Govt releases Rs 215-crore fiscal aid for Bhutan

India has released Rs 215 crore (Nu 2.15 billion) for the Royal Government of Bhutan as part of its development assistance under Bhutan’s 13th Five-Year Plan, reaffirming New Delhi’s commitment to its closest Himalayan neighbour.

The release was announced at the 14th Monthly Coordination Meeting between the Embassy of India in Thimphu and the Royal Government of Bhutan. The funds were handed over by the Deputy Chief of Mission of the Indian Embassy to Bhutan’s Ministry of Finance and will support key projects in education, infrastructure, law, policing and digital transformation.

According to an official, of the total, Rs135 crore has been earmarked for the development of central schools, covering 37 institutions -- 20 central and 17 cluster schools -- with a focus on infrastructure upgrades, technology integration and green energy solutions.

Another Rs 25 crore has been allocated for infrastructure development of the Royal Bhutan Police, including police stations, housing, training facilities and firefighting vehicles.

The assistance also includes Rs 23.9 crore for improvement of the Samtse-Norbugang National Highway, Rs 16.5 crore for infrastructure development of the Jigme Singye Wangchuck School of Law and Rs 14.6 crore to strengthen digital learning facilities at the Royal University of Bhutan.

During the meeting, both sides reviewed progress on major Indian-assisted projects, including a multi-disciplinary super speciality hospital in Thimphu, space cooperation under the joint plan of action, digital skilling initiatives and e-mobility projects.

Officials said India’s support under the 13th Five-Year Plan aligned with Bhutan’s national priorities, focusing on human capital development, healthcare, education, digital transformation and green growth.