Today's events appear to have walked the nuclear neighbours back from the brink, but the underlying issues remain.
India has always been saying that Azhar is in Pakistan and has been asking Islamabad to act against him and his group, which he formed after his release in a hostage swap after the 1999 Indian Airlines flight 814 hijack. The pilot was whisked away in a convoy by Indian officials away from the public glare.
What led to this moment?
Tensions between the two nations have been heightened in recent weeks after a turbulent period of unrest.
Tensions escalated rapidly following a suicide auto bombing that killed at least 40 Indian paramilitary police in Indian-controlled Kashmir on February 14.
In response, India carried out an airstrike on a suspected Jaish-e-Mohammed base on the Pakistani side of the border on Tuesday.
Amid rising tensions between India and Pakistan, China Friday cancelled all flights to and from Pakistan and rerouted its worldwide flights flying over the Pakistani airspace, the official media in Beijing reported. Two of them were over the ownership of Kashmir, which the two sides claim in its entirety.
Pakistani and Indian flags fly in their respective countries.
In Parkistan four airports will begin partial operations with a full resumption of commercial flights on Monday, following their suspension after the military tensions.
Pakistan's foreign ministry said he was "treated with dignity and in line with global law", and that his release was "aimed at de-escalating rising tensions with India".
Khan has already called for talks with India to prevent the risk of a "miscalculation" between their militaries.
Despite the pilot's return, the path forward was uncertain for two countries that have faced off for years along the Kashmir boundary known as the Line of Control, in one of the world's most volatile regions.
The panel members also lauded the armed forces, including the IAF and described the air strike as a "glorious and heroic" job which needs to be widely publicised.
He said that one Indian pilot was in the custody of the Pakistani army.
Wing Commander Abhinandan Varthamanhas been shown on TV, looking bruised and confused.
The premier had also noted that the de-escalation efforts made by Pakistan should not be considered the country's weakness.
In later footage, he could be seen sipping tea from a cup without a blindfold.
Asif Ghafoor, the director general of Pakistan Inter-Services Public Relations, had for his neighbors in India on Tuesday evening. Indian officials said three Pakistani jets had also entered Indian airspace, before being intercepted and forced turned back.
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Pakistan denies this, saying the attack was a failure and no one died, with bombs dropped on a largely empty hillside. During the talk, he spoke on the repercussions of a nuclear war between Pakistan and India.
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The release of pilot Abhinandan is a gesture of peace from Pakistan, in order to de-escalate the soaring tensions with New Delhi . Pakistan retaliated, shooting down two Indian aircraft on Wednesday and capturing a pilot.
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