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The geopolitical environmentof South Asia has significantlychanged in last two decades. This change essentially poses various challenges and brings opportunities for Pakistan in the region. The prime focus of this paper is to give an insight into challenges faced by Pakistan in a historical narrationand to critically evaluate the implications of emerging geopolitical environment for Pakistan's foreign policy. Therefore, this study, by adopting realist perspective, develops "stress and strain" frameworkto analyses the impacts of regional geopoliticson foreign policy of Pakistan. Thishistorical analysisreveals that the interest of great powers in the region changes with passage of timeand thus changes their allianceswith regional states. This shifting of alliances modifies the way of interaction among regional states. The study concludes with suggestions that the articulation of national interest and foreign policy of Pakistanneeds to be reviewed continuouslyin order to overcome the emerging challenges and to find the best possible way of engagement at regional and international level. [ABSTRACT FROM AUTHOR]