Supreme Court blocked for second time attempt by North West Frontier Province (NWFP) legislature to pass Hisba (accountability) law enforcing “Islamic morality”. President Musharraf has both times petitioned court to reject law; NWFP government will defend it in January hearing. Islamabad announced plan to build fence and plant landmines along disputed Durand Line border with Afghanistan in effort to stem tide of militants launching cross-border attacks; Afghan President Karzai criticised plan as impractical.

Major suicide attack 9 November on military camp in North West Frontier Province killed 42; possible revenge attack for 30 October madrasa bombing in Bajaur. President Musharraf visited Balochistan 17 November to announce increased investment in region, but greeted by “shutter-down strike”, while clashes between troops and Baloch militants near Kohlu intensified in month. In visit to Lahore, UK PM Tony Blair reaffirmed shared commitment to fighting terrorism.

Exiled opposition leaders Benazir Bhutto and Nawaz Sharif again called for free elections in 2007 and pledged to work together for democratic transition. But renewed rumours that Bhutto due to sign deal with President Musharraf, apparently spread by government, may weaken alliance. Rockets found planted near Musharraf residence in Rawalpindi and in Islamabad near National Assembly and headquarters of military intelligence agency (ISI). Military strike on madrassa in Bajaur killed 80; government claimed school was terrorist training ground.

President Musharraf made controversial deal with North Waziristan tribal militants allied to Taliban 5 September: ends military operations against border militants in exchange for end to attacks on army and across border in Afghanistan. But heightened tensions between Islamabad and Kabul may also have strained Pakistan’s relations with NATO, while local governor admitted presence of hundreds al-Qaeda-linked militants in North Waziristan. In Kabul, Musharraf called for new approach against “common enemy” while citing “Talibanisation” of regional terrorism, but relations with Afghan president Karzai remained frosty as both leaders traded blame for ongoing cross-border attacks: state dinner with President Bush and Karzai in Washington 27 September failed to ease tensions. 85 Baloch tribal chiefs held grand jirga in Kalat 21 September, first in 126 years, and called for recognition of Baloch autonomy and end to military operations.

Major Balochistan leader, Nawab Akbar Bugti, killed by security forces 26 August. Violent protests and province-wide strikes in Balochistan and Baloch majority areas of Karachi followed. Curfew imposed on Balochistan’s capital Quetta. Bugti’s killing condemned by all major political parties, including opposition Alliance for Democracy: 21 soldiers and 37 rebels also killed in operation. International attention focused on Pakistan’s failure to rein in jihadis as 22 suspects, mostly UK citizens of Pakistani origin, arrested in UK in alleged plot to blow up transatlantic flights. Pakistani intelligence agencies detained UK citizen in Punjab along with 6 nationals countrywide.

Balochistan unrest continued. 23 Baloch militants reportedly killed by security forces in southwest of province 9 July and 30 killed when military targeted Dera Bugti 5 July; rebel spokesperson denied all casualty claims. 150 suspected Taliban arrested in Balochistan after UK placed Balochistan Liberation Army on terror list. North Waziristan militants held talks with military and government officials and extended ceasefire announced end June for further month. In North- West Frontier Province, 6 soldiers killed in roadside bomb 3 July near Peshawar. Sectarian violence continued in Karachi with killing of prominent Shiite cleric Hassan Turabi and nephew by suicide bomber 14 July; angry crowds torched restaurant and petrol stations following funerals.

Violence in restive Federally Administered Tribal Areas and Balochistan province continued to intensify. Military raided suspected militant camp in North Waziristan 10 June, killing more than 30. Region experienced first suicide attack 2 June in Bakakhel, which claimed 5 soldiers; another killed 6 soldiers 26 June. Temporary ceasefire offer made month-end by tribal leaders in attempt to facilitate negotiations with military. In Balochistan, 5 militants reportedly killed in military raid on rebel camp in Dera Bugti district 11 June: Baloch regional party leader Nawab Akbar Bugti claimed 12 civilians also killed.

Tensions continued to rise in Balochistan following 8 April government ban of Balochistan Liberation Army. Attacks on gas infrastructure and security forces continued: at least 10 killed in pipeline explosion in Sui; and 8 police in separate attacks. Renewed clashes in and around Miranshah, North Waziristan killed 10 militants and police while 3 pro- government tribal leaders killed in separate incidents. In South Waziristan, 2 officials shot dead by militants 12 May. Former PMs Benazir Bhutto and Nawaz Sharif signed “Charter of Democracy” in first attempt to forge common platform against military government.

Security situation continued to deteriorate as at least 57 killed in worst terrorist attack in Karachi’s history: suicide bombing of congregation of Sunnis celebrating Eid Milad festival killed entire leadership of Sunni Tehrik group, as well as many leaders of Jamaat Ulema Pakistan (JUP) - both Barelvi religious parties; JUP also partner in Muttahida Majlis-i-Amal 6-party religious alliance. Responsibility for blast unclear: observers suggested intra-Sunni rivalry, others, Deobandi extremist groups. Pro-Taliban militants attacked paramilitary troops near Miranshah, main town of North Waziristan region 20 April reportedly killing 7.

Fierce fighting in North Waziristan risked spreading to neighbouring tribal regions. Government claimed nearly 200 local Taliban militants and 5 soldiers killed. Further 25 killed in operation outside Miranshah near Afghan border. Unrest in Balochistan continued with series of mine blasts and attacks on infrastructure: 26 killed in Dera Bugti 10 March. In North West Frontier Province’s Khyber Agency, clash between supporters of rival clerics killed 26.