Despite this restraint, New Delhi was constantly criticized for rejecting the nuclear treaties - even while the world turned a blind eye to the clandestine acquisition of nuclear capability by Pakistan with Chinese assistance. The world cannot allow India to defy the developing anti-nuclear norm with impunity. Under U.S. law, Washington must apply sanctions on credits and credit guarantees, on loans from U.S. banks and on military assistance. It also must oppose loans from the International Monetary Fund and the World Bank. Japan, India's biggest donor, is bound to reconsider its foreign aid, and other countries will follow to varying degrees.
Sanctions have a bad reputation and a worse history as a policy instrument for effecting change.
The five nuclear powers have no moral authority to impose sanctions. They maintain stockpiles in defiance of a World Court opinion on nations' legal obligation to nuclear disarmament. Also, India's tests breach no international treaty, convention or law. The Big Five preach nonproliferation but practice deterrence. Their bluff has been called.