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There were no dramatic developments after the meeting in New Delhi's Hyderabad House, but as the two countries restart their diplomatic engines over the next few months, here are five things to watch...
...economic growth. Cement consumption is up 30%." Part of the growth has been funded by aid from the U.S., Europe and the Islamic world, which helps pay the salaries of government workers and funds new infrastructure projects. In 2008, Fayyad held a conference in Bethlehem, looking to begin the next phase - private development - and got some takers, including a Palestinian developer named Bashar Masri who is building an entire new city for 50,000 just outside Ramallah. "We could not have done this without Fayyad's reforms," Masri told me. "I mean, you deal with the police or with bureaucrats...
...recent decision to declare sites in the Arab cities of Hebron and Bethlehem Jewish historical landmarks seemed a provocation intended to cause the sort of mass violence that has destroyed the hopes of responsible Palestinians in the past. Fayyad's progress is as fragile as plate glass; the next rock thrown could shatter it. (See TIME's photo-essay "Life in the West Bank Settlements...
There was skepticism in Marjah too. Abdul Hadi, a student, fled the fighting along with his family on Feb. 18; now living in Lashkar Gah, he is in no hurry to return. He worries that many Taliban are just waiting for the NATO forces to move on to their next target. "I know the Taliban will come back," he says. Mohammad Hosain, a teacher from Marjah, wonders if they even left. "The Taliban does not have a uniform, so if they leave their weapons at home, they can easily move around," he says. "There is no [sign] on their face...
...Indian officials have been careful to set low expectations for the talks. The two top bureaucrats who met, India's Nirupama Rao and Pakistan's Salman Bashir, had no fixed agenda for their discussion and, as expected, did not issue any joint statements or decide when to hold the next round of talks. At a press conference after the close of the three-hour session, Rao said only that they would "remain in touch" and kept open the possibility that their two Prime Ministers would meet at a South Asian regional summit in Bhutan in April. The date...