>> India's taking no chances as things heat up with Pakistan, evacuating more than 10,000 villagers and beefing up patrols along the border. Tensions remaining high on Friday following New Delhi's announcement that elite Indian troops had crossed into Pakistan-controlled Kashmir, killing militants it claims were planning attacks on Indian cities.
New Delhi saying casualties were in the "double digits". Said the strike has raised fears of an all-out conflict.>> Both India and Pakistan are nuclear-armed powers, and what is of the greatest concern is that Pakistan has developed a tactical nuclear weapons capability that it would deploy in response to a large-scale troop incursion.
So it's in the interest of both sides to make any military operation limited in scope, otherwise you do face the risk of a serious and a terrifying escalation.>> The strike follows a promise by Prime Minister Narendra Modi, to hit back at Pakistani militants after an attack on an Indian army base earlier this month that killed 18 soldiers.
And it seems India isn't done with punishment.>> It's already attempted to isolate Pakistan at the United Nations General Assembly. There are also options on the table around trade and finance. Bilateral trade is modest, but a lot, hidden trade, we think, flows through the Middle East through places like Dubai, so India could push for some form of financial pressure to slow that down.
The point I think here is to understand that India wants to mount pressure on a broad front. India blames Pakistan for sponsoring cross-border terrorism. Pakistan, of course, denies this. Islamabad also denies that the strike by Indian troops happened at all. And it's demanding New Delhi produce evidence of its claims about the militants.