Taliban Consolidating Control in Northern Pakistan

The Pakistan government made an agreement with the Taliban now they have to deal with the consequences:

Islamic militants are using a recent peace deal with the government to consolidate their hold in northern Pakistan, vastly expanding their training of suicide bombers and other recruits and fortifying alliances with Al Qaeda and foreign fighters, diplomats and intelligence officials from several nations say. The result, they say, is virtually a Taliban ministate.

al Qaeda thumbing there noses:

The militants, the officials say, are openly flouting the terms of the September accord in North Waziristan, under which they agreed to end cross- border help for the Taliban insurgency that revived in Afghanistan with new force this year.

It's now base for attacks of NATO forces in Afghanistan:

After failing to gain control of the areas in military campaigns, the government cut peace deals in South Waziristan in 2004 and 2005, and then in North Waziristan on Sept. 5. Since the September accord, NATO officials say cross-border attacks by Pakistani and Afghan Taliban and their foreign allies have increased.

The ranks of the terrorists are growing as a result:

In recent weeks, Pakistani intelligence officials said the number of foreign fighters in the tribal areas was far higher than the official estimate of 500, perhaps as high as 1,500 to 2,000 today.

They are now a threat to Pakistan:

This year suicide attacks have become a regular feature of the Afghan war and have also appeared for the first time in Pakistan, including two in this frontier province in recent weeks, indicating a growing threat to Pakistan's security.

And they are well funded:

Money continues to flow in from religious supporters at home and in the Gulf states, as well as from a range of illicit activities like a lucrative opium trade, smuggling and even kidnapping, diplomats, UN analysts and local journalists say.