Banjosa Lake is a man-made reservoir about 18 kilometres from Rawalakot, set in a forest of pine and fir at around 1,600 metres. It was created in the mid-20th century as a water source and has since become one of Azad Kashmir's most visited tourist spots. The lake is ringed by trees and backed by green hillsides, giving it a pleasantly Swiss-looking character that surprises visitors expecting something more austere.
Boating is available on the lake, and the forest walks around the shore are gentle and shaded. There are PTDC (Pakistan Tourism Development Corporation) facilities here, including a rest house that can be booked in advance. Most visitors combine Banjosa with a trip up to Toli Pir, making a full-day circuit from Rawalakot. The road to the lake passes through dense pine forest, which is attractive in its own right.