The conventional wisdom holds that India and Pakistan, which remain locked in conflict over everything from the disputed territory of Kashmir to the 2008 Mumbai terrorist attacks, while pointing dozens of nuclear-armed missiles at each other, are not going to cut a permanent peace deal anytime soon. This year, however, the perennially feuding neighbors finally notched several key positive developments that had nothing to do with borders, nukes, or terrorism. In short, both sides may be realizing that political tension is bad for business.

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