India and Pakistan Ceasefire Agreement: What does it mean for India and Kashmir?

For a few months now, there is peace across the LOC as the guns have fallen silent from both sides of the divide. It is a reprieve time for those unfortunate ones who live within a radius of a few kilometres from LOC on both sides as they no longer need fear for their lives and properties. How short/ long lived will this scenario be? Why did Pakistan go in for a ceasefire? What can be expected of Pakistan in near and distant future, given its past misdemeanours? If an answer is to be sought for the stated questions then one needs to understand the psyche of Pakistan as a Nation, with regard to India.