India and Pakistan have agreed to a immediate ceasefire based on conditions related to kinetic actions. Sanctions on Pakistan, spanning water, trade, diplomacy, and finance—will continue, according to government sources in New Delhi. This means India's suspension of the Indus Waters Treaty and the halt on visa issuance will remain in force.

India agreed to the ceasefire after conducting a series of final strikes on Pakistani airbases. The decision followed a call at 3:30 PM on Saturday from the Pakistani Director General of Military Operations (DGMO) to his Indian counterpart.

During the call, Pakistan clearly said it would not conduct any further strikes and formally requested a ceasefire, sources said. The US did not directly broker the ceasefire but remained engaged with both parties.

However, the United States did play a role in de-escalation. It applied direct pressure on Pakistan by linking it to the provisional release of a $1 billion IMF loan to its immediate acceptance of the ceasefire. Full disbursement of the loan depends on Pakistan’s complete compliance.

India has maintained the suspension of the Indus Waters Treaty. It will not share hydrological information with Pakistan and will move ahead with its planned water infrastructure projects on the three northern rivers. In addition, the United States has formally acknowledged India’s updated war doctrine, which treats any future terrorist attack as an act of war.

US President Donald Trump announced the breakthrough on Saturday, attributing the development to US-mediated talks. “After a long night of talks mediated by the United States, I am pleased to announce that India and Pakistan have agreed to a FULL AND IMMEDIATE CEASEFIRE,” he posted on Truth Social. “Congratulations to both Countries on using Common Sense and Great Intelligence. Thank you for your attention to this matter!”

The announcement followed a major escalation between India and Pakistan, with both militaries targeting each other’s facilities just hours before the ceasefire was finalized.

US Secretary of State Marco Rubio confirmed the agreement on X. He stated, “Over the past 48 hours, @VP Vance and I have engaged with senior Indian and Pakistani officials, including Prime Ministers Narendra Modi and Shehbaz Sharif, External Affairs Minister Subrahmanyam Jaishankar, Chief of Army Staff Asim Munir, and National Security Advisors Ajit Doval and Asim Malik.”

Rubio added, “I am pleased to announce the Governments of India and Pakistan have agreed to an immediate ceasefire and to start talks on a broad set of issues at a neutral site. We commend Prime Ministers Modi and Sharif on their wisdom, prudence, and statesmanship in choosing the path of peace.”

But official sources in New Delhi clarified that the agreement was directly negotiated between India and Pakistan. “Pakistan DGMO initiated [a] call this afternoon, after which discussions took place and understanding reached,” the sources said.

In Islamabad, Pakistan’s Deputy Prime Minister and Foreign Minister Ishaq Dar confirmed the ceasefire. “Pakistan and India have agreed to a ceasefire with immediate effect. Pakistan has always strived for peace and security in the region, without compromising on its sovereignty and territorial integrity,” Dar posted on X.

Speaking to Geo News, Dar said, “We have agreed on a ceasefire from 4:30 pm (Pakistan Time) today.” He credited “hectic diplomacy throughout the day” for the outcome and said that military officials connected via hotline and “this thing happened.”