Every sovereign state has its foreign policy. It refers to the sum total of principles, interests and objectives which a country promotes while interacting with other countries. The thrust of foreign policy changes according to the changing international circumstances. India’s foreign policy is shaped by several factors including its history, geography, culture and economy. In the present study an attempt has been made to examine the pattern and style of management of external relations of India towards Pakistan under the regime of the Janata Party. It is focused on the objectives underlying the foreign policy of the Janata Party and the strategies and resources adopted to actualize the foreign policy goals. As regards the policy towards neighbouring countries and especially towards Pakistan, attempts were made continuously to develop friendly relations. There were certain issues on which the Janata Party Government laid particular emphasis viz. genuine non-alignment, good-neighbourliness, nuclear policy and human rights which reflects a difference of approach with the previous congress government. Foreign minister Vajpayee’s style of handling the major bilateral problems with neighbours had also convinced them of India’s sincerity in resolving mutual problems. It was the beginning of a new climate to develop mutual harmonious and beneficial neighbourly relations. This study analyses the reasons why a particular line of policy was followed and how far it succeeded in preserving and advancing national interest.