The Simla Treaty, popularly known as the Simla Pact, was signed between India and Pakistan on July 2, 1972.
It arose out of the 1971 war between the two countries over Kashmir. The agreement sought to lay down the principles that should govern their future relations. It also envisaged steps to be taken for further normalization of bilateral relations. Most importantly, it bound the two countries "to settle their differences by peaceful means through bilateral negotiations".
The treaty was signed in Simla by Zulfiqar Ali Bhutto, President of Pakistan, and Indira Gandhi, Prime Minister of India