Answer:
A moral dilemma is shown here
Explanation:
Starting with the last word, <em>perfidy </em>is a deliberate breach of faith or trust; in the context of war - we can assume that this the case because of the word <em>peace</em><em> loving country</em> - perfidy can actually lead to warcrimes, like waving a white flag and then kill the enemy.
So the moral dilemma is that a country is very likely to be uncomfortable with a pact, the other side probably being a bit of a war loving country, but diplomatic relations deny the possibility of breaking the pact.
The part <em>not wishing to take the initiative of breaking the pact </em>is, if I´m not mistaken, a subordinate adjective clause that refers to the noun <em>country</em>.
So this country, not wishing etc., could not resort to perfidy either. Because that would be even worse, considering the fact that it is a peace loving country.
