The Indus Waters Treaty (IWT) is a bilateral water-distribution treaty between India and Pakistan, signed on September 19, 1960, to govern the use of the six rivers of the Indus River system. The treaty was created to resolve the dispute over the sharing of transboundary river waters following the Partition of India in 1947, with the World Bank acting as a mediator.
The core mechanism of the treaty is the division of the six rivers into two groups. The three Eastern Rivers—the Ravi, Beas, and Sutlej—were allocated for the unrestricted use of India. The three Western Rivers—the Indus, Jhelum, and Chenab—were allocated for the unrestricted use of Pakistan. India is permitted to use the waters of the Western Rivers for limited irrigation and unlimited non-consumptive uses, such as hydroelectric power generation, subject to detailed design regulations laid out in the treaty's annexures.
The treaty established the Permanent Indus Commission (PIC), a bilateral body with a commissioner from each country, to oversee implementation and facilitate cooperation. It also includes a three-tiered dispute resolution mechanism: "questions" are handled by the PIC, "differences" are referred to a Neutral Expert, and "disputes" are referred to a Court of Arbitration.
The treaty has faced recent strain, with India requesting a bilateral modification in 2023, which Pakistan refused. More recently, India decided to hold the IWT "in abeyance" in April 2025, following a terrorist attack in Pahalgam, which has disrupted the normal functioning of the PIC and data sharing. Pakistan has argued that the treaty does not provide for unilateral suspension.