Consider the following statements regarding the Indus Waters Treaty (IWT):

Statement I: The Indus Waters Treaty was signed between India and Pakistan in 1960 with the World Bank as a mediator.

Statement II: The treaty provides a two-tiered mechanism for dispute resolution, involving the Permanent Indus Commission and a Court of Arbitration.

Which one of the following is correct in respect of the above statements?

1
Both Statement I and Statement II are correct, and Statement II is the correct explanation for Statement I.
2
Both Statement I and Statement II are correct, but Statement II is not the correct explanation for Statement I.
3
Statement I is correct, but Statement II is incorrect.
4
Statement I is incorrect, but Statement II is correct.

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