Developereo
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My criticism of the PA arises from its illegal hold on power. Engaging in a peace process with India can be facilitated if the Army stays within its constitutionally defined limits, which it does not, hence the the criticism.
But your own argument is logically inconsistent. You wrote:
Pakistan has more to lose if the status quo remains, and also more to gain if it is resolved.
Why should India engage in a process which will bring more benefit to Pakistan than to itself?
Why should India change a status quo which is bringing more harm to Pakistan than to itself?