Which of the following statement is correct with respect to Most favoured Nation or MFN status accor...........

India and the world Indo Pakistan

Which of the following statement is correct with respect to Most favoured Nation or MFN status accorded to countries?

MFN status is given under WTO’s General Agreement on Tariffs and Trade (GATT)

It is given to an international trade partner to ensure non-discriminatory trade amongst all the members of WTO

India and Pakistan both has granted MFN status to each other and other partner countries.

India has unilaterally revoked MFN status accorded to Pakistan.

As per the first clause in the General Agreement on Tariffs and Trade (GATT), a country providing MFN status to another country has to provide concessions, privileges, and immunity in trade agreements.
WTO states that if a special status is granted to one trade partner, the country is required to extend it to all members of the WTO without discrimination or any special treatment.
An MFN status helps reduce trade barriers and results in a reduction in tariffs especially in customs duty. This in turn strengthens trade-ties between the two countries.
As India and Pakistan both are members of the WTO, both are required to grant MFN status to each other and other partner countries. Thus India has accorded MFN status to Pakistan, Pakistan has not done the same.
Recenly after Pulwama attack, India has revoked the MFN status accored to Pakistan.