India to double assistance to Bhutan to ₹10,000 crore
India has decided to double Bhutan’s assistance over the next five years, from ₹5,000 crore in 20192024 to ₹10,000 crore for the period till 2029, Prime Minister Narendra Modi announced in Thimphu on Friday.
Mr. Modi made the announcement after he was awarded Bhutan’s highest honour, the ‘Order of the Druk Gyalpo’, which was announced in 2021, to acknowledge India’s role in ensuring “Bhutan’s success in managing the COVID19 pandemic”. After meeting Bhutan’s Prime Minister Tshering Tobgay, India and Bhutan inked seven agreements, on cooperation in energy, food safety, sports and research, as well as a space collaboration roadmap.
“We will work on new possibilities for connectivity, infrastructure, trade and energy sectors between India and Bhutan,” said Mr. Modi, while expressing his gratitude for the award from the Bhutanese King.
“We will soon see our initiatives for a new airport for better air connectivity, rail links between KokrajharGelephu and BanarhatSamtse, and waterways navigation on the Brahmaputra. To strengthen trade infrastructure, we will build integrated check posts (ICPs),” he added.
Mr. Modi’s specific mention of India’s support to the ‘Gelephu Mindfulness City’, which he called a “visionary project” is significant as it indicates the project would be a beneficiary of India’s latest assistance to Bhutan.
Mr. Modi landed in Bhutan’s Paro valley on Friday morning. He was received at the airport by Mr. Tobgay, who welcomed him on X referring to him as his “elder brother.” After driving to Thimphu, Mr. Modi received a ceremonial welcome, an audience with Bhutan’s King Jigme Khesar Namgyel Wangchuck and then with his father and former King, Jigme Singye Wangchuck, who is believed to be still extremely influential in matters of Bhutan’s foreign policy.
Speaking at the public award ceremony held in the Tendrelthang Festival Ground, Bhutan’s King said Mr. Modi was a “true friend” of the Bhutanese people and “a firm supporter of Bhutan’s national vision to achieve selfreliance and become a developed nation”.
Exemplary relations
“BhutanIndia relations are exemplary among nations,” Bhutan’s King said, adding that “Bhutan also stands to benefit when India succeeds; we feel reassured about the future of our neighbourhood“.
The visit after the electoral Model Code of Conduct has been put in place is considered unusual, given that in the past Prime Ministers haven’t made bilateral visits or made major policy announcements with financial implications during this period.
Sources said the Ministry of External Affairs (MEA) had received permission from the Election Commission to make the announcement for the grant of ₹10,000 crore for Bhutan, indicating the special relationship the two countries share.
It is also considered unconventional to accept foreign awards during the campaign season. However, in the runup to the 2019 elections as well, awards were announced for the PM.
PM Narendra Modi was awarded Bhutan’s highest honour, the ‘Order of the Druk Gyalpo’