of course, they have the crisis facing their close Arab ally, Syria, to deal with. The challenge for the United States and its partners is to keep retarding the nuclear program through policies that have proved relatively successful, persuading for example the few suppliers of such key materials as maraging steel and carbon fiber – if you want to know what they are, it’s all in the report – persuading them not to sell to Iran and interdicting shipments when they do occur. There’s also been sabotage of machinery and cyberattacks that have proved their worth.

At the same time, there should be a renewed push for a diplomatic resolution – as difficult as that is – given Iran’s fragmented domestic politics and the fact that the United States is in a presidential election year. I think we should take advantage of the fact that the Iranian foreign minister right now is an MIT-educated nuclear physicist – Ali Salehi. And he appears to be taking the lead away from a less qualified though nominal chief nuclear negotiator, Saeed Jalili.

To produce an atmosphere more conducive to a diplomatic solution, the United States and other NPT-recognized nuclear powers must keep their commitments to continue reducing their stockpiles of nuclear weapons and they should refrain from nuclear testing.

They should also try harder to convince India, Pakistan, North Korea and Israel to curb their programs and press India and Pakistan to reach arms control agreements, which I think would be very useful.

All of this could lessen Iran’s justification for its nuclear program and reduce Iran’s ability to decry double standards in the way the world treats countries with nuclear programs. It’s not too late for Iran to climb down the nuclear ladder. It’s always possible for Iran to answer the IAEA’s questions and to start again with a clean slate. South Africa did so and so, the world belatedly learned, did Iraq.

The uncertainty surrounding intelligence about Iran’s nuclear program are a reason for caution, not defeatism or despair. And with that, I’m going to turn over to our eminent panel. We’re going to start with Dr. Olli Heinonen, who was the deputy director of the IAEA for many years who has probably more on-the-ground experience in Iran than any other nuclear inspector. He’s now at the Belfer Center at Harvard.

He will be followed by David Albright, who is the president and founder of the – let me get this right – the International Institute – no, sorry – of the ISIS. I always get ISIS and IISS confused – the Institute for Science and International Security here in Washington and has also written perhaps more than any other expert on the subject.

Without him, we would not understand the IAEA reports that come out periodically, because his organization tells us immediately what’s important in it and what has changed.

And finally, we’ll have Dr. Paul Pillar, who is currently an academic but had a long and distinguished career in the CIA; was the chief national intelligence officer for the Middle East for many, many years; tried very hard to bring about intelligent policies regarding rogue states and terrorism; tried very hard to convince the Bush administration to think about the consequences of invading Iraq before it did so.

And I think he’s going to have a lot to say about how the intelligence community has evolved in terms of its evaluation of nuclear programs in difficult authoritarian states like Iran.

Olli? You guys stay and come to the podium then.

OLLI HEINONEN: Good morning, ladies and gentlemen. First of all, thank you very much – inviting me to this panel and also giving me my opportunity to express my views on Iran and intelligence, which is basis for many countries in their decisions how to deal with this problem.

And let me start from the nuclear program of Iran by simply stating that it’s really a matter of concern. It’s a matter of concern in various ways. When Iran is now reaching this semi-industrial – or has reached the semi-industrial enrichment capability, I think it has permanently changed for the time-being the nuclear landscape in the Middle East.

We are in a certain way lucky that Syria didn’t have that reactor because that would have been dramatic change for the landscape in Middle East. But there is still time to stop and take a stock of Iran’s nuclear program by the Iranians. Do they really need it? The scope and content of the program is not transparent.

Last week, we heard where – or earlier this week we heard when Mr. Amano in his opening statement said that Iran has shown greater transparency vis-à-vis its nuclear program.

I disagree with that statement. In my view, Iran has not shown transparency, and transparency is not the first thing which Iran has to do. The first thing Iran has to do is to meet its legal obligations under comprehensive safeguards agreement. Only after those have been – activities have been done, we can start to talk about the transparency and the contribution of transparency to this process.

They are not complying with the terms of safeguards agreement. They are not heeding to the resolutions of IAEA board of governors and to the resolutions of the U.N. Security Council. They are legal obligations. They are must – a must. And after that comes as an add-on thing, transparency, which means openness, explanations, access to information, access to the sites – we have not seen that.

My present successor visited a couple of sites in Iran, which was hailed by many IAEA member states. I think it’s wrong. He had a legal right to go there as a head of the department of safeguards under the comprehensive safeguards agreement. If he visits Bushehr, in my view that’s not a transparency. There’s a safeguards agreement in force, and IAEA inspectors visit constantly Bushehr.

There is nothing, which in my view in that report of IAEA reflected something additional coming out from visit to Bushehr or visit to Isfahan or visit to Arak heavy-water reactor. Heavy-water reactor is also under IAEA safeguards, and the inspectors can go there under the safeguards agreement.

So where is Iran heading to? If we look today, as Barbara said, the progress has been slow but it’s steady. It’s very difficult to predict the future.

But if we just look what we now know, by end of next year, Iran will have – if their stockpile of enriched uranium either 3.5 percent enriched or 20 percent encircled uranium, which they now produce in greater quantities – an amount which will be suitable if it is turned to high-enriched uranium to something like 120, 150 kilos of high-enriched uranium, enough for half a dozen nuclear weapons.

That transformation from 20 percent enriched uranium or 3.5 percent enriched uranium doesn’t come overnight. And I understand that David is going to talk in more detail about it. So I put that one aside.

Tripling of the production of 20 percent enriched uranium is troubling. Iran has no need for that. Several technical reasons – first of all, as Barbara said, they have now 70 kilos of UF6 20 percent enriched. You may recall that in end of 1980s, IAEA helped Iran to get fuel for the Tehran research reactor.

The fuel consignment was 115 kilos. And Iran was able to run that reactor and is still running it as of today, 20 years. So this 70 kilos of UF6, which is now there, is enough for 10 years. So there is no need to boost and add to the stockpiles, as Mr. Abbasi-Davani says. They continue still to build it.

At the same time, if you go to the world market, there is 100 tons of highly enriched uranium in Russia waiting for a client. So you can buy it. You don’t need to produce it yourself. And I’m sure that the Russians are glad to provide Iran with 20 percent enriched uranium – (inaudible) – money. So there is no technical reason to do it.

At the same time then, Iran is going ahead slowly with the heavy-water reactor. You saw from the latest IAEA report that now they start small-scale experiment with – to produce 20 percent enriched uranium oxide. This is still a long process before actual fuel elements will be popping up from that facility, which still needs to be constructed. These are all small laboratory-scale experiments.

So I would say that scale and a – (inaudible) – of plutonium productions, they are about five years from now when Iran may reach that capability that they can produce lots of quantities of plutonium.

But nevertheless, it’s there. And for no reason if you look it because there’s no point of them building a heavy-water reactor if they are investing to light-water reactors and justifying this investment by – (24:20 inaudible) – Qom. The Qom is also in a way another concern. It’s a hardened place. It’s underground.

I understand that in the Middle East the circumstances perhaps warrant that you protect your assets. But what’s the problem there is that Iran should have by now one or more such installations under construction.

If we go back a year ago in history, Iranian officers said that by March this year, 2011, they will start the construction of the next facility. They have not said whether they have started or whether they have not started. That is for me a transparency, and that transparency is missing.

Then the last point, which I want to make, is this military dimension, which we know very – some details, and IAEA has not recently updated the international community about its own findings.

The latest large report is from May 2008, where you see the topics with this – Mr. Fakhrizadeh was working with it. All those question, which were raised at that point of time, remain unanswered from the Iranian side. Not one single clarification has reached the IAEA yet to the best of my knowledge.

There are some additional new questions, which have been raised, in particular with regard to the neutron physics and high explosive tests. What they exactly are, I think this is for IAEA to explain. So this is what I was asked to explain in a nutshell, and the next things come then in the panel. Thank you very much. (Applause.)

DAVID ALBRIGHT: So thank you very much for having me here. At ISIS, we’ve been trying to spend a lot of time on Iran and trying to make sense out of what they’re doing. And I must say from a – from a group that’s spent a lot of time in the past assessing Iraq, I personally started in the ’80s and worked very hard on it in the – in the ’90s and into early 2000. I find the Iranian situation very different.

And I think what I’d like to do at the request of Barbara is not so much talk about what happened with Iraq or how the situation with Iranian information is different but kind of get into an example of how the information is used differently. And that kind of speaks to the quality of the information.

And I think I’d like to start by just saying that, you know, to kind of step back and that all of you know that the Obama administration is pursuing an approach involving pressure and diplomacy. And it’s mostly pressure now. And part of the reason for the pressure and the justification for it is that it’s worked in the past. You combine sanctions, isolation, and then you hold out a hand. You can get countries to change their behavior.

And Barbara mentioned South Africa. Brazil in the ’80s was put under a lot of pressure to in a sense come clean about its secret nuclear programs organized with a vision of getting a peaceful nuclear explosive – Libya in more recent time. So this kind of pressure does work.

But historically that kind of pressure has been rather passive, and I think one of the changes in the Iranian situation is that this waiting is somewhat intolerable. And so there’s been, I think, a more aggressive, kind of proactive component of this pressure that’s arisen. Now, some of that existed in the past with South Africa – I don’t – somewhat with Brazil very little. But I think in Iran you’re seeing it really reach a new – a new level.

Some of it, yeah, you can live with – Stuxnet cyberattack. I mean, but it has consequences. I mean, Iran’s now feared to be working to attack us, and it’s certainly expanding its cyberwarfare capabilities. One that I think everyone would condemn is the killing of Iranian nuclear scientists. There’s been an increase in that.

Ones that are easier to deal with is increased intelligence efforts to penetrate the program, to get human intelligence, to get – to get spies – where you’re exploiting the weaknesses and contradictions in the regime.

The Qom site, at least in part, was due to that from what I understand, the revelation of the enrichment plant. And so I think that it’s – much of it is good. Some of it is very bad and could have some very negative consequences for us. But what I’d like to do now is focus on one part that isn’t really very often in the headlines. And that’s the – sort of the longer-term effort to make it harder for Iran to get the wherewithal to put together its nuclear facilities.

Barbara mentioned maraging steel, carbon fiber, mentioned this in general. But it’s a very large international effort to try to delay Iran’s ability to put together its ambitions. And it focuses on many items.

I’ll focus centrally on the gas centrifuge program, where you – there’s just things that Iran can’t make and that they have to go out and buy them. And a lot of those – all of the things in this centrifuge program are in that – are in that category, things affecting individual centrifuges.

The maraging steel is very important in the IR-1 centrifuge for a part. Carbon fiber is essential for making advanced centrifuges. In the cascades – and this was a surprise to us at ISIS – is we found that many of the ways to create bottlenecks for Iran were in the equipment that goes into making the centrifuge plant itself – vacuum pumps, things to put together the cascades, vacuum measuring equipment.

Surprisingly they can’t make it and they’ve tried. But you get problems on reliability and just longevity. And the Western, Japanese, U.S., you know, suppliers make the best stuff. And Iran goes after that continuously even today.

Now, what’s been done to make it harder for Iran? I think trade controls, which you’re probably all familiar with – export controls – are littered with loopholes, and they’re usually not seen as very effective. And Iran’s been able to dance around those for a couple of decades. But what changed the situation was the U.N. Security Council resolutions on Iran. What it did was it created a – in a sense a ban of the supply of nuclear goods to Iran.

So you couldn’t provide anything to the nuclear program. And it created a standard. And it’s not easy to implement but it is being implemented slowly. And what you’re seeing is that where Iran used to be able to go out and exploit loopholes, they’re actually running into a brick wall on many items. And there’s gaps in that system, but nonetheless it’s actually improving with time. Another part of it is that governments and industry are cooperating more.

But that’s – industry has always been the lookout in a sense because they – Iran does smuggling. It’s a very elaborate illicit smuggling operation. I guess that’s redundant – illicit trade operation.

But at some point their operatives, whether they’re knowing or not, have to surface and contact a supplier, who’s not involved in this whole thing. And those things are increasingly detected.

Those efforts we call inquiries or requests for a price quotation. Those are being detected more by the suppliers of high-technology items, and with increased government cooperation those items’ inquiries are being turned over to government. And they’re very valuable because they are the current efforts of Iran’s illicit trade networks to get items. And they can be used to disrupt, prosecute. Barbara mentioned sabotage.

Certainly we’re aware of cases where intelligence agencies or governments feel, well, look, they’re a thief in our country trying to break out laws. What’s wrong with breaking some equipment or sabotaging it in some way and putting it back into their system? I mean, they’re not buying this legitimately.

How long?

MS. SLAVIN: Five minutes –

MR. ALBRIGHT: OK. All right. Now, what have been the impacts of this particular effort? And I would say that it has – I mentioned this helped slow the centrifuge program. We think it’s likely capped – and Olli’s researched this quite a bit – likely capped a number of IR-1 centrifuges they can build. You haven’t seen any increase there.

You’ve actually seen a decrease in the number of deployed IR-1 centrifuges at Natanz over the last year. And we think they may have trouble. And again, in this – in this case it’s being driven by the – a shortage of maraging steel. This may have prevented Iran from building thousands of advanced centrifuges.

They’ve had trouble getting carbon fiber and they’ve said recently they can make it themselves, but we don’t think they can make the quality carbon fiber you need for an advanced centrifuge. It’s also – it’s limited Iran’s ability to acquire knowhow and expert help, which they need – that it is the – again, with the sanctions resolution, the Security Council resolution, this is all banned, and so it’s more easy to enforce it.

And then of course there’s – you get quicker and more systematic detection and prevention of Iran’s illicit networks, and that’s very important. And also you get more information about what they’re up to. It’s strategic intelligence on the status and in a sense the ambitions of their nuclear program.

Now, Iran of course is not taking this lying down and it’s a very dynamic situation. Their announcement on carbon fiber was to try to say, look, we’re going to make this ourselves.

They’ve tried to say, we can make vacuum pumps.

And they also – you have to look at the – at least the resistance to releasing these hikers as an effort to say to the United States, look, we know you’re getting our smugglers You’re prosecuting them. You’re putting them in jail. They’re pleading guilty.

We do very aggressive sting operations. ICE does those, and they’ve gotten some really important Iranian smugglers. And Iran wants them back. And so part of the hiker debate or debacle is really over an Iranian game plan to say, look, we’ll make a trade.

And of course the U.S. says no.

And then they launch more secretive smuggling efforts, which are harder to detect. So it goes on and on. And also I just should add this for completeness: that this effort by itself can only do so much. It’s not preventing Iran from enriching uranium. It’s not preventing Iran from deploying a limited number of advanced centrifuges and it certainly can’t prevent Iran from deciding to – and implementing a plan to build a nuclear explosive device if they wanted to.

At ISIS, we see that as the more likely scenario, not a deployed warhead. This thing will evolve to a point they get HEU, and they’re capable then of developing a nuclear explosive. And that would be probably the first thing that they would do rather than deploy them on missiles, which we think would be much further out. But nonetheless you can’t do that with this method.

So it’s only one of many things that has to be done. And that’s – certainly a very high priority is to figure out, what is effective on this pressure side and then what’s acceptable and doesn’t have too many downsides. And I think that’s a very challenging thing. And we shouldn’t be too quick to just get behind cyberattacks, for example.

I mean, we’ve lived – we’ve come to live with sabotage, certainly killing of Iranian scientists. And in fact, you know, one downside already is somebody tried to kill Abbasi-Davani, who we feel comes out of their weapons program. He’s now head of their atomic energy organization and he’s been issuing pretty dramatic statements over the last month, some of which contradict Ahmadinejad where Ahmadinejad is starting to look more of a softie than Abbasi-Davani. And we don’t know who’s really speaking for the Iranian regime.

So anyway, let me just end on that note, that it’s – this effort, I think, has been very important in achieving some goals to slow down the program. But by itself, it can’t do it all. Thank you.

PAUL PILLAR: Well, good morning. My thanks to the council and to Barbara for the invitation to participate. For those of you who haven’t read Barbara’s paper, I certainly commend it.

I had hoped to come up to this platform with some things to say by way of critique of the paper but I really don’t disagree with anything in it, including the policy recommendations. And it’s an excellent primer that goes far beyond the title just of the reliability of intelligence.

I have to start with a disclaimer that I have absolutely no inside information about what the current intelligence community is seeing, reading, listening on this topic nor what they are saying to the policymakers. I see what dribbles out publically just like everyone else. I’m also not the real expert about the details of the technical stuff, as my fellow panelists are.

So all I’m going to do is take a few minutes to make some comments about how the U.S. intelligence community tends to handle topics like this one of the Iranian nuclear issue and in particular how its handling tends to diverge from public perceptions of what’s going on. There’s a strong tendency to look to the intelligence community to make up-or-down judgments on something like this.

You know, this was very much the case with the Iraq question. You know, does he or does he not have WMD? And things tend to get dumbed down even if this is not the way they come out from the community’s mouth – dumbed down to this up-or-down, yes-or-no, on-or-off kind of judgment.

In fact, the output of the community on these questions is inevitably highly probabilistic. It’s a matter of tendencies, probabilities, likelihoods, unlikelihoods.

The community is called on to make all kinds of judgments, including ones that get dumbed down to the yes-or-no variety, whether or not there’s a strong basis for making a definite yes-or-no judgment or any more basis for making that than there are on a lot of other matters on which is does not make judgments that become the stuff of a lot of public commentary in this town.

Whether or not the community does offer a judgment on something like, does country X have an active nuclear weapons program is a matter of political and policy demand. It’s not a matter or a reflection of the strength of the evidence on which the judgments are being made.

Now, related to that we tend to seize on some of these publically made available – publically available judgments when there’s an unclassified version of one of these assessments that comes out on the confidence levels that are offered. You know, we have high confidence of this, medium confidence of that.

And I want to urge you you’ve got to place that in the context of these are confidence levels about the sorts of stuff that the intelligence community addresses, which immediately gets you to large – a high level of uncertainty. Things don’t become intelligence issues. If we’re really certain about them in the first place, we wouldn’t need the intelligence community to pronounce on these sorts of things. So when you hear something of a high confidence, that’s relative to a lot of other things, where it might be little more than a coin flip is the basis on which the analysts have to go on.

There is also a related tendency to seize on these specific aperiodic pronouncements usually in the form of national intelligence estimates, which happens to be, you know, one art form that people have heard about because it’s been around for a number of years. But it’s only one of many different art forms that are used by the community to convey its analysis and judgment to their customers, the policymakers.

And so there are these few ones that come out, in the case of this particular topic, sort of every three years or so. And either there’s an unclassified version that’s officially released or there are leaks and dribbles that come out unofficially.

And people seize on these with bated breath as if the community had been doing absolutely nothing in the ensuing, you know, three years since the last one of these things with the initials the NIE – that came out.

And if there’s some sort of change from the last one, then the commentary one hears is to the effect that either there must be some new critical piece of evidence or the community is admitting error because they screwed up and missed it the last time around. In fact, the process is not that at all.

It’s a much more gradual, incremental process, which the theorists of such business would describe as good Bayesian analysis. Adjustments are made as new bits of material come in. Seldom are the judgments on this topic resting on any one critical bit of information, be it a laptop, a death or a particular human source.

You’ve got analysts who are trying to piece pictures together from lots of different fragments of information and that’s the typical day in the life of an intel analyst. And that’s just as true of this topic, of the Iranian nuclear program, as it is of many others.

Nonetheless, when one of these things dribbles out, a particular source, a particular piece of evidence, it tends publically to get seized on in a way that really outstrips the significance that it has in the analysis on the inside.

Now, I was asked to – by Barbara to make some comparisons with the Iraq situation. Both cases, we’ve got a hard intelligence target with regard to a regime that has reasons – albeit it might be different reasons – for concealing parts of what we would like to know.

That’s a rather basic limitation that we face in each case. I would say in the – in the current Iranian case there is an additional, major challenge of facilities and subprograms we may not know about at all. So it’s not just a matter of interpreting what we are aware of on our map but not really being sure that there aren’t other things that haven’t shown up on our map in the first place.

As for, you know, what the analysts can do and how well they’re doing it and how much they can be trusted, by far the biggest difference is the one that Barbara already mentioned. And that is that we do not currently have an administration that has decided to launch a war and to use the effort – the issue of a nuclear program or an unconventional weapons program as a major selling point for doing so.

And not having that kind of political environment is by far the biggest difference in what the analysts are doing today with regard to Iran as compared to what was being done with Iraq. So in that regard you could say the current problem is a little easier to handle, and perhaps what you hear and what dribbles out can be trusted somewhat more.

I would note just as a countervailing point in terms of something that’s perhaps more challenging in the Iran case is we have of course lurking in the background of this whole debate about the Iran nuclear issue the prospect of using the military option, of going to war again, but in this case to try to knock out the Iranian nuclear program.

And there that implies a very difficult intelligence task of coming up with all the detailed information including those facilities we can’t be sure we don’t know about that would be needed for targeting information. And that wasn’t the problem with Iraq, of course, where we had a full-scale invasion to overthrow the regime. It wasn’t just targeting particular programs.

Now, all this has to do with capabilities. We’ve heard a lot about intentions and the community tends to be looked at to make judgments about intentions, at least as much about capabilities. You know, are the – do or do not the Iranians intend to build a nuclear weapon? You hear that question all the time.

And my basic point would be it is simply not possible to infer with a high degree of reliability, or even a moderate degree, intentions from what we see about capabilities and programs, even though in the public discourse we hear a lot about that. You know, why would they be doing this and have this particular effort or buying this particular bit of material or whatever if they didn’t intend to go all the way and build a weapon?

Well, there are all kinds of problems with that, not just the fragmentary information about what they’re doing on the capability side but two other very basic limitations about intentions.

One, lack of direct access to the innermost decision-making circles in which such intentions would play out and secondly, and I’d say this is the most important thing, the biggest decisions we’re concerned about are decisions that have not yet been made.

And you can’t rely on either the intelligence community or anyone else to make some sort of judgment and for you to rely on that judgment if it’s about a decision that hasn’t yet been made.

My final closing point is just to amplify something that’s come up in the remarks of a couple of the previous speakers. And that is, the single best source of information about programs of this source – this was true of Iraq, it’s true of Iran – is an international inspections regime.

And in the case of Iraq, the flow of information was very good when we had it. It was suddenly a lot worse when we didn’t, whether it was because Iraq kicked out the inspectors, or as it happened closer to the war, when the U.S. kicked out the inspectors.

So my concluding observation would be, if we want to try to increase our collective confidence about what we can say about this particular program in Iran, the best way to do that would be to strive for a more inclusive and more extensive intentional inspections regime.

MS. SLAVIN: Is this on? Yeah? Thank you very much. Thanks to all our speakers. We have a big audience and a good audience. I’m going to start with just one question.

If I could persuade Dr. Heinonen to go a little bit deeper into the so-called military dimension, because you told me some very interesting things about the conversations you had with the Iranians in the spring and the summer of 2008. You said that they actually admitted that they had done some military research and then reneged on further explanations. If you could talk a little bit more about what they said they did and then what they said they didn’t? Thanks.

MR. HEINONEN: Yes, in 2008, as you mentioned, we had quite extensive discussions after that famous work plan which really never got implemented from 2007. We started again in spring of 2008 discussions mainly through Mr. Aghazadeh who was at that time the head of the atomic energy organization. And he facilitated a number of meetings with the Iranian counterparts.

And the idea of the IAEA was – because this was much to do with this information which came as – (inaudible) – kind of intelligence information or information which IAEA had collected itself and put together and were a part of that military dimension.

So we agreed of the approach that since Iran said that some of this – that this is all false, fabricated information. But there were elements there which were hard facts. There were institutes. We knew people, we knew experiments which had been made, equipment which had been bought. So that go through this material together with the Iranians and draw a line there first what is actually true and what is not true.

And in this process – I’ll just take a couple of examples. One was the high explosives studies and this very high precision in timing when you make multiple detonations in, let’s say, time frame of microsecond scale. They say that, yes, actually we have done. We have some civilian and conventional military applications for this. They share with us documentation which supported generally some of the experiments.

So these experiments were done. But then when we wanted to go further and to talk with the scientists themselves, then we hit a wall in order to go ahead and understand what is that particular civilian application where you need one microsecond timing in having bringing a building down or bridge down or make an oil well somewhere.

And that’s where it stopped. And similarly you might remember that a lot of talk was about this PowerPoint presentation. It had a video which was shot in the workshop in Tehran. It had also some still photos from those workshops. So we agreed with Aghazadeh in August 2008 that let’s visit these workshops because they were real workshops.

Some of them had websites. So you could go to the website, see it. You could via satellite imagery have a photo, look that the shop is still there, the painting is in the roof same as it was five years ago or six years ago, it had the same telephone number – with one exception; that’s because this was old information. Tehran telephone system changed meanwhile. So there was that extra digit was missing from that telephone. You call to that number, there’s a guy who picks the phone.

So our idea was to go there to see whether this video was shot in this particular workshop, see and talk with the people that what was the conical thing which they were building and welding there. It didn’t unfortunately work out. I remember the day when it flopped. It was the good day in August 2008 when the Iranian government decided that it’s over now.

And since then we didn’t have any – to best of my knowledge any substantial discussion on the military dimension of the program. But then there is another military dimension which very often gets omitted. And this is the participation of the military installations to the nuclear program itself. Iran has acknowledged it. And in a certain sense it makes sense.

For example, David mentioned this carbon fiber – making carbon fiber rotors. So that workshop is a subcontractor for aerospace industries – for aerospace industries organization. And there is nothing wrong of a military workshop working because they have the capability, skills. They are used to work with these kind of materials. They are also manufacturing components for centrifuges. They have (flow forming ?) machines which you need to use when you make these rotor segments or bellows for IR-1 centrifuge. The workshop has the skills to work with hose hard materials and instruments.

So it doesn’t make the program a military program as such. And I know from the European context that, for example, when the Brits started to make their own centrifuges 40 or 50 years ago, they used a lot of workshops which actually were belonging to the armed forces because they had the skills.

MS. SLAVIN: Thank you very much. I appreciate that. Let’s open the floor. Please wait for a microphone and identify yourself. I think perhaps we have somebody with a mic? OK, yeah.

Q: Thank you. Peter Crail from – is this on? Peter Crail from the Arms Control Association. I just have a couple of questions, mostly for Olli but I’d appreciate views from the rest of the panel as well. Olli, you mentioned that the recent visit by Mr. Nackaerts, that a lot of facilities that he visited, Iran was already obligated to show the agency.

One of the facilities that unfortunately Iran wasn’t legally obligated to show was an R&D facility related to its new – its advanced centrifuges. I was wondering if you could talk a little bit about how important it is to get access to those facilities and also if you can clarify – I believe you had a similar visit in 2008 – whether or not it was something similar.

And secondly, Amano had recently suggested that the IAEA might conclude a judgment on Iran’s military program similar to what it had done in Syria in terms of saying whether or not this likely happened or not. I was wondering if you could talk about the prospects for that moving forward. Thanks.

MR. HEINONEN: Well, first of all, I don’t know exactly which locations Mr. Nackaerts saw and which places – and what he was told because, well, it’s nice to see a workshop, nice to see someone machining, you know, some metal pieces. Engineers like to see this sort of thing. But the reason for such kind of visit is different.

This is a visit to – in the context of transparency, to understand the scope and the content of the program, to understand why they do this, how many they plan to do in next 10 years, talk with the scientists, engineers, designers. This is the one which tells about the scope and content of the program, which is important.

Certainly one can also get some information based on assessing whether I have seen all the centrifuges which they might have been manufacturing. I think this kind of workshop visit is – it’s a very limited addition to what you need to know, I would say – say that.

Then, putting out the information same way as what we did in May 2008 when the IAEA published last time the military dimension, but this time approach it the way they approach for the case of Syria.

That’s a hard thing when you – you know, in 2008, we just listed facts. We didn’t make an assessment whether this or that but we listed them and said that these are matters of concern. We want to understand why these events took place, why these experiments are there because they point to the direction that there might be a dimension in this nuclear program which is worrisome.

But Syria went one step further and Amano said that it’s most likely that it was reactor. Actually this was very likely from the very beginning. We just didn’t say it and what we didn’t also I can say now. I regret that we should also have said in 2008 that Syria was in flagrant violation of its safeguards agreement and it’s still that. But let’s put this one aside.

So it’s going to be a big groundbreaking thing if he is going to really to come with the assessment on a transparent way so that the international community can read from that report, as Mr. Pillar said, that these are the facts. This we know that well. Here is this answer, then then the answer to that. There are gaps in knowledge for sure because these are just pieces which are worrisome.

It’s not a Manhattan Project which is laid out in front of you and on a project chart. So he has to then make an assessment based on this that there is a highly likelihood that there is a nuclear program. Then he has to decide, is it a program which is actually with the ultimate goal to build a nuclear weapon or is it a program where you collect slowly information that you have some kind of a, let’s say, engineering base, knowledge base to build a nuclear weapon if you come one day to that decision.

These are the things that I think which IAEA is going to face and it’s going to be difficult thing. I was part of those processes in South Africa and Iraq. And at the very end, you know, the best for the IAEA would really go to Iran and talk to the people who know.

It may only be a handful of people in Iran who really know the real goal of the nuclear program. That’s the problem we have. We just see symptoms which are worrisome.

So I don’t know what is his plan. But I would recommend him really think carefully, you know, on this process, how to do it and what he wants to prove and how to prove because it has to be transparent also, the IAEA report.

MS. SLAVIN: Thanks very much, Olli. Another question? Yes, this lady here? Please identify yourself.

Q: (Inaudible), Voice of America Persian News Network. Does IAEA have the capability of, you know, monitoring it in full, human resource, or do they have this capability?

MR. HEINONEN: For sure. IAEA is same as IAEA member states. There are 155 member states in the IAEA. There is IAEA secretary department of safeguards that has about 800 people with the various technical background. So there is knowledge and experience for this kind of analysis. IAEA started to use – do this what we call all-source information analysis slowly in early 1990s as a result of these lessons learned from Iraq.

So there’s a system in place. There are practices and there are people who are – you know, have the know-how. Then you may have some specific questions when it comes, for example, let’s say to these detonation experiments. You cannot have a big ground or high explosive scholars or scientists in your payroll.

Then the IAEA normally recruits consultants and mainly from countries who have the experience with seeing these cases, permanent five or nuclear weapons states, and we draw – IAEA draws expertise there, gives the problem to them, but then it doesn’t use that as a conclusion. Then the secretariat will check the veracity or the mechanism that they came to the conclusion. Does it make sense with the other information which you might have?

So it’s a very complex process but I don’t think it is very different from the process which intelligence agencies use in their work. They also don’t have always all kinds of experts – experts in their payroll. They recruit additional resources and knowhow when they need.

MS. SLAVIN: Yes, the gentleman there?

Q: Yes, my name is Bahman Batmanghelidj, Alliance for Democracy in Iran, founder. There is a proven reserve of gas in the world of 930 trillion cubic feet. Iran probable reserve – Iran’s natural gas, 930 billion – trillion cubic feet, enough for the next 200 years of population of 170 million people.

No attempt has been made by the media to explain that directly to the Iranian people and to the world at large there’s no justification for nuclear power for Iran, question number one. Number two, my question to the panel – I don’t know who would like to answer this – is in reality there is now enough oil in the world. There’s no justification for oil being at the price it is today.

When bin Laden was killed, the price of oil went down $15 – 15 percent in 48 hours – 15 percent in 48 hours. The question is, isn’t this rather a red herring, this whole business of nuclear for Iran? They’re happy about it. The oil producers are happy about it and certainly the – (inaudible) – are happy about it around the world. Thank you. That’s my question.

MS. SLAVIN: I’ll make a brief comment. I don’t know if anybody else wants to jump in. We don’t have energy experts here on the panel but we’re in a kind of catch-22 with the Iranians because one of the results of their nuclear program has been all these sanctions which have retarded Iran’s ability to exploit their enormous gas reserves.

I absolutely agree with you. They have enough natural gas to take care of all their needs for a very long time. I think any one possible way of approaching a solution to the nuclear issue would be to offer the Iranians expertise in developing their gas reserves in return for curbs on the nuclear program. And with a good explanation to the Iranian public about why that offer is being made.

I don’t know, Paul, if you want to jump in about the price of oil and bin Laden.

MR. PILLAR: As was explained to me by officials in the United Arab Emirates the last time I visited there as to why they have a nuclear energy program despite all their oil, the economics are such that preserving more of the natural resource for export can indeed make economic sense. And that’s in addition to what Barbara mentioned with regard to the difficulties of developing the resource.

So I don’t think, you know, the voluminous oil and/or gas is a reason to draw the economic implication that it does not make sense to have a nuclear energy program for domestic consumption. I say that as a non-economist but I’m just – I had that lesson impressed on me when I was in the Emirates.

MS. SLAVIN: OK, thanks. OK, Bob Dreyfuss and then we’ll go to Doyle McManus.

Q: Yeah, good morning. I’m Bob Dreyfuss. I’m writing for Tehran Bureau and for The Nation. I have a question about intelligence and the IAEA. I seem to remember pretty clearly that during the Iraq time that there were spies inside the IAEA project in Iraq who were involved in gathering intelligence quite apart from the IAEA’s efforts, legitimate under the international community.

Does that not mean that Iran would properly draw the conclusion that if it opens the doors to some of these facilities, especially because of the targeting question that Paul raised, that this would then – because the CIA would obviously be then called to provide targeting data if the administration decides to launch an attack.

So doesn’t that mean that Iran is quite rational in refusing access to the IAEA or – and what efforts are made to separate the IAEA from the CIA and other international intelligence services that might want to then provide targeting data?

MS. SLAVIN: (Chuckles.)

MR. HEINONEN: You’re asking me? OK.

MS. SLAVIN: I’m afraid you’re it, Olli. But David could – David could say something too.

MR. HEINONEN: OK.

MR. ALBRIGHT: I’ll jump in on this one after you. But it’s UNSCOM. It’s UNSCOM, not IAEA.

MR. HEINONEN: Yeah, Iraq thing was very different. It was run under the U.N. Security Council 687.

MR. ALBRIGHT: Right.

MR. HEINONEN: And the work in relation of these people to the IAEA was different, and also the vetting process in selecting people is a very different one compared to what is the process when your records have inspectors or permanent IAEA staff members. So there’s a huge difference here.

But having said that, you know, Iran has signed a thing which is called comprehensive safeguards agreement. It comes – it brings benefits but there are also obligations.

And obligations are that, you know, you need to make certain declarations to the IAEA about the facilities, what they do, what they process, how much were they allocated and some certain information related to those facilities. And they have to comply with that. So they know that there is a vulnerability.

In their Qom facility, which is now there underground, they knew everyone knows that there’s an enrichment facility and IAEA knows and people go there. And then to get information from that facility, actually you don’t need IAEA inspector for that.

There are today and we heard these things about Stuxnet. There are various other ways to find. But certainly IAEA perhaps could be a good target also for intelligence agencies to find information.

MS. SLAVIN: David, you want to talk about UNSCOM a little?

MR. ALBRIGHT: Yeah, well – and two things. One is it was UNSCOM that had the most egregious cases. And Olli mentioned it was very different. I mean, when I went to Iraq, the U.S. government – I was asked to go by the action team leader but nonetheless I had to have permission from the U.S. government to go, which actually I didn’t know. I was living in Europe at the time.

And one of the stipulations of giving permission was that after I came back from Iraq, I would then come and talk to them. And so my feeling – I was working very closely with the action team leader – is that I was fairly hostile in the meeting and uncooperative.

But if someone’s working at one of our national laboratories, because most of the inspectors – it’s really a misnomer in a sense – they were experts drawn from national laboratories in our case. They go back to work at Livermore or Los Alamos. So it’s a – and the IAEA safeguards division isn’t organized like this at all. And so they can create their own security system, their own loyalties.

And sure, countries are going to try to spy on the IAEA but it doesn’t have anywhere near this kind of – kind of ramped up problem that the action team or particularly UNSCOM had. The other thing is that target – I don’t think it’s fair to say the IAEA comes with targeting information.

I mean, for example, if Iran is abiding by the additional protocol, it has to reveal where it makes certain parts of the centrifuge. And of course that can become very important targeting information but Iran also knows that it can just move the capability. In the end it’s just embedded in some machine tools and some people, and they can simply move it or they can contract with different companies.

And so I would say we don’t have a good understanding right now or high confidence of where they actually make centrifuge equipment, even though when Iran was abiding by the additional protocol the IAEA knew a great deal about that.

So I think it – I think it’s also – just to summarize – I think it’s risky to attribute targeting information with what the IAEA does and then somehow use it to justify Iran’s refusal to fulfill its obligations under safeguards agreements.

MS. SLAVIN: Good, thank you.

MR. PILLAR: Yeah, I would agree with that. If those obligations are being fulfilled, then the locations of facilities will be known and Western intelligence services don’t need to penetrate an international organization to find that out. All they need to do is pay attention to the public reports of the agency.

MR. HEINONEN: Could I – just a couple of examples, you know, from Iraq? First of all, their main nuclear weapons establishment was never bombed during the Gulf War I, with the exception of the restaurant and the high explosive test bunker. Those were the two buildings which suffered during first Gulf War in al-Athir and there were tens of buildings in that area, huge ones.

But then a more specific example about the assets, Iraq had attached workshops, these flow forming machines which are important in making centrifuge rotors. They didn’t get damaged in the first Gulf war. They didn’t get damaged in any of those subsequent attacks because they move them away just before the bombing starts. And I think Iran would do the same.

MS. SLAVIN: Good point, good point. There’s a gentleman all the way in the back.

Q: Yes, hi. Doug Birch from the Associated Press. I had just had a question about the deaths of Iranian nuclear scientists. Putting aside the moral issue, is it – I’m assuming that this is an effort to disrupt the nuclear program in Iran. Is it an effective tactic? Is it a self-defeating tactic? What are your views? Any of the members of the panel, I would like to hear your views, please.

MS. SLAVIN: Olli, you want to grab that one maybe or –

MR. HEINONEN: Well, it’s –

MS. SLAVIN: OK, I was going to ask Paul first.

MR. HEINONEN: Maybe I say one more thing, just to this one and then I’m done with that. So the guy who works in the program – nuclear weapons program – may not know that he works in the nuclear weapons program. There are a lot of duties and jobs there which have no nuclear tie.

And if you look – for example, one of these persons who was assassinated and his work with the fast-acting switches, with these electronic switches, if it was to do with the nuclear weapons program, there was no way that he can perhaps himself associate it with that because they are used in so many other places – with missiles, hospitals and so on – unless he was told that this is part of the nuclear weapons program.

So in that sense and knowing that intelligence is well-penetrated in Iran, I have some difficulties to understand that that guy sent (the ramification ?) around because I don’t think he knew if it was for that program that he was working for that.

MR. PILLAR: All I would say is if the state and progress of the Iranian nuclear program depends on what is walking around inside the heads of, you know, one or two key officials, then we’ve got a lot less to worry about this program than most of the discourse would lead us to believe.

MS. SLAVIN: Yeah, Doyle?

Q: Doyle McManus from the Los Angeles Times. Paul Pillar touched all too briefly on the difficult in assessing intentions as well as capabilities. I wonder if I could ask you to go a little more deeply into that. How would you assess, to the degree you can, the quality of intelligence there and what would you suggest as sensible frameworks for making those assessments?

MR. PILLAR: Well, my – ranges between an intuition and a guess is we’ve got hardly any intelligence on that, mostly for the reasons I mentioned before. This is part of the tough nut that is difficult to penetrate. I mean, you’re talking about what would probably be human, possibly technical sources in innermost policymaking circles which would be an incredibly unrealistic intelligence coup if we could achieve that.

But mostly the other point I made, I think we’re talking mainly about decisions that have not yet been made. And I know that’s consistent with some of the judgments that have come out from the community – our community itself. I don’t think that’s just a cop-out. I think that’s true.

And it has strong policy implications very consistent with the ones that Barbara mentioned in terms of what can still be headed off. It has policy implications about, you know, what sort of program – nuclear program can be – can we live with that still stops short of, you know, the feared Iranian bomb.

My sense of where Iranian decision-making is right now is that the most important decisions at the highest levels about how far to go and how many turns of the last screwdriver, if it gets that far, ought to be made are decisions that have not yet been made.

And most of those decisions will depend on a bevy of considerations that are within the power of Western powers to influence, including not just what we do relative to the nuclear program itself, including what we focused on this morning about inspections and so on, but also the whole state of Iran’s relations with the West and particularly with the United States, their threat perceptions in terms of how a nuclear deterrent may figure into their national security or not and what else is on the table in terms of what kind of relationship they could or could not enjoy if they back away from getting even close to those last few turns of the screwdriver.

MS. SLAVIN: David, do you want to add something?

MR. ALBRIGHT: Yeah, let me just add one thing. It’s not so much on the intelligence but it’s on how do you approach the problem, is what is the Iranian nuclear weapons program? I mean, you think of some secret parallel effort. But is it actually? I mean, Iran has to be worried about doing something in secret now that’s significant because they’ve been exposed so many times, repeatedly by the IAEA, by recently at Qom.

And so is their nuclear weapons program evolving to – particularly on the fissile material component – just what’s in front of us, that everything that’s there is actually known? And then what do we do about it? If the program is really just about slowly enriching uranium, then what we should expect soon is they’ll say, look, we’ve got to go to 60 percent.

We need – technically, we need a target for the Tehran research reactor. You know, they’ve said they want to put U.S. – spent U.S.-origin highly enriched uranium fuel back in the reactor in the last safeguards report. I mean, spent fuel – it’s been used up. Is this just a precedent so that they can then say, look, works a lot better with highly enriched uranium fuel. We’d better make it.

And that may be their nuclear weapons program. It may not be some parallel secret centrifuge plant that they’re trying to desperately hide from inspectors. And that perspective of what it is certainly affects the negotiations or the policy goals or sculpting tools to deal with it.

MR. PILLAR: And I would expect that all those considerations David just mentioned are cranked into the deliberations in Tehran about, you know, what to do next week, next month, next year on their nuclear program.

MS. SLAVIN: If I could just add, the issue brief has a good summary I think of the history and looks at the fact that Iranian intentions have probably changed over time depending on its circumstances in the region, depending on its relationship with the United States. In fact, there was an intelligence assessment.

I think, Paul, you were involved in that, in the winter of 2003 that was given to the White House that said if you invade Iraq, you are most likely going to spur Iran and North Korea to accelerate their efforts to get nuclear weapons. And of course we’ve seen that North Korea has already had two nuclear tests. So motivations have changed.

When Khatami was president, Iran handled the nuclear issue in one way. It used it as a tool to get negotiations going with the Europeans and hoped to expand those negotiations to talks with the United States. The Bush administration rejected these Iranian overtures and so when Ahmadinejad came in, they accelerated the program.

All of these things – there are so many variables, as Paul suggested, that I think there is still time given the amount of turmoil now in the region within Iran and so on, there is still time to affect Iranian decision-making. Yes, the lady back there?

Q: My name is Ayel DiFrancesa (ph). I’m also from Voice of America, but a different section of it. Coming to this negotiation sort of topic, we haven’t touched that at all. There have been – apart from the American initiative, there have been initiatives from Brazil and Turkey, lately from Russia. Where do we stand at all in that area? If you could start off?

MS. SLAVIN: Sure, maybe I’ll take that one. We have the Brazil, Turkey experience. The problem was that Iran agreed – by the time Iran agreed to that deal, they’d already enriched so much more uranium that it no longer would have provided the confidence that they could not quickly accumulate material to make a weapon.

So it was sort of a belated acceptance. And by the time they accepted it, of course they were trying to stave off action at the United Nations Security Council on a very tough sanctions resolution. So it looked like a ploy.

With regard to the Russian step-by-step plan, this is something the Russians have been talking about, that the Iranians will do x, and then y amount of sanctions will be lifted. And you can sort of develop a kind of roadmap toward more confidence that Iran is not going to build a weapon and lifting sanctions.

My understanding from talking to U.S. officials is that what the Iranians have agreed to do is far little to merit the kind of sanctions relief that they are seeking. So we’re now in a situation. I believe Saeed Jalili, the chief negotiator, has finally sent a letter to Baroness Ashton saying, we’re ready to talk again. Most likely we will see some sort of talks probably centered around the U.N. General Assembly.

The Iranians have promised that – they said, oh, we’ll give you full cooperation for five years if you lift sanctions. There’s a lot of game playing going on right now, a lot of maneuvering.

We still don’t have a sense of whether they are edging closer to a position that would be acceptable. The standards on the Western side are going to be very, very high. People are not exactly trusting Iran these days and we are in a presidential election year. So President Obama has really very little incentive to be forward leaning on Iran right now. But it’s still useful to maintain the process. I mentioned the foreign minister of Iran is a very experienced gentleman on the nuclear issue. And the more talks the better to get a sense of where a solution could come, if not this year then perhaps down the line. I don’t know if anybody else wants to comment on that.

MR. ALBRIGHT: Yeah, maybe just one –

MS. SLAVIN: We’re – yeah.

MR. ALBRIGHT: Are you over – do you –

MS. SLAVIN: We’re getting close to the end. I’ll tell you what. Let me – if there are urgent – any other urgent questions, we’ll take one or two and we’ll let the panelists all finish up here. Yes, this gentleman here?

Q: Right. I’m Hossein Aryan from Radio Free Europe / Radio Liberty. It appears to me that the intelligence that the Western countries have is not really that much. It’s not enough and there is a lot of assumptions as well. Sanctions haven’t worked. It changed Iran. You know, it’s biting. Assassination and all other efforts haven’t really changed Iran’s behavior, and that is what the West is trying to do. So how do you break this vicious circle? What do you have? Isn’t Iran already a de facto nuclear state?

MS. SLAVIN: Why don’t I –

MR. ALBRIGHT: Yeah, start.

MS. SLAVIN: Let’s see. Why don’t we let David start, yeah.

MR. ALBRIGHT: Yeah. You don’t know if you succeeded until you do. I mean, you know, what was the – what happened in the cases where it succeeded? They admitted they had a nuclear weapons program. It wasn’t a discussion about freezing enrichment plants. That was secondary. But it came down the state just decided we’re going to admit to having a nuclear weapons program.

And that’s what kind of popped the bubble and let things be settled. Even in the case of South Africa, they refused to admit they had a nuclear weapons program initially. It took them two years and I think U.S. Congress was getting ready to – I think, was it – they were going to condemn them in some very dramatic way as a violator of the nonproliferation treaty.

So I think in the case of Iran, I think we probably have to start shifting kind of the what we expect from them more toward, they’ve got to kind of come clean in some way. And it may not be through the IAEA. It could be through another way. Brazil didn’t use the IAEA, for example, to come clean. But we have to kind of get a more realistic sense of what we expect from them.

The other is that this apparatus that’s been constructed through sanctions to set back their program is well-developed. And I think it is having an effect. And you could almost say that it’s led to a freeze of the Iranian nuclear program, at least on the centrifuge side.

It also, by me saying that, shows the limitations of a freeze because in that freeze they can also put together advanced centrifuges in sufficient number to keep making or to accelerate their production of 20 percent enriched uranium. So while it’s an accomplishment, it’s not enough. But nonetheless, it’s there, and so if Russia comes in or others come in and say, look, give up the sanctions for some concession, there’s going to be a tremendous amount of resistance among those who are trying to negotiate this to give up this apparatus that took so many years to construct.

And so I think Iran is going to have to make pretty big concessions to get significant sanctions relief because these countries also know how hard it is to get the sanctions back. Iran says it’ll do the additional protocol or it’ll, you know, formally freeze its centrifuge program. It can reverse that from one day to the next. You can’t get the sanctions back from one day to the next.

So there’s a – the Russian proposal fundamentally is a mismatch. You’ve got – probably better to match what Iran does with incentives. I always suggested giving them a research reactor. I mean, Ahmadinejad had a – told Lally Weymouth at The Washington Post a great idea which probably should be revisited. We rejected it at first. Just sell Iran 20 percent enriched uranium.

Don’t try to get any conditions. Just sell it to them. And Ahmadinejad – or I’m sorry, shouldn’t say not give any conditions. Ahmadinejad said they would stop making 20 percent enriched uranium if the U.S. would sell it to them. Well, we won’t sell it. We can’t. But Russia could. And so I think if you match incentives for concessions, then I think you can get someplace.

MS. SLAVIN: Good point. Anybody else like to – yeah, go ahead.

MR. HEINONEN: I think – you know, we should also remember what is the purpose of the NPT. It’s not to detect a diversion of all nuclear material. It’s to prevent diversion of nuclear energy for nuclear weapons. This is what the language says. And I think that we are still in a position that we can perhaps be able to block the real diversion of nuclear energy in Iran for nuclear weapons. But time is running.

MS. SLAVIN: Yeah?

MR. PILLAR: Some of what David said is part of the problem. Basically, the Western side has tied itself up into knots with the tangled skein of sanctions. I agree that some of the sanctions have been doing some good. But I also agree that we’ve devised the whole system in such a way that for political and other reasons we’ve reduced our own flexibility. Nonetheless, all is not lost.

Barbara has articulated I think very well in her paper, and she’s reviewed some of this orally today, additional steps that could be taken. And I would suggest beyond that that beyond having the secretary of state say that someday if Iran proves itself responsible enough it can have its own enrichment program, that we really need to explore what could be done in that direction.

That is to say, how an Iranian program that includes uranium enrichment could have adequate safeguards to meet our needs as well as the Iranian needs. We simply have not explored that path.

MS. SLAVIN: Thank you. Thank you, gentlemen. Thank you very much for coming, and we appreciate it and hope you enjoyed the review. (Applause.)

(END)

Nawaz Writes on Pakistan’s Fragility for The American Interest

Highlight - Nawaz

In an article for the September-October 2011 issue of The American Interest, South Asia Center Director Shuja Nawaz discusses the fragility of Pakistan’s coalition government.

Below is an excerpt from the article. To read it in its entirety, please visit The American Interest Online.

 

After a tumultuous 2010, Pakistan entered the second decade of the 21st century with many wondering if the country was nearing a proverbial tipping point, in this case one to be followed immediately by a sharp fall. Some feared that Pakistan’s fragile government would implode, ushering in another military regime, a radical Islamic regime, or both in some hectic and probably bloody sequence. Some feared that the entire polity would explode, giving rise to de facto partition and chaos.

Such speculations are not entirely new. Pakistan’s fragility has evoked worries about its political stability many times before. What is new about current worries is both how widespread they are and how broad the implications appear to be. The United States is seeking a smooth transition out of its nine-year war in Afghanistan, and Pakistan is universally acknowledged to be a key but conflicted element in the process. Indeed, the Obama Administration has flipped the strategic lens, reportedly seeing Pakistan’s travails as the greater potential danger to both U.S. interests and regional peace, even while the war in Afghanistan necessarily remains a more urgent day-to-day priority.

Note that all of this was true before the Obama Administration’s decision to take out Osama bin Laden in the heart of Pakistan, an act, however justified it may have been, that has created vast turmoil inside Pakistan’s establishment. The Pakistani army is now being forced to grapple with the country’s own security weakness and dependency on the United States, on the one hand, and the rising anger of its people against the military and government, on the other. It may either choose stability by altering its current ambivalent stance toward the United States, the Afghan Taliban holed up in its western badlands and the Punjabi Taliban and other extremists threatening war with India, or face an uncertain future by maintaining its current course.

It is a mistake, however, to overprivilege recent events. It is no mean feat to untangle the various elements that drive Pakistani foreign policy, and in that nothing has changed since May 2. Many of these elements are rooted in the nation’s domestic political culture. Others are based in the unique interplay of personalities presently trying to navigate this political culture. Still others reside in Pakistan’s regional setting and international relationships: its perpetual fixation on India and the fate of Kashmir, its relations with Iran, Turkey and the countries of Central Asia, and its strategic engagements with both the United States and China. Some drivers even qualify as acts of God: unprecedented floods and international economic turmoil far beyond Pakistan’s control, for example. Even in the best of times it is a challenge for Pakistani leaders to balance all of these influences, which push and pull them in different directions simultaneously. And these have not been the best of times, even before the U.S. Special Forces raid that killed Osama bin-Laden on Pakistani soil.

Nawaz Testimony on US Grand Strategy in South Asia

Highlight - Nawaz

South Asia Center Director Shuja Nawaz testified before the House Foreign Relations Committee, Subcommittee on Oversight and Investigations, at a hearing entitled “Reassessing American Grand Strategy in South Asia.”

Accompanying Mr. Nawaz on the panel were: Dr. Aparna Pande, resident fellow of the Hudson Institute, Mr. John Tkacik, Jr., president of China Business Intelligence, and Mr. Sadanand Dhume, research fellow of the American Enterprise Institute.

Click here to download the prepared remarks

The India-Pakistan Security Dilemma: 7/26/11 – Transcript

Return to event page

The Atlantic Council and The Institute of National Strategic Studies, National Defense University

The India-Pakistan Security Dilemma:
Major Issues and Charting a Viable Role for the United States

Welcome:
Shikha Bhatnagar,
Associate Director, South Asia Center,
The Atlantic Council

Moderator:
Thomas Lynch,
Distinguished Research Fellow,
National Defense University

Speakers:
Dhruva Jaishankar,
Program Officer for Asia,
German Marshall Fund of the United States

Aparna Pande,
Research Fellow,
Hudson Institute

Moeed Yusuf,
South Asia Adviser,
U.S. Institute of Peace

S. Amer Latif,
Visiting Fellow,
Center for Strategic and International Studies

Location: Atlantic Council, Washington, D.C.
Date: Tuesday, July 26, 2011; 1000-1130

Transcript by
Federal News Service
Washington, D.C.

SHIKHA BHATNAGAR: Good morning, everyone. Thank you all for coming to the Atlantic Council this morning. I am Shikha Bhatnagar; I’m the associate director of the South Asia Center here at the Atlantic Council. On behalf of our president, Fred Kempe, and the director of the South Asia Center, Shuja Nawaz, I would like to thank you all for joining us this morning.

Before we begin, I wanted to tell you a little bit about our center. The South Asia Center was launched in 2009 under our director Shuja Nawaz. And it has quickly become a central forum and point of contact for policymakers and members of Congress as well as European and South Asian leaders. Our center focuses on the greater South Asia region, which includes India, Pakistan, as well as the Gulf States, and Afghanistan and parts of Central Asia. We recognize that the subcontinent is not isolated and very much linked to its neighbors.

As you can imagine, we’ve been very busy here at the center. One of our central tenets is to wage peace in the region, which means finding innovative and effective solutions for economic and political stability.

Nowhere is this more vital than the relationship between India and Pakistan. Although both governments have recently committed to maintaining talks despite the threat of derailment by external actors, real progress in alleviating tensions has yet to be achieved. In addition, it remains uncertain whether U.S. withdrawal from Afghanistan and its declining relationship with Pakistan will actually fan paranoias on both sides, exacerbating an already difficult situation.

So what are the critical issues dividing India and Pakistan? Is a solution to Kashmir even possible? And is it really the key to ending decade-old tensions? And the question that’s on everyone’s mind: What if there is another major attack on – major attack by Pakistani-based militants on Indian soil? What’s the likelihood of a nuclear option? These are just some of the issues that our distinguished guests will address today.

I would now like to welcome our moderator, Dr. Thomas Lynch. Dr. Lynch is currently a distinguished research fellow for South Asia and the Near East at the National Defense University’s Institute of National Strategic Studies. The NDU’s Institute of National Strategic Studies is also our partner for today’s event; we’d like to thank you for that. His long career includes service as commander of U.S. Army Area Support Group in Doha, director of U.S. CENTCOM, commander, Strategic Advisory Group and special military assistant to the U.S. ambassador to Afghanistan in Kabul. He is also a respected member of the Atlantic Council’s extended family, having previously served as our Army senior fellow. So I’d like to now pass the stage on to Dr. Lynch. Thank you.

THOMAS LYNCH: Well, thank you so much, Shikha. And thanks to all of you here in attendance today.

As Shikha mentioned, I am Tom Lynch, the distinguished research fellow for South Asia and the Near East over at the Institute for National Strategic Studies. On behalf of the South Asia Center here at the Atlantic Council and also on behalf of my institute, the Institute of National Strategic Studies at National Defense University, I want to welcome you all this morning to this panel discussion. Our gathering today is on the record. Consequently, I’m obliged to tell you, given my current position, that the opinions expressed by me and those in this panel this morning do not represent the positions of National Defense University, the U.S. Department of Defense or the United States government.

Having that preliminary out of the way, let me say that today’s cosponsored panel really was conceived in discussions between myself and Shuja Nawaz during the course of late spring, as Shuja and I continued to interact on various panels around town and in other parts of the country in working groups, discussing and writing about the challenges in Pakistan, Afghanistan and across wider South Asia.

It seemed to us that these gatherings, no matter where they were or who was hosting them, tended to come down to three common dimensions. First, they always came round to what Brookings’ South Asian scholar, Stephen Cohen, called in his April 2011 Current History article, “…the core strategic conundrum that permeates all regional issues: the extreme tension between Pakistan and India.”

Second, lengthy though they often were, these discussions were mostly focused upon the symptoms of that conundrum, skirting around the central issues fueling the Indo-Pakistani security dilemma. As a consequence, Shuja and I felt that they left largely unexplored the seminal policy question that continues to vex Washington, and that is, what, if any, space exists for U.S. policy to help reduce these pernicious complications that flow from the conundrum?

Third, and finally, these gatherings most often compromised – correction, often comprised – U.S. and international participants with decades of experience in writing about South Asia: the veterans. Although there’s nothing wrong with that, Shuja and I felt they often excluded voices from younger emerging practitioners and scholars working on these critical issues with South Asian security.

As a consequence, the panel you see assembled here before you today is an attempt to deal with these three issues by way of our discussion. Those assembled here this morning, who I’ll introduce in a second, have been asked to help us move beyond these norms for South Asia security discussions in two principal areas.

Each panelist is a young, distinguished and emerging practitioner or scholar in the field whose voice merits additional attention, we believe, in this area. Each will present for us a short individual view about, first, what are the most critical roots of the seemingly intractable Indo-Pakistani security dilemma; and second, what are the possibilities and, indeed, the limitations for any viable U.S. policy role in overcoming these central issues.

I’ve asked each of them here this morning to speak for no more than seven minutes, sharpening a distinct perspective on these two questions and allowing for more detailed panelist exchanges and then your questions. I’ll take a few minutes to moderate an exchange amongst them, hopefully to help sharpen the similarities and the differences in their positions. And then I trust that will leave us a good 45 to 50 minutes for your questions from the floor, which I very much look forward to.

Let me briefly, then, introduce the panelists to you in the order that I’ll ask them to speak, starting on my right, your left.

Our first panelist is Mr. Dhruva Jaishankar, who is the project officer for the German Marshall Fund focused on issues of South Asia and the subcontinent. A practitioner and a writer on South Asian security and a former journalist and research assistant to the aforementioned Dr. Stephen Cohen at Brookings, he is the organizer of South Asia programs for the German Marshall Fund and brings a lot of experience in this area to bear.

Next, to my immediate right and your left is Dr. Aparna Pande, fellow at the Hudson Institute and author of the recently released book entitled “Explaining Pakistan’s Foreign Policy: Escaping India,” which was published by Routledge here late last year. Aparna will testify this afternoon before the House Foreign Affairs Committee on the topic of American strategy in South Asia.

Then, to my far left – thank you for being here – is Moeed Yusuf, the South Asian adviser at the U.S. Institute of Peace and their Center for Conflict Management. Formerly with Harvard’s Kennedy School in Boston, Massachusetts, he is a writer, speaker and contributor to numerous South Asia security and political discussions. He’s a member of two policy Track II high-level Indo-Pakistani dialogues: the Ottawa Dialogue and the Pugwash Conference. Moeed is also the author of a forthcoming Institute of Peace report entitled “Pakistan, the United States and the End Game in Afghanistan: Perceptions of Pakistan’s Foreign Policy Elite.”

And finally, to my immediate left, Dr. Amer Latif is the visiting fellow at the Wadhawni Chair in U.S.-India Policy Studies in the Center for Strategic International Studies. Before that, Amer was the director for South Asian affairs in the policy directorate of the Office of Secretary of Defense from 2007 to early this year, 2011. In that capacity, he was responsible for policy advice and oversight for U.S. policy with respect to military and political dynamics with all the countries of the subcontinent or South Asia– those that you all well know and are familiar with, from Bangladesh to Sri Lanka to India to Pakistan to Bhutan and to Nepal.

So with that, and with the distinguished group assembled here today, I look forward now to turning to comments, and I’ll ask Dhruva to start for us with his comments and thoughts on these seminal questions.

DHRUVA JAISHANKAR: Should I speak at the podium, or here?

DR. LYNCH: I think right is here is fine since we’re all miked-up. Thank you.

MR. JAISHANKAR: OK, all right.

Well, thank you, Tom, and thanks to Shuja Nawaz and Shikha Bhatnagar and the Atlantic Council for organizing this event and inviting me to participate here today.

I’d like to begin with two caveats. First, nothing I say should be construed as the position of my employer, the German Marshall Fund; these are solely my personal views. Second, I want to clarify at the outset that, unlike others on this panel, I’m not an expert on Pakistan. I’ll therefore limit my remarks to the extent possible to India-Pakistan relations and U.S. regional policy as seen from an Indian perspective.

I want to use my seven minutes to make a set of four interrelated points or propositions, some of which Tom already alluded to, with the intention of advancing or stirring up debate, and before going on, to address some possible implications for U.S. policy.

My first proposition is a somewhat simple one. The general characterization in the United States of India-Pakistan relations, particularly India’s position, has ossified since the 1990s, even though both India and Indian foreign policy have altered radically in the same period. Mirror-imaging – the assumption that attitudes and actions are of a similar nature on both sides of the India-Pakistan divide – is therefore a very common fallacy.

India is no longer an insecure, autarkic state obsessing about zero-sum competition with Pakistan. Today, it’s reluctant to intervene militarily in its neighboring states. I give you the example of Nepal, where Indian interests were directly targeted earlier this decade, and yet there was no real contemplation of a military intervention of any kind. India has little to gain from seizing Pakistani territory and nothing to gain from its dismemberment. India’s leaders are fully aware that military aggression and conflict threatens the Indian growth story. Moreover, nuclearization has created a level of strategic stability – we can get into some of the nuances of that later. But – and I’d ask us to – take a look at the more than 50 billion dollars in trade today between India and China from almost no trade in 1998, despite that outstanding boundary dispute between those two countries.

After 2002, India’s leaders are conscious of the limitations of using conventional military force – excuse me – in a nuclearized and globalized environment. India has not fully mobilized its military in almost a decade despite terrorist attacks of greater severity than the 2001 parliament attacks, including many with clear links to elements operating in Pakistan. In fact, we can largely attribute last decade’s peace in the region – and by peace, I mean the absence of limited interstate war – to this transformation in Indian behavior.

I’m not making a case for Indian moral superiority, so I just want to be clear about that. Its history is littered with bad intentions, and we can point to a number of incidents. But I do want to underscore that India’s more benign and restrained behavior over the past decade stems from self-interest to prioritize stability over instability. So that’d be my first proposition.

My second proposition is that, in many respects – sorry, many aspects of India-Pakistan confrontation and competition, particularly the Kashmir dispute, are symptoms rather than root causes. I know others on this panel would probably disagree with that. If Kashmir were to be resolved tomorrow, which I certainly hope it is, there’s no guarantee that other outstanding problems between the two countries will dissipate. Kashmir alone does not explain the nature of the 2008 terrorist attacks on Mumbai, where foreigners were deliberately targeted. It doesn’t explain Pakistan’s terror attacks against Indian interests in Afghanistan. It doesn’t explain al-Qaeda’s presence in Pakistan or nuclear relations with North Korea or Iran. Pakistan’s purported insecurities related to India’s economic growth, military modernization are not going to go away if there’s a Kashmir resolution.

Consequently, periodic U.S. attempts at intervention or mediation are not just dangerous from India’s point of view – and I can get into that in the Q&A as to why that – why India thinks they are – but they are of little use to solving the region’s many security problems.

My third proposition is that a number of developments often associated with India-Pakistan competition – Pakistan’s growing use of nuclear arsenal, India’s military modernization, Pakistan’s support for certain – some terrorist groups – have only loose, tenuous linkages to the India-Pakistan dynamic. I already mentioned al-Qaeda, but as Bruce Riedel, among others, has suggested, the increase in Pakistan nuclear stockpile is arguably directed as much at Washington today as against New Delhi. Many analyses of Indian arms acquisitions – conventional arms acquisitions, particularly by Pakistanis – fail to account for China. So in such cases, I think it would do us well to think outside the narrow confines of India-Pakistan security competition.

My final proposition, flowing from – somewhat from the previous three – is that the ball is now effectively in Pakistan’s court. The region’s first-order problems lie within Pakistan, not between India and Pakistan. Unless Pakistan can begin to behave like a mature, responsible state – and by which I mean a state that is accountable to its people and to the international community – meaningful normalization between the two sides will be all but impossible.

India today finds itself in much the same boat as Washington vis-à-vis Pakistan – broadly desirous of a unified, democratic, stable Pakistan at peace with itself and its neighbors, and no longer home to a terrorist infrastructure that compromises Indian, American, Afghan and even Pakistani interests.

The difference, of course, is that India has a convenient history of animosity with Pakistan and, unlike Washington, has almost no form of coercive leverage, whether economic or military. But much like the U.S., India is confronted with multiple power centers, indecision and duplicity. In other words, while Indian equities have changed, there’s little indication that the same can be said of the other side of the Radcliffe Line.

A state of permanent crisis with India supports the private interest of several key individuals and institutions in Pakistan. I refer, of course, to the security forces and their allies of convenience in the civilian government. Unless those interests alter, unless the constituencies of normalization in Pakistan permanently marginalize the constituencies of crisis, the current peace process has no hope of succeeding and we’d be foolish to expect any major gains.

The official Pakistani reactions after the Osama bin Laden raid earlier this year or the 2008 Mumbai attacks are particularly illustrative in this regard. Like many other incidents in recent years, they were characterized by an absence of accountability, investigation and cooperation. To extend an analogy made by Steve Cohen, anyone should be expected to help a neighbor whose house is on fire, but it’s far more difficult if that neighbor is an arsonist.

So what can and should the United States do to target the root causes of regional tension? I mean, I think Indians are quite conscious of the limitations of – given U.S. interests in the region – limitations to its ability to act. But one modest proposal that I have is that the United States should begin to consistently challenge, with the intention of completely reversing certain pernicious national narratives in Pakistan.

So far, the U.S. response has been somewhat piecemeal. For example, Pakistan is indeed a victim of terrorism, but that does not absolve it of harboring terrorist groups that target India or Afghanistan. Washington could also display a lower tolerance for media manipulation by the Pakistani security forces – manipulation that allows India and the United States to be unfairly blamed for a litany of problems and deflect responsibility from the Pakistani leadership and, with it, any sense of accountability. The U.S. could contest the Pakistani view that its insecurities are legitimately propelled by fears of Indian encirclement, Indian arms acquisition, the U.S.-India nuclear deal or Cold Start. Whatever Pakistani concerns on these scores – and there are some concerns – none of these justify a state run by an army, Pakistani nuclear proliferation or its harboring of terrorist groups.

The activities or stature of Indian intelligence are not comparable to Pakistan’s; we can get into that, again, more in the Q&A; nor is India really a revisionist power.

So far, the failure to contest these narratives in effect legitimizes them and thus perpetuates false expectations and bad behavior.

I’d like to end on a somewhat cautionary note. One striking trend of the past few years is that the frequently unkind and perhaps unfair Indian caricature of Pakistan as a predatory and morally bankrupt state that is an incubator of transnational terrorism is now shared by a much wider proportion of the international community, including many in the United States, Europe and even Pakistan’s all-weather friend, China. Rather than India bringing its views of Pakistan in line with the world, the world is slowly coming round to India’s view.

Pakistan would be on a much stronger footing in its dealings with India if it could prove the world wrong rather than continue to play the victim. So the task for pulling Pakistan from the abyss falls not to Washington or Beijing or London or Riyadh or even New Delhi through political concessions and unilateral engagement; that task falls, ultimately, to Pakistan itself.

DR. LYNCH: Thank you, Dhruva. Very – very dynamic start to our panel, and –

MR. JAISHANKAR: I thought I’d stir things up a little bit there. (Laughter)

DR. LYNCH: With that anchor point, let me ask Aparna for her thoughts. Aparna.

APARNA PANDE: Thanks, Tom. I’d like to thank Shuja Nawaz, Shikha and Atlantic Council and NDU for inviting me.

I would like to start by first talking a bit about the security dilemma and then move on to what role the U.S. can play.

In order to understand the key security dilemma issues with respect to India and Pakistan, I believe we need to understand the underlying paradigm of Pakistan security and foreign policy whose roots lay in the idea of Pakistan – that is: the Two Nation Theory. The way this translated after 1947 was a desire on the behalf of Pakistan and its leaders for parity with India, with the additional desire of escaping any Indianness in Pakistani identity. An ideology-based Pakistani identity was constructed to foster an identity separate from the common civilizational heritage shared by Hindus and Muslims on the subcontinent, as well as to counter the perceived existential threat from India. Fear and insecurity vis-à-vis Hindu India is at the core of Pakistan’s foreign and security policies.

Fear of India is related both to fear of Indian capabilities with its conventional military might, with no natural frontiers between Indian and Pakistan, but also to Indian intentions, a lack of trust and perceived Indian hegemonic ambitions. Initially, Pakistan sought conventional military parity. In later decades, nuclear deterrence was seen as the panacea. Hereto, the desire is not for simple deterrence but for parity in the nuclear arena as well.

Pakistan has always feared strategic encirclement – the so-called pincer movement – which is the fear that one day it would be faced with an antagonistic India on the one border and a pro-India, anti-Pakistan Afghan government on the other. Hence Pakistan has sought strategic depth in Afghanistan.

Pakistan’s support today – or the security establishment’s support for the Afghan Taliban, the Haqqani network and other groups operating in Afghanistan, as well as support for India-and-Kashmir focus groups like Lashkar-e-Taiba (LeT) – comes from the belief of the Pakistani security establishment that these groups are assets or proxies who will help Pakistan.

Unable to achieve parity with the Indian conventional military might, Pakistani security establishment sees these militant groups as helping ease this asymmetrical relationship by cutting India down to size, by keeping India occupied on various fronts as well as on the defensive.

A trust deficit lies at the core of India-Pakistan relations as the legacy pre-partition has continued even after. Kashmir – and here, I agree with Dhruva – is the symptom of the problem; it’s not the problem. The problem is lack of trust. The security and foreign policy establishments on both sides do not trust each other and mistrust each other’s motives and intentions. And therefore, it is difficult to resolve relatively simple issues like Siachen (Glacier region), Sir Creek, change visa policies, initiate mutually beneficial policies for economics and trade; as well as more difficult ones like Kashmir.

Though both countries are victims of terrorism, they have barely any intelligence cooperation, despite there being a joint intelligence mechanism set up a couple of years ago. Both are nuclear-armed powers, and they do exchange on an annual basis a list of this, but there’s very little sharing of information in reality.

Bearing this in mind, I’d like to just offer a couple of points about why the U.S. role – I mean why both India and Pakistan look at that role differently. Pakistan would like a more open U.S. role. It has always asked for a more open U.S. role. That’s because Pakistan’s relationship with the United States is based on the Pakistani hope that American aid – economic and military – will bolster Pakistan’s resources and counter Indian economic and military might; and that in return for Pakistani support, United States will help Pakistan vis-à-vis India and Afghanistan. It has never panned out that way, but Pakistan always sought that. India, on the other hand, ideally, would not like an American role. It’s because India prefers to deal with issues, especially with its neighbors, on a bilateral basis.

Still, there are some areas (for a U.S. role). In the case of U.S.-Pakistan, United States could pressure Pakistan to continue to act against groups, as it has, but continue to act against groups, not only those groups which target Pakistan, but those groups which target Afghanistan and India, which would – I mean, also – and this is a slightly more, let’s say, optimistic hope – that help Pakistan understand that it needs to revisit its own ideas and expectations and desires. Pakistan seeks military parity with a much larger neighbor which drained its own resources and does not provide the security Pakistan craves. It needs to move away and maybe re-examine its expectations and desires.

Vis-à-vis U.S. and India, the U.S. could, I mean, encourage Indian government to start real confidence-building measures. Cricket diplomacy and hockey diplomacy are great and they should continue, but lowering troop levels along the border, especially in Kashmir, more trade across the border, more trade, especially, across the two parts of Kashmir, giving more autonomy to Indian-administered Kashmir, issues like dropping objections to Pakistan’s request for (participation in the Generalized System of trade Preferences – Plus) – GSP PLUS – from European Union, which would benefit Pakistan economy, are some of the possibilities.

I’d like to stop there, and the rest I leave for Q&A. Thank you.

DR. LYNCH: Thank you, Aparna. Let me ask, if I could, to turn to my far left, to your far right, and ask Mooed Yusuf from U.S. Institute of Peace to go next and have Amer Latif be our anchorman today. Thank you.

MOEED YUSUF: Thanks. You do need somebody stronger than me for an anchor, so I think you’ve done the right thing. (Laughter) Thanks. Thanks, Tom, Shuja, Shikha and Atlantic Council for inviting me.

What I thought I would do is just lay out what I think are the key challenges and where we could go from here.

Part of the problem with India-Pakistan dialogues is that it always starts on a note of saying, let’s look ahead. And we spend an hour looking backwards and saying what went wrong.

The other sort of caveat is, quite frankly – Dhruva said he’s not an expert on Pakistan – I don’t know how one becomes an expert on Pakistan; I am not either. It’s such a challenging and complicated – sort of complex environment. I worry when I hear people telling me, “Pakistan wants this and that,…” because there are so many different competing interests that it’s very difficult to come out and say, “This is what Pakistan is doing.”

So let me try and make the best of what I can. This is not by any means a Pakistani position. I am not – I don’t know what Pakistan is actually ultimately thinking – but I’m looking at this and putting out what I think the U.S. should be worrying about and doing in the South Asian context.

First question, of course, is why bother? And there you have a debate, well, it’s a primary interest, it’s a secondary interest. Let me just throw out four reasons why this, to me, is a prime U.S. national security interest.

One, the stability of Pakistan – I don’t need to explain that; second, stability of Afghanistan – equally self-explanatory; third, if you really want the Indo-U.S. alliance to reach its full potential and for India to really become the regional and global player that it aspires, the Pakistan-India normalization is a critical element of that. There is now talk of saying, well, why should India care? But I think if you sit down and start breaking-out the relationship, you will find out that India can’t go beyond a point unless this particular problem is – at least moves towards resolution. And fourth, of course, nuclear weapons – and we’ve seen enough nuclear crises in South Asia over the past 12 years to know that (if) either one of them goes wrong, and we’re in trouble.

How do you bring about change in South Asia? Now, one way which has become fairly popular and disturbing to me is to say, ah, “…if only Pakistan would understand.” So Aparna mentioned, U.S. should go and tell Pakistan to rethink. OK, fine, I don’t have a problem with that. The only issue is that really becomes missionary work. And states operate out of interest, not necessarily what they want to hear or don’t want to hear. And interests are going to change based on incentives. So what you really need to look at, how do you shift Pakistani incentives to change its behavior the way you want it to be?

On stability – with Pakistani stability, stability in Afghanistan – I think the India aspect, looking at it from a Pakistani inside-out view, is still critical. I think we underestimate just how much of Pakistani concern in Afghanistan and its policy has been driven by its fear of the Indian presence there. Not saying it’s true, correct, whatever, but it doesn’t matter. What really matters is how the Pakistani policymakers view the situation. And there, I think, India remains critical, even in the Afghanistan – in the Afghanistan bit. And so, if you look at short-term interest Afghanistan, long-term interest Pakistan, India-U.S. relationship, I think this is a critical element of U.S. policy to my mind.

Now, what are the challenges? I could draw up a list and we’ll be here for the next two hours. But let me just put out the four major ones to my mind which I want to focus on.

First, I think – you can take them in any order, but Kashmir of course remains there. Now, if you – my Indian friends tell me that, you know, this is really not that big an issue. Pakistan has made it into a big issue – sure. OK, I’ll agree with that. The problem, again, is, are we not looking at Pakistan to see how we can make Pakistan’s policy more – sort of more in the interest of the U.S.? And if that’s the case, you’ve got to address this issue.

I’m not exactly sure Kashmir is a symptom, quite frankly, for one very simple reason – because the recruitment of the anti-India militants in Pakistan still comes from the Kashmir rhetoric. That’s what they use to gain their recruits at the lowest level. So while one may argue, well, Kashmir has been taken over by facts and on-ground realities, I think if you want to move Pakistan-India forward, Kashmir still remains a major part of that.

On Kashmir, the challenge, to my mind, comes from India. It hasn’t really been interested in moving; it’s a status quo power; it makes perfect sense; it’s in its interests to do that. And it wants to solve the problem internally with Indian Kashmir. It hasn’t happened so far, but that’s been the Indian policy. I think there a bilateral engagement is critical.

On terrorism, the problem, of course, lies in Pakistan. I think Pakistan hasn’t done enough as it should on the anti-India militants. But I would be careful about putting out there – or saying categorically, “Well the Pakistani state continues to support that.” I think there is debate on will versus capacity. I don’t know what is true; I don’t think anybody can say what is true.

And the reason is fairly simple: You decide whether a country has political will to do something or not if you’ve already established that capacity is there. If the capacity is not there, then it becomes very difficult to determine whether they are not operating against a group because of capacity or because of will. And in Pakistan’s case, unfortunately, I think the genie is out of the bottle.

And while I would definitely want to see more in terms of DDR (Disarmament, Demobilization and Reintegration) in terms of covering the activities of militant groups, ultimately Pakistan has to operate against all sorts of militants, there’s no question about that. The real rub here is what’s the sequence? Is it first going after TTP (Pakistani Taliban – or Tehrik-e-Taliban Pakistan) and others and then coming to LeT, given that they’re sitting in Punjab where a military operation will be ill-advised, et cetera? So I think this debate will continue. But on terrorism, of course – Pakistan – the more it can do the better it is.

On Afghanistan, this is fast becoming a new proxy front. And unless these two sides actually come together to see how their interests align – if they do – or if they can coexist, I see Afghanistan becoming unstable because of this rivalry. Pakistan, of course, is very worried about Indian activities. What I hear is that they’re exaggerated.

My point on that is, fair enough, I think they are exaggerated. But the two sides need to talk to figure out what to do about it. If they are exaggerated there should be more transparency coming in saying these are the things we’re doing, what here is worrying you, right? And I think that level of trust, I think Aparna is right, is not there at this point. Pakistan does remain worried about being sidelined in Afghanistan. And that does play into this. I think that should be fairly clear. And so I think that challenge has to be addressed in its own right.

Fourth is the economic bit. The economic operation is simply – you know – the low levels of trade are absurd if you look at the kind of complementarities these two countries have. Traditionally Pakistan has said, well, economics tied to Kashmir and other issues. Now, you see a gradual shift in that. And I think if Pakistan does give India MFN (Most Favored Nation trade status), which it should, then the Indian side has to give up its non-tariff barriers and both sides have to move together on this issue. But I think economics can be a peace-building – a bridge to peace building – if you will.

Now, moving forward, you know, let me just say that there are two issues – this bilateral versus involvement from outside. The point to me is not whether one side likes one or the other. The point is that if you’re looking at the U.S. interest, and if the U.S. can make a difference, it should. And if it cannot then, you know, we’ll find another policy. But I’ll just go on in the next couple of minutes and explain what I think the U.S. can do.

Since 9/11 the U.S. policy has basically been twofold. To Pakistan, you go and apply nominative pressure and say, “…come on, you guys are kidding us. You’ve got to do this.” And, you know, we get an answer: “Sorry we’re not doing this.” And the second one is what I call a buy-out. “We’re giving you so much money, still not?” And the (Pakistani) answer is: “No, sorry, still not.” On the Indian side there has been of course an active sort of alliance which is developing: the nuclear deal; you know, the Indian presence in Afghanistan from Pakistan’s point of view; et cetera, et cetera.

So as the Pakistani establishment views it, I think what they see is that the regional balance pre-9/11 has actually been sort of tilted more in India’s favor in the past 10 years with the U.S. policy. Again, don’t take me to say this is correct. I’m explaining to you what they are thinking and that’s where the policy is coming out of.

Now, what can the U.S. do? I think the U.S. cannot go and say, “…do this and do that.” Enough tried, hasn’t worked with Pakistan and with India. But what I do feel is that the U.S. has not really explored the extent of its leverage given its new relationship with India and with Pakistan over the past decade. And the worst that can happen is that you can give it a shot and it won’t work, as it’s not working right now.

What can be done? On Kashmir, it’s fairly simple. You know, my Indian friends get upset when I say, look, let the U.S. come in and put you guys on the table. And I would agree with that criticism if the two sides didn’t want to talk. But we have both sides on record saying we want to talk. They have a formula which came out in 2007. Both supposedly agreed to it. But then political events took over and it didn’t happen. So why not get somebody to push you back to the table and make sure that the dialogue doesn’t fall next time something goes wrong?

In 2007, if the two sides were so close, I think there should have been somebody – if not the U.S., somebody else – who would have told the two sides to continue and, you know, make the final screwdrivers turn if you were to believe the Pakistani foreign minister. That didn’t happen. So let’s at least make sure that next time round there is somebody who can ensure that the system doesn’t just completely collapse under its own weight.

On terrorism, I’ve said Pakistani capacity needs to be addressed. I think there needs to be more push to get Pakistan to do more on all sorts of militancy, keeping in mind the capacity constraints. That said, if anybody can convince me that Pakistan and India can solve the terrorism problem without working together, I stand corrected. Let’s look at Mumbai. What is the Indian complaint? “Pakistan is not giving us voice samples.” If you don’t have an intelligence cooperation network, if you don’t have a network to work together on terrorism, how is this going to work out?

And unfortunately, all indications that I get and all analyses that I read, Mumbai was not the last crisis – unfortunately. So if you’re going to get there again it is critical that these two sides keep working together on terrorism. They have a joint terror mechanism which needs to be operationalized in the real sense. Even the attack which happened a few weeks ago in Mumbai, if you had that cooperation it would have been much easier to ascertain what happened, who did this, how did it work out. And I think that cooperation is critical.

Third, on economics, I think Pakistan needs to give MFN (Most Favored Trade nation status) to India, no question about it. India needs to bring down its non-tariff barriers. I would even argue – this doesn’t sound right coming from me – but I would even argue given that India’s market is much larger, and the costs for India to open up to Pakistan are lower, if the Indians could take the first step, that would actually push Pakistan in the corner of reciprocating.

But in the U.S. case – I think the U.S. can do one thing tangible, which is to alleviate the Pakistani industry fear that some of them will be flooded – to actually go with targeted assistance to the industries who have a potential to export to India and bolster their capacity, because Pakistan is a medium-sized export market. So they don’t have the leverage at this point to expand their production too fast. And so the U.S. could actually go in tangibly and put in some investment in those industries to get the Pakistani industry to be ready to export to India.

And I won’t go into the nuclear on what can be done. I’m part of one Track II dialogue which the U.S. Institute of Peace supports, the Ottawa dialogue. We’ve put out detailed recommendations. But the number one starting point there is transparency. I think if you can push both sides to have more transparency on their nuclear programs that would be one step closer to where we want to go.

Now I’ll make one more point and end, if that’s OK? Let’s say that whatever I’ve said, you get up and say, look, this is not possible. The U.S.-India relationship is too crucial. We go to India; the Indians tell us, “…back off, we don’t want you.” And so we don’t want to spoil that; we’re not going to do any of this. The answer I would give to that is, that’s fine. That’s a choice that the U.S. government will then make and say, look, we’re not going to get involved in this.

But then I have a problem when I come back and hear complaints or concerns about Pakistan behaving in X way or Y way or Z way. So we heard on the panel, Pakistan’s nuclear stockpile growing. We heard Pakistan seeks parity. We heard, you know, every time the Pakistani president or prime minster visits China we are a concerned – as we should, given U.S. interests. But if we are not going to address these concerns – which the Pakistani state has rightly or wrongly – if you’re not going to approach this more proactively, then we have to internalize and absorb the costs that come with the Pakistani behavior that follows.

States operate, again, as I say, in interests. And countries that don’t have many options to fall back on will pursue the few options they have even more aggressively. So in Pakistan’s case, rest assured they’re going to go to China again and again. They’re going to go to Saudi Arabia again and again. Whether it works or not, that’s the fallback they have.

The nuclear stockpile – look, I mean, we can go and, you know, debate this issue till the cows come home. The point is very simple. This is a country which is worried that it’s being encircled, which sees very few friends, which sees a conventional Indian sort of capability much greater than it, and so it’s banking on its nuclear deterrent. And if the concerns are not addressed, it will continue doing that. I think we need to ready for that. I’m not saying that’s a good thing, but we need to be ready for that.

There’ll be little trust in the U.S. There’ll be more anti-American sentiment in Pakistan because India still remains a critical factor of that narrative that you’ve gravitated towards India and so you’re, you know, you’re ditching us again, et cetera. So I think all of this we need to be ready for.

If the entire idea is to change Pakistan’s strategic mindset, not doing anything will not change it. That’s fairly clear and should be over the past decade.

Now, finally I would just say that this, to me, is not a recipe for solving the problem in South Asia: Not doing something. Things will probably get worse. My point of view in Washington is exactly what I’ve given you. In Pakistan, of course, I go and do exactly what Washington does – tell them to think more, to change, to realize – but again, that’s not policy, that’s hope.

One of my mentors, Steve Cohen, who Dhruva also has worked with, always quotes George Shultz and says that when he was in policy planning (at the State Department) (Secretary of State) Shultz always – George Shultz always – used to tell him, “Hope is not a policy. I want policies from you guys.” So with Pakistan what we are doing is hoping. And I’m not sure that’s the right way to go. Thanks.

DR. LYNCH: Thank you. Yours was another strong leg. Let’s turn to our fourth and final strong leg, Amer Latif. Amer.

S. AMER LATIF: That’s a tough act to follow there with Moeed. But I’ll try my best. Thank you, Tom, and thank you to the Atlantic Council for inviting me here this morning for this very important event at a very critical time in the region’s history.

You know, tomorrow the foreign ministers of India and Pakistan are scheduled to meet in New Delhi to continue their ongoing dialogue that was restarted a few months ago. And to date, the commerce secretaries, the defense secretaries and the home secretaries have met to discuss their respective portfolios and potential cooperation. And the fact that these two nuclear-armed foes are talking is actually an encouraging sign with those that are keen observers of the region.

Now, as the foreign ministers meet, they’ll talk about the usual slate of issues. They’ll talk about counterterrorism cooperation, Siachen (Glacier), Sir Creek – Kashmir, I’m sure, will come up. However, I don’t think we should expect any major breakthroughs at this particular session. Still, as Winston Churchill once commented, “To jaw-jaw is always better than to war-war.”

Now, my brief remarks this morning are going to be focused on really two particular areas. Number one, I want to speak about the security trends that are currently prevalent in the India-Pakistan dynamic, and how these two foes might be able to cooperate and be able to move forward over the next three to five years.

One of the things that attracted me, when Tom came to me about speaking on this panel is, is that we’re not really looking at the India-Pakistan dynamic or trying to come up with immediate solutions to the India-Pakistan dynamic. We’re looking at it from a long-term view. If you take the assumption that India and Pakistan will continue to be in conflict for the foreseeable future, we need to kind of start to think about this, and start to think about solutions or ways that the two might be able to work together on interest-based cooperation. The second area I’ll talk about is a possible role for the United States from an organizational point of view. Is the United States properly organized bureaucratically to be able to address South Asian security issues?

Now, as we examine the security landscape in South Asia I would note five separate yet interconnected trends which define the current security environment between India and Pakistan. First of all, Pakistan’s fight in the Tribal Areas. As we all know, the Pakistan army has been engaged in a fierce fight against the TTP within its own Tribal Areas. Pakistan has been learning to fight counterinsurgency on the fly, and it’s had to learn a new form of warfare that has largely been unknown to an army that has had to focus on India as the threat throughout a large part of its existence.

The paradigm shift of preparing for an external, conventional threat to an internal threat could have interesting repercussions for Pakistan’s national security over the next three to five years. Will the second lieutenants and the captains who are fighting in the frontier today think differently about Pakistan’s national security when they become majors and lieutenant colonels? It stands to reason that the up and coming generation of officers may not view India as the priority – as the primary – threat, but only time will tell.

Now, as Pakistan has diverted its manpower resources from the border with India, Rawalpindi, of course, has felt a bit more nervous about security situation vis-à-vis its eastern neighbor, which leads to the second major trend: India’s conventional arms buildup.

Over the past half-decade India has begun a significant military modernization program that has caused increasing concern within Pakistan.

As India builds up its military capabilities to hedge against China and be able to project power globally, it has caused Islamabad to take note, and to face the stark realization that it will never able to keep pace with New Delhi’s arms buildup. The American defense relationship has also led to the sale of billions of dollars in military equipment to India, which has also further convinced Pakistan’s leadership that the U.S. is favoring India between the two.

So this growing gap has led to Pakistan adopting two major strategies in its security: number one, to be able to use terrorism as an asymmetric capability; and number two, to rely on nuclear weapons more as a response to India’s growing conventional capability. On nuclear weapons, as the conventional gap widens Islamabad is becoming more and more dependent on its nuclear deterrent, and accelerating its development of ballistic and cruise missiles as well as nuclear warheads.

Pakistan’s also been seeking the development of tactical nuclear weapons, which are aimed at attacking battlefield forces and potentially countering India’s Cold Start doctrine. With a lack of transparency between India and Pakistan on their nuclear red lines, it increasingly appears that the threshold for a nuclear exchange is lowered, with both sides believing that a conflict is possible – a conventional conflict is possible – below the nuclear threshold.

The fifth trend that I would offer to you is that the U.S. role in South Asia is still vital and still critical. No matter how badly the U.S.-Pakistan relationship has deteriorated, Washington cannot afford to abandon its relationship and must continue to stay engaged with Islamabad. Despite attempts by prior administrations to completely de-hyphenate the relationship, there will always be an element of overlap and hyphenation in India-Pakistan relations.

Now, laying out those trends as a bit of a scene setter let me outline some ways that India and Pakistan might be able to move forward over the next three to five years. One good thing about this event that I’ve really mentioned before is that we’re looking at ways to foster cooperation beyond the 2014 horizon, beyond the three-to-five year point. So to that end, I think we need to think about India and Pakistan as a long-term challenge rather than a problem that requires silver bullets to address the problems today.

Scholars and analysts have looked at confidence-building measures for a number of years and ways to be able to lower the tension. Instead, perhaps, it’s time to look at ways to be able to build habits of cooperation across common areas of interest between India and Pakistan. Perhaps it’s time to think about interest-based cooperation that looks at common interests where Indian and Pakistani governments might work together.

So a couple of ideas for consideration – Moeed also mentioned this – but the India-Pakistan cooperation within Afghanistan. The Indian-Pakistan rivalry within Afghanistan is the Gordian Knot that stands in the way of lasting stability. While on the surface India and Pakistan may have clashing interests and suspicions, they both want the same thing, which is a stable Afghanistan. Having India and Pakistan cooperate with Afghanistan on joint infrastructure projects or exploring trade corridors might be a way to help build transparency and trust between the countries. Intelligence cooperation is another way – Indian and Pakistani intelligence services should have a dialogue regarding the other’s positions in Afghanistan.

Third, I would offer up the idea of maritime cooperation. India and Pakistan have both been affected by the scourge of piracy over the past couple of years. The recent incident at sea between an Indian and Pakistani warship highlights the need for better coordination on issues of maritime security. Having the Indian and Pakistani navies working together on issues such as piracy, search and rescue and costal security could be areas of fruitful cooperation.

And then finally I would offer up the idea of cooperation on a disaster response. With earthquakes, floods and tsunamis with – over the past decade, the idea of both militaries training together to jointly address future disaster contingencies could be an excellent venue for cooperation. Now, these areas may not lessen tensions in the immediate term, but they could foster greater trust and transparency over a longer period of time between the Indian and Pakistani security establishments.

Now, given all of this, how can the U.S. effectively engage in South Asia to address the security dilemma and promote better cooperation between the two nuclear rivals? Well, let me just offer up a couple of thoughts on how the U.S. is currently organized to engage on South Asia and some thoughts about the limitations of this bureaucratic organization.

Currently, South Asia, within the U.S. government, is divided among the key agencies at State, the National Security Council and Defense. At State, of course, we have the Special Representative for Afghanistan and Pakistan (SRAP) as well as the South and Central Asia Bureau (SCA). So you have the SRAP handling Afghanistan and Pakistan with SCA handling the balance of South Asia. I would note that a recent IG report had recommended having the SRAP and SCA offices coordinate better in order to be able to prepare for the eventual integration of Afghanistan and Pakistan into one South and Central Asia Bureau.

At the National Security Council, India and Pakistan lie in different directorates, with India lying under the Central Region, which is lumped in with the Middle East and the Gulf, while Pakistan has been lumped in with its own war czar under General Lute. In the Defense Department we have Pacific Command (PACOM) which currently has India while Central Command (CENTCOM) has Pakistan.

So now, while we think about organizations, I mean, the fundamental issue to think about here is, how do we conceptualize the Indian relationship and the Pakistani relationship? If we put India and Pakistan in the same particular office, what we look at is the possibility that there could be a lesser prioritization placed on the India relationship. Right now, with Pacific Command having India, you have India incorporated into a number of other Asian countries, with Southeast Asia and East Asia. So you have the idea of India – actually building a relationship with India in the context of a growing Asia.

While the idea of having India and Pakistan in the same office is appealing because it would allow better coordination between the Indian and Pakistan dimensions, there is always the risk that those who have both those countries in their portfolio might be also tempered in their willingness to deepen the relationship with India due to concerns about, perhaps, the India-Pakistan balance. So these are some considerations of how we conceptualize the relationship with India and Pakistan.

Personalities and relationships also do matter in this business of bureaucratic organization. How much time U.S. leaders spend with their counterparts will affect their perceptions of the problem. Also, the structures within India and Pakistan also have a huge impact on the U.S. ability to engage. In Pakistan, U.S. leadership can go straight to General Kayani and get the business done or at least be able to know that they’re on the phone with a decision-maker – not so in India where the civil government is the one that calls the shots; you have a democracy which is, of course, very slow in making its decisions and it’s a much more deliberative process.

So with those comments is perhaps maybe a starting-off point. Let me just kind of leave it there and perhaps maybe open up the discussion for further question and answer.

DR. LYNCH: Great. Thank you, Amer. And thank you for all the panelists. I do want to turn to the audience questions, and I’m heartened by the fact that we have a good amount of time left. Let me use the moderator prerogative, though, to see if I can probe two dimensions of what each of the panelists have touched on, starting with a question about Afghanistan and then following up with a question about information sharing since that seemed to come up quite frequently here in terms of things the United States might want to facilitate.

Let me start with Afghanistan, because everybody here has kind of alluded, I think, to Afghanistan as one of those variables where U.S. policy can – either in a medium- to long-term role – influence the nature of the Indo-Pakistani security dilemma. So let me ask directly to a couple of panelists: What do we think should be an optimal U.S. approach to, particularly, the issue of residual forces beyond 2014? How do Pakistanis and Indians see this? And where do we think there might be a potential for convergence in terms of getting their heads around whether it’s right for a certain amount of U.S. force presence to remain, and if so how much and to what purpose?

Let me start on that if I could, and ask Moeed, and if you’re up to it, Aparna, to take that on. And then I’ll save my second question for the other two panelists. Moeed?

MR. YUSUF: Tom, I think it’s very difficult to say; the situation is very fluid. And I think a lot of depends on how the reintegration, reconciliation process goes. If you see progress there, you know, the end game may be much different than if you don’t. And to my mind, at this point, without giving you a preview into our upcoming report, I think all options are on the table. (Laughter) It could go from fairly decent outcome to a civil war in Afghanistan. So I think it’s very difficult to say at this point.

The regional countries, except India, I think, are going to be uneasy about long-term U.S. presence, as I see it at this point. This does not mean they want the U.S. forces to pack up. Actually all these countries, I think, have a dilemma. They don’t want the U.S. to be there long-term and permanently, but they also don’t want the U.S. to leave before things stabilize. India, I think, is much more favorable to a long-term U.S. presence in Afghanistan.

Whether this will become a problem or not, look, I would put it in a different way. I think you will not make progress on Afghanistan to the point of stability unless you solve the India-Pakistan competition there beforehand. I don’t think you can get to a stable Afghanistan if Pakistan continues to worry about the Indian presence and the activities and whatever.

And the way forward to me is exactly what Amer has said – two dialogues: intel-to-intel dialogue to clarify what India is doing, assuage whatever Pakistani concerns are, put it – the transparency part is critical here. If the Pakistani view is exaggerated, then I think it should be easier to bring in that transparency and say, look, this is all that is happening.

The second dialogue is a development dialogue. Where are areas where Pakistan and India can either cooperate, or big areas where both of them can develop their own issues and continue helping Afghanistan stabilize through the development paradigm? I think these two are critical. Neither of them is happening right now. Both of them, I think, given U.S. centrality to Afghanistan, the U.S. has an opportunity to bringing these sides to the table.

DR. LYNCH: Great, Thank you.

MR. JAISHANKAR: Tom, if I may just ask –

DR. LYNCH: Sure.

MR. JAISHANKAR: I’m waiting to follow-up. What is an end state that Pakistan – in Afghanistan – will be satisfied with?

MR. YUSEF: Give me two weeks, you’ll get the report.

MR. JAISHANKAR: OK, all right, I’ll wait. (Laughter)

DR. LYNCH: A tease! Aparna?

DR. PANDE: As often happens in India-Pakistan relations, I agree with Moeed on all his points. And I’d like to say that, yes, I mean, there are issues where intel-to-intel cooperation, both sides seek a stable Afghanistan, but what is the end game that Pakistan seeks and what is the end game that (India) seeks? Neither side has put it forward, and I don’t think each side is going to put it forward, nor will the other regional countries, Iran and the others interested in Afghanistan.

So how exactly do you define a stable Afghanistan? A non-Taliban Afghanistan? A part-Taliban, part-Northern Alliance Afghanistan? Yes, India among the regional countries, I mean, is more interested or would not have a problem with American presence or a longer-term American presence in Afghanistan because from India’s point of view, India sees it as ensuring a more stable Afghanistan, as ensuring that it will be less likely that there’ll be instability or civil war or the Taliban’s rule.

The two sides could also, actually, benefit not just by intel-to-intel but economic and energy issues. Both see Central Asia and Afghanistan to a gateway to energy, economic issues, which both countries need, especially India. So whether it’s the TAPI (Turkemenistan-Afghanistan-Pakistan-India) Pipeline or any other pipeline, that could be useful.

But for that there’d have to be transit trade at least between India and Afghanistan. And – I mean, along with MFN, if Pakistan would also allow more open transit trade, which would benefit both countries, benefit Afghanistan, and benefit U.S. But in the bottom line is: what is the end game the countries seek? And it’s only when that will be, I guess, in some ways clear to us that we can actually talk about the future.

MR. YUSUF: Well, let me just say, I think even that requires a dialogue.

DR. PANDE: Oh, it does.

MR. YUSUF: You know?

DR. PANDE: Dialogue I agree – the question is that – I mean– do you trust that when the other side is talking about economic issues, it’s not going to be an outcome wiping out your economy? When you’re talking about intel-to-intel cooperation, do you trust the other side to talk to them and tell them that, yes, the voice samples, why don’t they share voice samples – I mean, why is it that when terror attacks place take place in any other part of the world, India is willing to offer and help and Pakistan is. But they don’t offer help to each other. So you don’t trust the other side, you don’t trust what they’re going to do with the information you give them or you will decide you will give them – that’s the problem.

DR. LYNCH: Well, let me follow up on that, because that’s tied to my next question – I think Amer’s ready to jump in – which is this issue which keeps coming up about information sharing, which quickly gets into intelligence sharing. And of course, Amer, you’ve raised some of the bureaucratic breakpoints that are here in the United States. It strikes me that a number of those have to do, especially on the military side, with the ability to have two countries share information.

It doesn’t seem like a perfect portal, if you will, for two countries that lack trust to be able to spy on one another, and spy on what one another’s agencies are doing. (Laughter) And so if I could get you to, you know, comment on the ways forward with respect to that intel mistrust dimension and then ask Dhruva for his thoughts on that from an Indian perspective, we’ll use that as a tag-out point then to turn to audience questions. Amer?

DR. LATIF: Well, I mean, as far as the intel mistrust dimension, I mean, I guess if I were to propose intel cooperation, I would just say to have it go in stages, correct – I mean, to have the intelligence agencies get together and talk about something that’s not really so much in the classified realm – exchange perspectives on the political situation in Afghanistan.

You know, if you’re a RAW (Indian intelligence – Research and Analyses Wing) representative and an ISI (Pakistani intelligence – InterService Intelligence) representative, how do you both see the political situation in Afghanistan right now? How do you assess the Afghan government’s stability? How do you assess the current situation of ethnic groups within the government?

I mean, there’s a number of what I would call non-classified topics that these intelligence agencies could talk about without betraying each other’s positions. And you start that as a point of departure. And as the, you know, the trust, perhaps, between the intelligence organizations increases, and then you can start to get to a little bit more sensitive issues. But as a point of departure, just starting to talk about at least just kind of the political dynamics within Afghanistan, perhaps some more exchanging of perspectives of what the U.S. might be doing – that’s always a great – (chuckles) – point of departure for both countries, to talk about what the United States might be doing.

So in that way I would say that, you know, there’s – you have to kind of take it in stages. Start out with unclassified, political topics and then kind of move your way towards more gradually more sensitive, classified topics.

DR. LYNCH: Excellent. And, Dhruva, your thoughts on this particular topic?

MR. JAISHANKAR: I mean, I think in theory it’s a great idea. But, you know, so to would my going to Abbottabad, Pakistan or eating kabobs with the Haqqani network. I mean, it’s nice; I just don’t think it’ll happen.

Intelligence-sharing, I think, will be the last thing that the two sides agree upon. I mean, there are numerous problems there. I mean, I think one of the major issues that any intelligence-sharing will have to deal with is that really ISI and RAW – or I mean, broadly speaking, Pakistan intelligence and Indian intelligence – are just not comparable.

They don’t have the same level of standing within their own setup – so, government setups. The ISI is primary military, and RAW is not; RAW’s civilian. There are a whole number of problems that, I think, will get in the way of intelligence-sharing, and even if its talking about seemingly anodyne open-source sharing, I just don’t see that happening for a variety of reasons. I mean, I think, I think – I mean, I hope we get there, but I think that that will be really the last thing that’s put on the table.

DR. LATIF: Dhruva, I mean, one thing I would say is there might be something which the United States might be able to facilitate behind the scenes in a very discreet way. I mean, I’m just saying that, you know I totally agree about the challenges but there can be a start-point.

MR. JAISHANKAR: I think a mil-mil dialogue would be much more – or a more robust military-to-military dialogue would actually be – have much more – add much more value, I think, than an intelligence one. But –

DR. LATIF: But I mean –

DR. LYNCH: Let me ask – pardon here, but given that there’s, you know, in the Afghanistan sense, particularly not that much military-to-military dynamic between India and Pakistan, don’t you have to go to the information or the intelligence side as is being advocated here to get any kind of change?

MR. JAISHANKAR: I mean, for Afghanistan, I mean, it is less pertinent. But I think, overall for India, Pakistan, you know, and to improve India-Pakistan relations, I think, I mean – you’re right, outside the Afghan context.

DR. LYNCH: Yeah.

MR. JAISHANKAR: I mean, the one question I think I do want to address is really the question of transparency.

I’m trying to think really how India can be any more transparent than it currently is on Afghanistan. There’s a lot of talk about the number of Indian consulates. I mean, I’ve looked into this and, if people actually know anything that conflicts I’d like to hear it – but to my knowledge there are no more than four Indian consulates in Afghanistan, which are quite understaffed and largely besieged. This is in addition to the embassy in Kabul, which is equally besieged.

So there are a number of development projects; India has now committed to $2 billion of aid. These include roads, electricity, the parliament building. But beyond – much beyond that – I’m not quite sure of what it is India’s doing that it’s not being transparent, or what is the known-unknown, to use Donald Rumsfeld’s –

DR. LYNCH: Let me ask Aparna to get a final comment in here, and then I want to leave a good 30 minutes for questions from the audience.

DR. PANDE: If I’m not mistaken, around the Commonwealth Games time in India (November 2010), Pakistan did share information with India via the United States about certain bomb threats. That’s the impression I got from people, that there was some sharing.

MR. JAISHANKAR: This could have been true, yes.

DR. PANDE: So I mean it is a possibility. It can happen. It’s just not going to be something which will come easily. I mean, there was a joint intelligence mechanism set up a couple of years ago. But it’s something – I mean, again it’s a lack of trust, but it can happen. It’s still difficult.

DR. LYNCH: Great. Well, thank you.

It’s now time for audience questions. I thank you for your patience. Let me ask here – since we have microphones on the side – if I could encourage your adherence to question-and-answer protocol: One, wait for the microphone. Two, if you’d help us please by telling us your name and affiliation as you start your specific question.

And then if you would please – so we can have maximum number of questions – try to get to the question quickly and, if you would, identify those members of the panel you’d like to have it addressed to. Then, we’ll quickly and expeditiously try to deal with it. I’ll try to track everybody, as hands go up, in an order.

Let me start here with Barbara.

Q: Barbara Slavin, I’m a fellow here with the Atlantic Council. I was wondering if all of you could talk a little bit more about China and China’s potential role, given its economic stake in Afghanistan, it’s very close military and intelligence ties with Pakistan. Is there more that China could do to bring them to the table and to end the rivalry at least in Afghanistan? Thank you.

DR. LYNCH: Thank you.

MR. JAISHANKAR: Should we take a few questions, or –

DR. PANDE. Yes, maybe a couple before we start answering them.

MR. LYNCH: Let me do that then.

Thank you for that specific question, Barbara.

Let me take that one and then we’ll get a couple more. I think I had one hand in the back, and then I have one here in the front. We’ll gather those three up and then try to deal with them with the panel.

I’m sorry. It was – it was the lady behind you there. I’ll take you in turn, sir. I have you as number four.

Yes, please.

Q: Tanvi Madan, Brookings. I have a question for Moeed and also for Dhruva and Aparna. Just to push you both, Dhruva and Aparna, on this idea that India doesn’t like U.S. involvement: What India doesn’t like is U.S. mediation. It depends on U.S. involvement to restrain Pakistan. So how do you know – how does India kind of stand on that thing that we don’t want any U.S. involvement?

And on Moeed’s point about U.S. involvement and Kashmir, basically putting them both in the conference room and locking the door, what – could you give us a few specific details about what incentives, positive or negative, especially with India that the U.S. could use that haven’t been used before? Because they have tried this before and it hasn’t worked. So what’s different this time? What can be done differently?

DR. LYNCH: Thank you for those questions , and I’ll take one more up here in front. Then we’ll see if we can address some of the specifics.

Q: Stanley Kober. I’m not sure I agree with the trust deficit. That might have been the origin of the problem, but now it seems what we’re dealing with is a fanaticism. Lashkar-e-Taiba, I don’t think, has a trust deficit. The Taliban, I don’t think, have a trust deficit. What if you are dealing now with a phenomenon that has gone on for, say, two generations in which people have been brought up in an ideology of fanaticism, and they believe it? Then what do you do?

DR. LYNCH: Good. Well, thank you for those. Let’s see. I have us addressing the China-specific topic and let me just ask – and we’ll start over here – Dhruva, in terms of the China factor.

MR. JAISHANKAR: I mean – I see huge limitations there for a few reasons. One is that China is not seen as an honest broker. Two, I mean, particularly on the nuclear side, its involvement with Pakistan displays bias. And it has outstanding territorial disputes with India as well. So that’s a big concern.

Two, I’m not sure China actually wants to take that role. It’s shown no indication of stepping up to the plate with regards to a number of issues in the region. This is certainly not something I think they want to get involved in. So – one person I think you could read, particularly from China-Pakistan relations – my colleague Andrew Small has a number of articles on Chinese foreign policy related to South Asia.

DR. LYNCH: Aparna?

DR. PANDE: While I agree with some of – with Dhruva’s points, I also feel that there is one area, and that is that China is as concerned about the rise of radical Islamist movements as any other country, especially since it will affect China’s own Muslim, especially Uighur in that region, in that territory. Therefore China would have an interest in actually talking with both India and Pakistan and discussing this issue because, from China’s point of view, it affects Chinese interests.

DR. LATIF: I think that with the China dynamic though, given Aparna’s point, I think that the Chinese see more benefit in having that close relationship with Pakistan as a hedge against India more than they are concerned about the extremism elements. So I think that when the Chinese do the cost-benefit analysis of their position in South Asia, they find that there’s more benefit in a China-Pakistan relationship vis-à-vis India than perhaps being concerned about the radical threat.

DR. LYNCH: Moeed?

MR. YUSUF: I mean, I don’t think anybody can replace the U.S. in the stick and carrot that can be put out, and while the U.S. may not viewed as completely neutral, I think it, you know, comes as close to neutral as possible, so at least you could put all three countries in the same room.

China, I think, is – what it’s doing basically is, of course, the Pakistan relationship continues. But it’s also not going to go on a limb to support Pakistani positions any longer. So I think it’s somewhat of a connection, but the more the India-U.S. alliance, I think, grows, the more worried it gets in some ways.

DR. LYNCH: And let me just tag onto that, before we go to the next set of questions, because there are two things that strike me on that, Barbara.

First having just spent last week in Pakistan, I really see the dynamic right now in terms of Pakistani outreach to others who might assist it both with its problems right now and its potential deepening problems if U.S. assistance were to dissipate, by really pursuing places other than China much more vigorously. And that comes on the heels of a very vigorous pursuit of China that appeared to be going on in late May and early June.

I don’t think that’s surprising; I think what China offered during the period of May and June, from my read, was salutary, rhetorical and some economic assistance, but far short of what Pakistan would really have liked from that relationship. So I think there are limitations that are there already.

The second point I’d make is – Dhruva mentioned Andrew Small, who I highly commend on his writings on China and Pakistan. A former colleague of mine at National Defense University named Isaac Kardon wrote about four months ago on what he called the evidence of some initial fraying between Pakistan and China in some of the longstanding agreements between the two. And his point wasn’t to be overdramatic about how there was any break here with China – there’s not – but just that as China becomes more worldly and more interested in things, it still certainly plays a hedging role with Pakistan, but it’s not a unequivocal or all-accepting role that it may have been at one time.

And so I think there’s that factor that plays also in terms of how much China matters, how much Pakistan can get from China, and then how much commonality there may be in some of the interests between Western powers and China – not that that would necessarily produce collaborative action – but maybe parallel action that can help align the policy dimensions.

Let me then turn to that second cluster of questions, which had to do first with India and its appreciation or acceptance of U.S. involvement, how that’s evolved, and then the question specific that was to you, Moeed, if we can start there, which had to do with the Kashmir question and how and what more U.S. could do there.

MR. YUSUF: Yeah, I mean, look, I mentioned the U.S. cannot just get any deal from anybody in the region. That’s not necessarily what I’m saying. But what I’m saying is that, if you look back in history, there have been crucial moments where the U.S. has come in, into South Asia, even in the Pakistan-India dynamic, and stopped a disaster from happening. Let’s put it that way. If they haven’t gotten them where they want to go, they haven’t let them completely slide off the scale.

And if the two sides have an understanding on what that broad formula is going to be, I think that’s all you need. You basically just want to make sure – because see, one has to understand that sometimes the discourse on this issue of Pakistan sort of becomes almost like you’ve decided that it’s only about telling Pakistan, do something, and it’ll do it. And if my point is taken, which is that I think capacity is not there. Will? We can decide once capacity happens, but perhaps that’s not the rider. Then it’s not about just telling Pakistan to do something.

So, may I, you know, hopefully wrongly, predict that the next Mumbai is not going to happen tomorrow; but it’s going to happen when Pakistan and India seem close to another deal because that’s what the vested interests want. At that point, you need somebody to say, “…OK, you just got to cross the finish line, and then we can deal with this better.” And I understand it’s very difficult and whatever. But what we know very clearly from the past 10 years is that the status quo option is not working.

DR. LYNCH: And the topic of India’s willingness to augur some U.S. engagement and how that’s evolving and what opportunities are there – start with Amer and then take the other two panelists. Would you like to?

DR. LATIF: OK. I note – Tanvi’s point is actually spot on, and I – thank you for clarifying. I mean, India is not against U.S. involvement necessarily, even though it might say so. It’s against U.S. mediation. And I think, I mean, there are four issues, I think, really, that when talking about the U.S. involvement in the Kashmir dispute – which I think need to be taken into consideration.

First, I mean, we’re – we’ve got to a point where neither side really – and Moeed alluded to this – neither side perceives the U.S. to be an honest broker for very different reasons. Pakistanis I speak to are increasingly convinced of a permanent U.S. tilt towards India. Indians believe that Washington will press New Delhi to make concessions that go against Indian interests in favor of U.S. interests.

The second point is that the biggest hurdle really is domestic politics in both countries, both within Pakistan and within India. This is something where the U.S. actually has very little leverage.

Three, I mean, there are fears in India that U.S. intervention of any kind will unnecessarily embolden Kashmiri separatists who are today basically politically marginalized, and this would complicate ongoing bilateral negotiations.

And the fourth is that basically U.S. intervention would unintentionally justify the use of terrorism for political purposes, and that’s not a signal that I imagine Washington wants to send. It’s, I think, telling that some of the most headway in the Kashmir process was made when the U.S. was least involved.

DR. LYNCH: Thank you. Aparna – Dhruva, you’re good? OK, all right.

Thank you very much for that. And then the final question in this cluster is about a trust deficit and the commentary about, it’s not a matter of trust with LeT or the Taliban. I’m going to proffer a comment here as anybody else on the panel decides about a desire to jump in.

While I think I understand the question, it may misrepresent what some of the panelists were talking about. I understood them to talk about a trust deficit between the political and military leadership of the two countries; and that it is a matter of trust and building trust between them whereas some of the actors that you’ve named, the radicals, certainly as agents, don’t have any trust, but that’s not the level we’re playing at. Maybe I misread….

MR. JAISHANKAR: But I’m actually in slight agreement with Mr. Kober. I mean given the ties between elements of the Pakistani state and security apparatus and some of these groups, I think this is a valid consideration.

I mean, another problem with talk of trust deficit is really that it falls prey to the mirror-imaging fallacy that I spoke about earlier, so I think that that is a valid concern as well.

DR. LYNCH: So, just to clarify: the concern that trust-building alone can be a serious way forward is one you see as still valid at least from the perspective of what you see in India’s?

MR. JAISHANKAR: Right, right, that is – yeah.

DR. LYNCH: Other panel responses?

DR. PANDE: No.

DR. LYNCH: Thanks. All right, let’s turn to another cluster of questions. I think I had – the gentleman in the back who I asked to defer from the last time, then I’ll go here, and then the gentleman in the orange tie.

Q: Hi, Daryl Sng from the Singapore Embassy, and my question is related to Tanvi’s question, which is, what is the actual leverage that the U.S. has in the India-Pakistan relationship? What are policy tools at its disposal in this era of foreign policy austerity?

DR. LYNCH: Very good. Thank you. And then we had the gentleman on the corner here.

Sir, I’m going to save you for a later round – are you good, sir? Did you have a hand? I had you first; I’m saving you until the next cluster. Sorry, you had the hand after the gentleman to your left – unless you’re working in tandem? (Chuckles.)

All right, just hold on, sir. I’ll go to you, and then we’ll take a break, and I’ll come to you in the start of the third round.

Q: Bill Lastreuse. I’m with the Marine Corps Command and Staff College. We just mentioned the concern in India about the extremist influence in Pakistan and in the Pakistani government. From the Pakistani point of view, is not Hindu nationalism in India a legitimate concern as well? Given their responsibility for national security, can Pakistani decision-makers ignore the possibility of the emergence of a durable Hindu nationalist government in India?

DR. LYNCH: Thank you. And then the gentlemen with the orange tie and, again, thanks for your patience. You’ll be the start of the next round.

Q: Chris Bidwell from DTRA. My question was prompted by something Amer said, and then further prompted by something that Dhruva said.

With regards to the trust issues felt by the U.S. in Pakistan and India, it seems you’re making a case that there’s a trust deficit on long-term problems, but in short-term problems when crises erupt, the U.S. has sometimes come in and try to play a bit of an honest broker role.

What I’m concerned about as we go into a Cold Start and tactical nukes and maybe a new posture, is there a reliance that, well, we can walk up to the brink and the U.S. may intervene in a mediating role again? How real is that possibility? How dangerous is that possibility? If you could both comment on that, I’d appreciate it. Thank you.

DR. LYNCH: A very good set of questions. Let’s see if we can get our panelists to take them on in the areas they’re the most comfortable with.

First, I think, was this question about U.S. policy tools in an era of austerity because I think the panelists had addressed a number of approaches that might be possible, but not in the context of fiscal constraint. Let’s start with that thought and see what panelists might like to mention on that.

Amer, would you like to take this on first?

DR. LATIF: I mean, I would go back to some of the points I made in my initial comments, which are first of all, there’s always the issue of diplomacy and behind-the-scenes diplomacy, which could be used to be able to facilitate more dialogue between the two parties.

But beyond that, in terms of getting them to develop more habits of cooperation, I mean, I think that, you know, the U.S. military between Central Command and Pacific Command could be able to facilitate more confidence-building sorts of – I don’t want to say, “exercises” – activities between India and Pakistan. The maritime security idea that I mentioned in my comments, I think, bears some investigation. Being able to have perhaps, you know, have either U.S. Navy Pacific Fleet (PACFLT) or U.S. Navy’s Central Command (NAVCENT) facilitate naval passing exercises (PASSEXs) or exercises that would be trilateral in nature might be one area where, perhaps, the United States might be able to leverage some more productive cooperation between the two sides.

DR. LYNCH: Anyone else want to add to that? Super.

The next question had to do, and I think – I’d ask –

MR. JAISHANKAR: Sorry, this is this one the leverage question?

DR. PANDE: No, this is the –

MR. JAISHANKAR: Yeah, I mean –

DR. LYNCH: This was the one about U.S. policy tools and ability in an era of austerity.

MR. JAISHANKAR: I mean, just one thing, and I think you will see in terms of areas of leverage have been related to aid, and you’ve seen the suspension of some aid now. But I mean, that’s one area of leverage. And Congress will be increasingly inclined to look there. The second is unilateral strikes, and particularly with David Petraeus now at the CIA, I think we can expect that that will be used as a point of leverage. And a third, which has not been looked at very much, is sanctions down the line.

On the Indian side, U.S. leverage is actually a lot less for a number of issues. I mean, one is – like Pakistan, there’s the nuclear component. But, I mean – I think the quest for market access or the desire for U.S. corporations to access the Indian market will actually mean that the U.S. will be much less inclined towards any sort of coercive measures, certainly nothing drastic.

DR. LYNCH: Go ahead, Moeed.

MR. YUSUF: I just want to add one thing: I think we have to keep in mind why we are talking about this relationship and the U.S. role. And there are different reasons, of course, the interests. But Pakistan’s stability is what – from what I hear – now the U.S. administration’s number one priority. If that is the case, then you’ve got to look at what leverage the U.S. has in that light.

So what Dhruva mentioned – I think all of them are leverage points. You can go beyond the present downgrading in assistance to Pakistan as a leverage point as well. But is that in the U.S.’s interest? Now, on India, I can say that markets are certainly one. You know, downgrading the alliance is another one, et cetera, et cetera. Is that in the U.S. interest? No.

And so if you boil it down to what falls within the realm of U.S. interests, which you can do, the leverage is not much. That’s why I say don’t expect to get too much out of this. But make sure that you’re involved enough to get the two sides continue – to continue to go in the direction that we desire they go in. So, you know, pushing them to do more on that bilateral front is the way forward.

MR. JAISHANKAR: The concern though is that while the U.S. has stated that it wants a stable Pakistan – and it has been trying to move in that direction now since 2001 and in some way, shape or form – an increasing concern that you sense here in Washington is frustration that that durable stability is not the Pakistani government’s interest, that Pakistan is not interested in a stable Pakistan. That is something that is causing a lot of frustration here in Washington. I mean, this –

MR. YUSUF: Well –

MR. JAISHANKAR: – is the sense – I don’t, I’m not agreeing with that at all. But I do think that that’s a legitimate concern. You actually alluded to this in a recent piece yourself, Moeed. But –

MR. YUSUF: Look, I mean, the point is fairly simple. If we think that Pakistan is not interested in its own stability, then nothing is going to make Pakistan stable. So then, let’s pack up the house and go home.

MR. JAISHANKAR: Let’s – no – (chuckles) – this is I think where we need to push the conversation because this is, I think, a very, very serious concern.

MR. YUSUF: But I think there, of course, you know, the narrative also matters. We seem to have decided that’s the case.

MR. JAISHANKAR: Agreed.

MR. YUSUF: You know, but I don’t really see that narrative of self-accepted instability to be the situation in Pakistan.

MR. JAISHANKAR: I hope not.

MR. YUSUF: I don’t know of any country which really wants to make itself unstable. They may be taking decisions which are pushing them in that direction, but to say that this is what Pakistan wants, you know –

There are certain decisions which one can put out, but can never think of too seriously as a policymaker. So, for instance, this debate about the U.S.-India nuclear deal and then this liability clause and whatever. It upset a lot of people in Washington, and I heard some people say, well, then the deal should not go through.

MR. JAISHANKAR: Right.

MR. YUSUF: I say, this is ridiculous. You know, you’ve got to find a way to work around that problem. You don’t throw the baby out the bathwater just because you don’t like something.

MR. JAISHANKAR: True.

MR. YUSUF: And so, I think the issue here is that Pakistan is making decisions which may or may not go in America’s interest. This is absolutely clear. Pakistan is making decisions which clearly are not working at this time. But to say that they’re intentionally doing this so that they can go down the drain, I just don’t know.

MR. JAISHANKAR: Maybe not to go down the drain, but instead to maintain a state of instability which allows certain elements in Pakistan to reap dividends such as increased aid packages from the United States.

MR. YUSUF: This is one great reason why these countries should talk because every time I’m in Delhi, quite honestly I hear that kind of talk which is not what I hear in Pakistan –

MR. JAISHANKAR: This is not a matter of New Delhi –

MR. YUSUF: No, I mean that every time I’m in Islamabad, I also hear things about New Delhi which, you know, are not true at all. So I think this is one of the reasons they need to meet together.

DR. LYNCH: Useful exchange. Let me press on from that, if I could, and bring in the other two panelists to address the question about the concern in Pakistan on Hindu nationalism.

Aparna, and then Amer, if you’d like.

DR. PANDE: Yeah, just a couple of points. One, I believe the gentleman is referring to the Hindu nationalist organizations and latent movements. I don’t see the influence beyond that in certain militant organizations. Yes, the BJP, the Hindu nationalist party, did have this ideology traced to that intense Hindu nationalism. However, it was the BJP prime minister, Mr. Vajpayee, who inaugurated robust diplomacy with Pakistan. He actually went to Lahore and wrote in the Minar-e-Pakistan notebook that, “We accept partition and the creation of Pakistan.”

So the political parties which have Hindu-leaning or let’s say Hindu nationalist ideologies also believe in having good relations and dialogue with Pakistan, and in a stable Pakistan. There remain some Hindu organizations that believe in Akhand Bharat, an undivided India or an undoing of partition. However, I mean, we should look at reality and not what – and not minority rhetoric.

India is a status quo power. The initial reluctance of early Indian leaders with partition or the creation of Pakistan has never extended to actually reversing it, trying to reverse it, or now even wanting to reverse it. They have accepted Pakistan, accepted a stable Pakistan, and desire a stable Pakistan.

DR. LYNCH: Amer.

DR. LATIF: I think it’s a very good question; what I would add to that is that I think that the Indian government, you know, we’ve been talking about Lashkar-e-Taiba (LeT) and some of the other extremist groups that might be – might be able to thwart an India-Pakistan deal at some point.

But I think that the Indians also have to watch for Hindu extremist groups as well as a spoiler in this regard. The Samjhauta Express blasts that were conducted back in 2007, I believe – initially there was suspicion that it might have been an Islamist-based group, but then subsequent investigations have shown that it might have been a Hindu extremist group that was responsible. So for the Indians, I think that they need to really kind of watch the Hindu extremist groups as well as potential spoilers in any sort of rapprochement between India and Pakistan.

DR. LYNCH: As we come to the end of our time, we had a last question in this cluster which had to do about U.S. involvement actually contributing to brinksmanship in terms of bilateral crisis moments in Kashmir, in terms of some inflammatory incidents, or in of the pursuit of weapons.

Thoughts on that one?

MR. YUSUF: I can just point to the June edition of the Arms Control Today has a piece by me on crisis behavior between India and Pakistan. I’ve been arguing for a long time what I call “contracted out” escalation control. These two sides have no direct, bilateral mechanism for escalation control. They escalate and then look around and see who’s coming to make sure that the other side does what we want them to do, which is a very unstable situation.

In the next crisis, what is going to happen is that you will have India, which given the public sentiment or whatever – I hear that in New Delhi, you know, it may be very difficult for the government to restrain itself next time round; I think completely legitimate and understood. So there’s going to be something that happens – I’m just hypothetically putting this out – Cold Start is there; maybe that’s operationalized, or a surgical strike, or whatever it is. India would want the U.S. intervention after that strike to make sure that Pakistan doesn’t respond. Pakistan would want a U.S. intervention right up front to make sure that India doesn’t take the first shot. But after India does the first shot, they don’t want the U.S. to intervene until Pakistan has responded.

So now as Washington – what Amer has put out – has this fragmented command picture of PACOM here, CENTCOM here, – et cetera: You’ve got about a 20-hour window to figure this out to perfection, and make sure you make both sides happy. How you do it? I leave that to you. (Laughter.)

MR. JAISHANKAR: I mean, I’m actually much more optimistic. I just don’t think it’ll get to that stage, for a variety of reasons that I’ve stated in my presentation. I think the danger really has passed. I mean, had there been a strike – another attack within weeks or even a few months after the Mumbai attacks, I think that it would have been almost impossible for the Indian government not to respond militarily in some way, and I suspect it would have been air strikes for a variety of reasons.

There’s also a small cottage industry that’s come up around Cold Start. But I don’t think much thought has been given by analysts to, even if Cold Start were operationalized, what its objectives would be, what would, you know, Indian battalions, you know, which are sitting ducks in the Pakistani desert, want to do or be trying to do?.

So I really think this Cold Start business is greatly exaggerated. In addition there are the operational issues too. I mean, the Indian Air Force has not signed off on it; the Ministry of Defense has not signed off on it; the political leadership has certainly not signed off on it. So I mean –

DR. LATIF: The concerns with Cold Start, I think, are more psychological –

MR. JAISHANKAR: Of course.

DR. LATIF: – more than anything else.

MR. JAISHANKAR: Yeah, yeah.

DR. LATIF: And I think that that is critical when you look at it –

MR. JAISHANKAR : True.

DR. LATIF: – from Islamabad’s – or India’s perspective.

MR. JAISHANKAR: But I mean, I think if we’re gaming out different scenarios, I don’t think that’s a realistic one. Air strikes, I do think – limited air strikes, particularly against militant camps in – are something that India might contemplate.

DR. LYNCH: In our final two minutes, let me thank the gentleman for his forbearance, and give you the last question. Sir.

Q: I’m Jim Bernstein with Walkabout Development Solutions. I attended a meeting here several months ago about water. I’d just like to comment and then ask a question. If you’ve watched the World Cup – the Women’s World Cup or if you watch –

DR. LYNCH: Sir, if I could help you, we literally are in our last minute right now –

Q: I know –

DR. LYNCH: – so if you can cut to the question –

Q: – I know – if you watch the current negotiations, you’ll notice that everybody has a bottle of water next to them.

I think the greatest threat to what’s going on between India and Pakistan is the fact that they’re running out of water in Pakistan, and I haven’t heard anybody speak to that. I’d like to know what your plan is for dealing with that problem going forward? It’s existential; it’s not theater.

MR. YUSUF: Very quickly – let me just say a one-liner on what Dhruva said. If this is true, I think we have a great CBM (confidence building measure) right here. I think the Indian side should come out very clearly and say Cold Start –

MR. JAISHANKAR: Actually – the Indian Army made a statement actually a few weeks ago.

MR. YUSUF: Yeah, and I think just give up whatever Cold Start developments have been made and the Pakistanis should come out and say this tactical nuclear business, which is as dangerous, should go away. I think this is a great CBM.

MR. JAISHANKAR: The problem is – nobody believes – I mean – (chuckles) –

MR. YUSUF: Sure, but I think you can find a way to do that because there are – there’s hardware which can disappear.

On this question of water, sir, I think you’re absolutely right. The panel didn’t really focus on that. But I think if you project forward, water is going to become a major issue. Right now, I think, the problem of water in terms of the bilateral conflict is exaggerated. I think it’s more an internal problem for both sides, but it will become a bilateral problem. For me, all the more reason that you need to address these major issues in the interim, so that you have a trust buildup, so that you can work on water together.

DR. LYNCH: Good. Let me make that the final word. Please join me with thanks to each one of our panelists, Moeed, Amer, Aparna and Dhruva. (Applause)

And thanks to all of you for coming this morning and braving the picket lines outside to make your way up here. Thank you and have a wonderful day.

(END)