PM Modi's meet to review 'Most Favoured Nation' status to Pakistan postponed

Prime Minister Narendra Modi's meeting to review the status of 'Most Favoured Nation' granted to Pakistan has been postponed till next week.

Modi was expected to consult with the officials from the Ministry of External Affairs and Commerce Ministry.

Speculations are high that India is considering withdrawal of the MFN status to Pakistan in the wake of the Uri terror attack, in which 18 soldiers were killed, bringing ties between the two nations to an all time low.

The MFN status was accorded in 1996 as per India's commitments as a member of the World Trade Organisation (WTO).

According to the MFN principle of the WTO's General Agreement on Tariffs and Trade (GATT) - to which India is a signatory/contracting party - each of the WTO member countries (including India and Pakistan in this case), should "treat all the other members equally as 'most-favoured' trading partners."

On the other hand, India continues its diplomatic warfare on Pakistan by boycotting the upcoming SAARC summit in November, which was backed by Afghanistan, Bangladesh and Bhutan, who also pulled out of the event.