India, Bhutan sign Line of Credit worth Rs 4,000 crore for energy projects
New Delhi, Sept 19: India and Bhutan have signed an agreement on a concessional Line of Credit worth Rs 4,000 crore for energy projects in Bhutan during External Affairs Minister S Jaishankar’s official visit to the country, according to a joint press release issued by the Ministry of External Affairs (MEA).
Jaishankar paid an official visit to Bhutan from September 16 to 18 at the invitation of Bhutanese Foreign Affairs and External Trade Minister DN Dhungyel.
During the visit, the two ministers reviewed all aspects of bilateral cooperation and regional and international issues of mutual importance.
The two ministers expressed satisfaction with progress in the India-Bhutan energy partnership and recalled recent developments in the sector. These included the inauguration of the 1,020 MW Punatsangchhu-II Hydroelectric Project and the signing of its Tariff Protocol.
The two sides also noted the resumption of dam construction at the 1,200 MW Punatsangchhu-I Hydroelectric Project. They welcomed the active engagement of Indian companies in hydropower projects in Bhutan, which they said was adding dynamism to existing energy cooperation.
Jaishankar and Dhungyel jointly inaugurated or launched several development projects during the visit. These included the 65-bedded Gyaltsuen Jetsun Pema Mother and Child Hospital in Mongar, the Jaganathan Bridge on the Samdrup Jongkhar-Trashigang Highway and the 500 kW Lunana Hydropower Project.
The two sides also welcomed the handing over of 54 electric vehicles to the Royal Government of Bhutan and the transfer of 43 Jersey cows from India to the National Cattle Breeding Centre in Bumthang, the MEA said.
Jaishankar reaffirmed India’s support for Bhutan’s developmental goals and priorities, while Bhutan appreciated India’s support for programmes under its 13th Five Year Plan for 2024-29. The two sides also discussed the Gelephu Mindfulness City, trade and transit, cross-border connectivity, digital payments and space cooperation.
India reaffirmed its commitment to establish an Immigration Check Post at Hatisar in Assam to facilitate the movement of investors and visitors to Gelephu. The two sides also noted progress on the Gelephu-Kokrajhar and Samtse-Banarhat cross-border rail links.
The ministers welcomed the operationalisation of a UPI-based facility enabling Bhutanese nationals to make digital payments in India using Bhutanese mobile applications. The development was discussed alongside wider cooperation in trade, connectivity and digital payments between the two countries.
The two sides also welcomed cooperation in education, including doubling the number of Bhutanese students eligible under the Indian Council for Cultural Relations scholarship from 30 to 60. Seats under the Nalanda University Scholarship Scheme will also increase from 30 to 55.
India thanked Bhutan for its support for India’s candidature for a non-permanent seat on the United Nations Security Council for the 2028-29 term. India also welcomed Bhutan’s ratification of the Framework Agreement of the International Big Cat Alliance.
Jaishankar also invited the Bhutanese Foreign Affairs and External Trade Minister to visit India at his earliest convenience. The visit covered energy, infrastructure, connectivity, digital payments, education and other areas of bilateral cooperation. (BVI)
