PM Modi Meets Bhutanese King In New Delhi, Promises Technical And Financial Support

India has promised technical and financial support for extending the India-Bhutan energy partnership for non-hydro renewables, such as solar and wind as well as in green initiatives for e-mobility.

Prime Minister Narendra Modi with King of Bhutan Jigme Khesar Namgyel Wangchuck during a meeting, in New Delhi. (Image Source: PTI)

Prime Minister Narendra Modi met with Bhutanese King Jigme Khesar Namgyel Wangchuck on Tuesday in New Delhi at his residence. The Bhutanese king is on a three-day visit to India.

The leaders held bilateral talks on expanding Thimphu’s partnership with India for economic and commercial growth.India assured Bhutan to step up support for their upcoming 13th Five Year Plan and offered additional standby credit facility to boost the economy of the Himalayan state.

While the visit has been in planning for a long time, it comes after the recent controversy that spiralled out of control between both sides owing to an interview by the Prime Minister of Bhutan Lotay Tshering to a Belgian newspaper La Libre that appeared on March 25 in which he said Bhutan did not have “major border problems” with China.

Some of the highlights from the meeting are as follows:

1. COVID economic recovery process – The King of Bhutan iterated his satisfaction with India’s support during the pandemic. Both India and Bhutan have agreed to work together for the development of the region as economies recover from the pandemic.
   
   
2. Expanding partnership with India – Bhutan has also expressed interest in expanding its economic and commercial ties with India. PM Modi has agreed to support Bhutan’s 13th Five-Year Plan while Bhutan acknowledged India’s support with the 12th Five-Year Plan for which India has already released about 90 percent of the committed plan assistance.
   
   Bhutan also appreciated India extending the Standby Credit Facility at a reduced interest rate and extended settlement period, and for providing an additional currency swap support of USD 200 Million. Bhutan also looked at expanding partnerships for frontiers of Space, Startups and STEM education.
   
   
3. Hydropower cooperation – Both sides reviewed various elements of bilateral hydropower cooperation totalling 2136 MW, which has been jointly set up. They also discussed the ongoing Punatsangchhu-I HEP project which is planned to be commissioned by 2024 and the new Sankosh HEP project.India has also promised technical and financial support for extending the India-Bhutan energy partnership for non-hydro renewables, such as solar and wind as well as in green initiatives for e-mobility.
   
   
4. Space sector cooperation – After the successful launch of Bhutan’s first satellite which was jointly developed by India and Bhutan and the inauguration of the satellite’s ground earth station in Thimphu, both sides have agreed to deepen the partnership in the space technology sector by finalising a Joint Plan of Action. Bhutan also looked at bilateral cooperation to strengthen cooperation on skill development and education.