NEW DELHI, May 6: Indian Prime Minister Atal Behari Vajpayee, facing a tough election in his bid for another term, warned on Thursday that ties with Pakistan could dip as dramatically as they had improved since April last year.

It was not immediately clear if Mr Vajpayee's remarks at an election rally in Haryana, bordering Delhi, implied that a change in government in India, seen as a possibility, could alter the rhythm of improving relations.

It is equally possible that he was playing to the rightwing Hindu hardliners, who are still ill at ease with better Pakistan ties, to improve his electoral stock.

As reported in Dawn this week, in recent days, Pakistan's ISI spy agency has become the subject of a spate of stories in the Indian media. The resurgence of this phenomenon seems to go well with Mr Vajpayee's warning on Thursday.

"I want to caution you. The circumstances could change anytime and we should be prepared for it. We will do penance for peace. But if need be, we will also be prepared for confrontation," he said in Bagpath. He said India had extended its hand of friendship to its neighbours and was hopeful that Pakistan would live up to it.