Such failures can only make for disappointment and heightened tensions. The Pakistani position is that Kashmiris are not happy in India and they must be given the choice to opt out. These are wholly irreconcilable and un-negotiable positions. Now, it is no doubt true that interest rates are high in India. And high interest rates affect the international competitiveness of Indian exports.
Talks are better than fights.
But from another point of view, it is better not to have talks, than have talks that are doomed to fail. Such failures can only make for disappointment and heightened tensions. The leader of the group, Asma Jehangir, a lady of great culture and sophistication, felt that India did not respond to the call for talks because of Kargil. And rightly so. For one, India is not exactly enamored of military governments.