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The Indian military’s modernization drive is a credible threat to the deterrence stability of South Asia. Both states are sharing the most dangerous porous border in the world because of many unresolved issues which may trigger a limited or total war in the region. The possibility of nuclear exchange could not be ruled out because of the uncertain nature of the relationship between both states.This study aims to focus on three main areas: first to analyze Indian threat perceptions, internal and external security vulnerabilities and possible factors to drive military’s modernization plans, its strength, and capabilities. Secondly, to highlight the implications of force multipliers inducted in the Indian military for Pakistan’s security and deterrence stability in South Asia. The last part would discuss possible counter-measures for Pakistan to overcome this imminent threat.The Indian defense budget for the fiscal year 2016-17 have crossed the US$ 52.2 billion mark, and it is expected to increase in the near future to keep up the pace of modernization and overcome the operational gaps in its overall military machine. It has allocated huge funds for the development of its Army, Air Force, Navy, Network Centric Warfare and Electronic Warfare capabilities. The induction of Spy satellite Risaat-II and UAVs from Israel would keep 24/7 check on the strategic sites, LoC and deployment of Pakistani troops close to the border.India has inked deals with the European firms to induct the latest Aircraft for air superiority. Indian naval capabilities may undermine Pakistan’s long-term maritime interests in the Indian Ocean. The Indian military modernization reveals that it is on course to achieve regional hegemony and to operationalize its aggressive doctrines against Pakistan. Pakistan cannot afford conventional arms race with India, which compels Pakistan to increase its reliance on tactical nukes and improve the quality and quantity of its nuclear weapons to achieve credible deterrence against aggressive maneuvers of India in south Asia.
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