The state of Pakistan is based on an ideology known as ¿Two Nation Theory¿. This theory is mainly based on the assumption of cultural differences between Hindus and Muslims in the Indian Subcontinent, and a simultaneous assumption of cultural homogeneity among South Asian Muslims, even though Muslims in the Subcontinent have diverse historical backgrounds and ethnicities. The ¿Two Nation Theory¿ played an important role in convincing Muslim feudal landlords and businessmen in North Western India to support the creation of Pakistan by various commitments. Those commitments are reflected in the ¿Constitution of Pakistan¿. This study explains the history of ¿Two Nation Theory¿ with clear intention that creation of Pakistan was thought as a source of sustainable peace and prosperity of the peoples of both the countries. There are hundreds of the nexus between these two countries. It is not a matter simply of two neighbouring countries; their relations are more than two neighbours. Such relations (may be complicated but) cannot be restricted. To explain this reality is the primary objective of this study.