61 projects cleared under Bhutan’s 13th Five-Year Plan with India’s support
| 2024-07-20
Foreign Secretaries from India and Bhutan virtually inaugurate 19 schools constructed during the 13th FYP period on July 20, 202
India is providing development support of Nu. 100 billion (INR 10,000 Crores) for Bhutan’s 13th Five Year Plan period
A slew of development projects covering sectors like connectivity, infrastructure, energy, education, and health were approved during the 3rd India Bhutan Development Cooperation Talks for the 13th Five Year Plan (FYP) of Bhutan co-chaired by India’s Foreign Secretary Vikram Misri and Bhutan’s Foreign Secretary Pema Choden. Foreign Secretary Misri was in Bhutan on July 19-20, 2024, on his first visit abroad after assuming charge.
The two sides held wide-ranging discussions on all aspects of bilateral cooperation including development partnership, energy, trade and investment, connectivity and trade infrastructure, technology, people-to-people ties, as well as other regional issues of mutual importance, India’s Ministry of External Affairs (MEA) said on Saturday (July 20, 2024).
During his State Visit to Bhutan on March 22-23, 2024, Prime Minister Narendra Modi had announced the Indian government’s development support of Nu. 100 billion (INR 10,000 Crores) for Bhutan’s 13th Five Year Plan period. The Royal Government of Bhutan conveyed appreciation for the invaluable support that the Government of India continues to provide for Bhutan’s socio-economic development.
During Saturday’s Plan Talks, the two sides discussed various components of the assistance and implementation modalities for Government of India-assisted development projects. The Bhutanese side presented the Project Tied Assistance (PTA) proposals as well as the first tranche of the PTA projects to be implemented during the 13th Five Year Plan period.
A total of 61 projects amounting to Nu. 49.58 billion (INR 4,958 Crores), covering sectors such as connectivity, infrastructure, energy, skill development, education, health, cultural heritage, capacity building, industrial parks, sports, youth exchanges, digital economy, e-mobility, and space technology were approved by the two sides, the MEA said.
These projects were in line with the vision of the King of Bhutan, and the priorities of the Royal Government and people of Bhutan, the MEA added.
The Bhutan government informed the Indian side of the activities proposed to be conducted under the Economic Stimulus Programme (ESP).
Further, as per the request of the Royal Government, the Indian side agreed to positively consider frontloading the full amount of Nu. 15 billion (INR 1,500 Crores) of ESP in the first one and half years subject to progress on implementation of proposals, the MEA said.
During the visit, Foreign Secretary Misri received an audience with His Majesty Jigme Khesar Namgyel Wangchuck, the King of Bhutan. He also called on Prime Minister Tshering Tobgay and Minister of Foreign Affairs and External Trade D.N. Dhungyel.
Regular High-Level Exchanges
India and Bhutan share an exemplary partnership characterized by trust, goodwill and mutual understanding at all levels, strong bonds of friendship and close people-to-people contacts. The Foreign Secretary’s visit is in keeping with the tradition of regular high-level exchanges between India and Bhutan, and underscores the highest priority Government of India attaches to its ‘Neighbourhood First’ Policy.
Prime Minister Modi’s visit to Bhutan in March this year reinforced the strong ties and mutual trust between the neighbouring countries. During his visit, PM Modi met with His Majesty Jigme Khesar Namgyel Wangchuck and His Majesty Jigme Singye Wangchuck, the Fourth King of Bhutan. He also held discussions with Prime Minister Tshering Tobgay, covering a range of bilateral and regional issues. The visit resulted in the signing of seven agreements, including substantial financial aid for Bhutan’s 12th Five Year Plan, amounting to over 5,000 crores. Plans to double this amount for the upcoming 13th Five Year Plan were also discussed.
The focus on developmental cooperation was evident in the completion of major infrastructure projects such as the 720 MW Mangdechhu Hydro-electric Project and the soon-to-be-completed 1020 MW Punatshangchhu-II hydropower project. Furthermore, connectivity projects linking Bhutan with Assam and West Bengal through two rail projects were highlighted, alongside significant investments in skill development and healthcare infrastructure.
Prime Minister Modi's visit came less than a week after Bhutan Prime Minister Tshering Tobgay visited India from March 14-18, 2024.
Bhutan King Jigme Khesar Namgyel Wangchuck earlier visited India from November 3-10, 2023. His visit included meetings with Prime Minister Modi, the External Affairs Minister, and other senior officials. The King of Bhutan also visited the states of Assam and Maharashtra, further strengthening the bonds of friendship and cooperation between the two countries.
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