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The World Bank has allowed India to move ahead with two hydroelectric power facilities on tributaries of the Jhelum and Chenab rivers, a decision taken at the conclusion of secretary-level talks between Pakistan and India on Indus Water Treaty.

World Bank, which brokered the 1960 water treaty between the two nuclear-armed neighbours, said New Delhi is allowed to construct Kishanganga and Ratle dams with certain restrictions under the treaty.

"The decision was taken in light of the reservations put forth by the Pakistani delegation," the world lender said in a fact sheet.

"Among other uses, India is permitted to construct hydroelectric power facilities on these rivers subject to constraints specified in annexures to the treaty."