India and Bhutan reviewed the progress of New Delhi-supported development projects in the Himalayan nation during a high-level talk, as the two sides signed a concessional line of credit agreement worth ₹4,000 crore and expanded cooperation in the health sector.
The fifth India-Bhutan Development Cooperation Talks, co-chaired by Foreign Secretary Vikram Misri and his Bhutanese counterpart Dasho Pema Lektup Dorji, focused on the implementation of projects under Bhutan’s 13th Five-Year Plan. The two sides reviewed the progress and implementation of India-supported projects across diverse sectors, with Bhutan appreciating India’s significant support and its contribution to the country’s socio-economic development.
A total of 12 new Project Tied Assistance (PTA) projects amounting to ₹332 crore were approved, covering sectors such as infrastructure, healthcare, agriculture, urban amenities, and disaster management. With this, a total of 82 PTA projects have been approved under the 13th Five-Year Plan, amounting to ₹6,860 crore. India has also released ₹1,250 crore towards the Economic Stimulus Programme, ₹735.20 crore towards High Impact Community Development Projects, and ₹200 crore towards Programme Grant.
The two foreign secretaries also virtually inaugurated the Thimphu Ecological Park and the Olakha Park, developed under the ‘Green Infrastructure and Open Spaces in Thimphu’ project funded by India as part of bilateral economic development. An agreement for a concessional line of credit of ₹4,000 crore was exchanged between the Export-Import Bank of India and Bhutan’s Ministry of Finance to support development initiatives in the country.
The two sides also exchanged a Memorandum of Understanding (MoU) for cooperation in health education and research between the All India Institute of Medical Sciences and Bhutan’s Khesar Gyalpo University of Medical Sciences. As part of India’s support for Bhutan’s green mobility initiatives, 45 electric vehicles were handed over to the Royal Government of Bhutan.
India is Bhutan’s largest development partner and has been extending financial and technical assistance for infrastructure, connectivity, education, health, and capacity-building projects over the decades. New Delhi has committed support for Bhutan’s 13th Five-Year Plan as part of its longstanding development partnership with the neighbouring Himalayan kingdom.
