India has committed to positively consider allocating Rs 1,500 crore to Bhutan under the Economic Stimulus Programme within the next 18 months, according to a statement from both governments on Saturday, following Foreign Secretary Vikram Misri's visit and his comprehensive discussions with Bhutanese leaders.

Misri, who embarked on his first foreign visit just days after assuming office last week, discussed the implementation strategies and cooperation across various sectors of the India-Bhutan development partnership with his Bhutanese counterpart, Aum Pema Choden.

The joint press release emphasised the exemplary partnership marked by trust, goodwill, mutual understanding at all levels, strong bonds of friendship, and close people-to-people contact. It stated that both sides engaged in extensive discussions on all aspects of bilateral cooperation.

The topics covered under bilateral cooperation included the development partnership, energy, trade and investment, connectivity and trade infrastructure, technology, people-to-people ties, and other regional issues of mutual importance, according to the joint press release issued by New Delhi and Thimphu.

“The Royal Government informed the Government of India of the activities proposed to be conducted under the Economic Stimulus Programme. The Indian side agreed to positively consider frontloading the full amount of Nu 15 billion i.e. ₹1,500 crore of ESP in the first one and half years subject to progress on implementation of proposals,” the release said.

Misri, who was on a two-day official visit at the invitation of his counterpart Aum Pema Choden, had an audience with Jigme Khesar Namgyel Wangchuck, the King of Bhutan, and met with Dasho Tshering Tobgay, the Prime Minister, and D N Dhungyel, the Minister of Foreign Affairs and External Trade, on Friday.

On Saturday, Misri and Choden co-chaired the 3rd India-Bhutan Development Cooperation Talks—commonly known as 'Plan Talks'—of the 13th Five Year Plan, which focuses on developmental cooperation and mutual interests.

“Foreign Secretary @VikramMisri & Foreign Secretary Aum Pema Choden co-chaired 3rd Development Cooperation Talks of the 13th Five Year Plan,” The Embassy of India in Thimphu posted on X.

“Reviewed implementation modalities & cooperation in diverse areas of development partnership under 13 FYP period,” it said.

Both sides expressed satisfaction with the numerous Bhutan-India development projects completed under the 12th Five Year Plan (FYP), and the two Foreign Secretaries virtually inaugurated 19 schools in Bhutan that were constructed during this period.

The Bhutanese side presented the Project Tied Assistance (PTA) proposals and the first tranche of PTA projects to be implemented during the 13th FYP, according to the release.

A total of 61 projects, amounting to Nu 49.58 billion, were approved by both sides. These projects cover sectors such as connectivity, infrastructure, energy, skill development, education, health, and cultural heritage.

Additionally, projects related to capacity building, industrial parks, sports, youth exchanges, the digital economy, e-mobility, and space technology were also approved. These align with the vision of the King of Bhutan and the priorities of the Bhutanese government and people, the release stated.

Earlier, during Prime Minister Narendra Modi's State Visit to Bhutan in March this year, he announced the Government of India’s development support of Nu 100 billion (₹10,000 crore) for Bhutan’s 13th Five Year Plan period.

The Bhutanese government expressed appreciation for the invaluable support that the Government of India continues to provide for Bhutan’s socio-economic development, according to the release.

“During the Plan Talks, the two sides discussed various components of the assistance and implementation modalities for GoI-assisted development projects," it added.

Image source: ANI