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Home>Current Affairs>India – Bhutan Bilateral Relations
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India – Bhutan Bilateral Relations

SYLLABUS

GS-2: India and its neighborhood- relations.  

Context: 

The recent two-day State visit of the Prime Minister of India to Bhutan reinforced the strong India-Bhutan partnership. 

Key Highlights of the Visit 

Hydroelectric Power Project Cooperation: 

  • The Indian Prime Minister inaugurated the 1,020 MW India-funded Punatsangchhu-II hydropower project, boosting Bhutan’s power capacity by nearly 40%. 
  • It is the fifth Indian-backed hydropower project in the country, which altogether generates a total of nearly 3,000 megawatts of power.
  • Work has resumed on the 1,200 MW Punatsangchhu-I Hydroelectric Project’s main dam, reinforcing India–Bhutan collaboration in sustainable energy development.

Line of credit: The Government of India announced a concessional Line of Credit of INR 40 billion to fund the energy projects in Bhutan.

Contribution in Bhutan’s development plan: The Prime Minister of India reaffirmed India’s unwavering support for Bhutan’s 13th Five-Year Plan, including the Economic Stimulus Programme.

Cultural Partnership: 

  • India’s decision to grant land for a Bhutanese temple and guest house in Varanasi reflects efforts to strengthen cultural and spiritual ties between the two nations.
  • The Prime Minister of India announced the decision to establish an Immigration Check Post at Hatisar, Assam, to facilitate easy movement of investors and visitors to Gelephu Mindfulness City. 

Participation in the 70th Birth Anniversary of the Fourth King of Bhutan: The Prime Minister of India participated as the Guest of Honour in celebrating the 70th Birth Anniversary of His Majesty the Fourth Druk Gyalpo at Changlimithang.

Global Peace Prayer Festival: Prime Minister of India engaged in the Global Peace Prayer Festival in Thimphu, where the Holy Piprahwa Relics of Lord Buddha from India were on public display, underscoring the spiritual and civilizational ties linking both countries.

Scientific Cooperation: The two sides expressed satisfaction with the growing cooperation in the new areas of STEM, Fintech, and Space and also welcomed the ongoing work on Phase II of the UPI, which will enable Bhutanese visitors to India to make payments using local mobile applications by scanning QR codes.

Memoranda of Understanding signed between the two countries during the visit:

  • Cooperation in Renewable Energy between the Ministry of Energy and Natural Resources, Bhutan, and the Ministry of New and Renewable Energy, India.
  • Cooperation in Health and Medicine between respective Health Ministries.
  • Institutional Linkages between The PEMA Secretariat, Bhutan, and India’s National Institute of Mental Health and Neuro Sciences. 
  • Establishment of cross-border rail links (Gelephu-Kokrajhar and Samtse-Banarhat).

Significance of Bhutan for India 

  • Strategic Buffer: Bhutan acts as a buffer state between India and China, crucial for India’s national security and the protection of the Siliguri Corridor.
  • Shared Cultural Heritage: Buddhism and centuries-old cultural ties reinforce mutual goodwill and cooperation.
  • Energy Security Partner: Bhutan’s hydropower resources support India’s energy needs and green agenda.
  • Regional Connectivity and Stability: Bhutan facilitates strategic infrastructure corridors, enhancing India's connectivity with the northeast and broader regional integration.

Sources:
The Hindu
Reuters
Mea.Gov

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