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India to double assistance to Bhutan to ₹10,000 crore over five years, says Modi

India to double assistance to Bhutan to ₹10,000 crore over five years, says Modi
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India to double assistance to Bhutan to ₹10,000 crore over five years, says Modi

  • India has decided to double Bhutan’s assistance over the next five years, from ₹5,000 crore in 2019-2024 to ₹10,000 crore for the period till 2029, Prime Minister said in Thimphu

Key Highlights

  • The Indian Prime minister 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 COVID-19 pandemic”.
  • After meeting Bhutan’s Prime Minister, India and Bhutan inked seven agreements on energy, food safety, sports, and research, as well as a space collaboration roadmap.
  • Both will soon see our initiatives for a new airport for better connectivity, rail links between Kokrajhar-Gelephu and Banarhat-Samtse
  • waterways navigation on the Brahmaputra.
  • To strengthen trade infrastructure, we will build integrated check posts,”

India Bhutan bilateral relation

  • Bhutan King recalled Operation All Clear which was a military operation conducted by the Royal Bhutan Army in 2003 against Assam separatist insurgent groups in the southern regions of Bhutan.
  • India and Bhutan have agreed to discuss new routes of regional connectivity, which includes the development of a cross-border rail link between Gelephu in Bhutan and Kokrajhar in Assam, spanning 58 km.
  • Additionally, there is a plan to explore a second rail link of approximately 18 km between Samtse in Bhutan and Banarhat in the tea gardens area of West Bengal.
  • Progress on the construction of the 1020 MW Punatsangchhu-II hydropower project was noted with satisfaction, with its early commissioning expected in 2024.

Prelims Takeaway

  • Gelephu Mindfulness City
  • Punatsangchhu-II hydropower project

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