India reaffirmed its role as Bhutan’s largest development partner
NEW DELHI: India and Bhutan on Thursday reviewed the progress of New Delhi-backed development projects in the Himalayan nation and signed a Rs 4,000-crore concessional line of credit agreement, while also expanding cooperation in the health sector.The decisions were taken during the fifth India-Bhutan Development Cooperation Talks, co-chaired by Foreign Secretary Vikram Misri and his Bhutanese counterpart Dasho Pema Lektup Dorji in Thimphu.According to a joint statement issued by the Ministry of External Affairs (MEA), the two sides reviewed the implementation of India’s Rs 10,000-crore support package for Bhutan’s 13th Five-Year Plan (2024-29), covering Project Tied Assistance (PTA), High Impact Community Development Projects (HICDP), the Economic Stimulus Programme (ESP) and Programme Grants.The two countries approved 12 new Project Tied Assistance projects worth Rs 332 crore in sectors including infrastructure, healthcare, agriculture, urban amenities and disaster management. With these approvals, the total number of PTA projects under Bhutan’s 13th Five-Year Plan has reached 82, with a combined outlay of Rs 6,860 crore.India has also released Rs 1,250 crore under the Economic Stimulus Programme, Rs 735.2 crore for High Impact Community Development Projects and Rs 200 crore as Programme Grant. The meeting reviewed the utilisation of these funds.During the talks, the two sides exchanged an agreement for a Rs 4,000-crore (Nu 40 billion) concessional line of credit between the Export-Import Bank of India and Bhutan’s ministry of finance to support development initiatives in the country.
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India and Bhutan also signed a Memorandum of Understanding (MoU) on health education and research between the All India Institute of Medical Sciences (AIIMS) and Khesar Gyalpo University of Medical Sciences.As part of India’s support for Bhutan’s green mobility programme, 45 electric vehicles were handed over to the Royal Government of Bhutan.The two foreign secretaries also virtually inaugurated the Thimphu Ecological Park and Olakha Park, developed under the India-funded “Green Infrastructure and Open Spaces in Thimphu” project.Misri was on a two-day visit to Bhutan from July 30 to 31. During the visit, he called on King Jigme Khesar Namgyel Wangchuck, Prime Minister Dasho Tshering Tobgay and Foreign Minister Lyonpo D N Dhungyel.India remains Bhutan’s largest development partner, extending financial and technical assistance for infrastructure, connectivity, education, healthcare and capacity-building projects over several decades.
