Successive Pakistani governments have painted themselves into a corner over Kashmir by their overuse of rhetoric and emotion. This has locked Pakistan into an all-or-nothing position.
The 'state' of Azad Jammu and Kashmir came into existence with a formal declaration of its founding and 'independence' on 24 October 1947 in circumstances surrounding Independence and Partition. It consists of a sliver of territory that remained under the control of the pro-Pakistan elements in Kashmir around Independence. But from the very beginning, the state was beset with anomalies.
Considerable areas—the Northern Areas comprising Gilgit, Hunza, Baltistan—which had been part of the Jammu and Kashmir state before Partition remained outside the territory of the Azad Jammu and Kashmir entity. They came to be administered directly from Pakistan, an arrangement that continues to this day.
Azad Jammu and Kashmir (AJK) represents but five percent of the total territory of the undivided state of Jammu and Kashmir. According to the latest census (1998), AJK has a population of 2.91 million, of which 88 percent live in rural areas. The state lacks industry and its agriculture has been declining over the years. This has increased dependence even for basic foodstuffs on Pakistan, particularly the adjoining province of Punjab.