Indian aid to Bhutan decreasing

The budgetary assistance that Bhutan is receiving from India is gradually decreasing in the recent years.

In 2018-19 budget, the government of India has increased its aid to Bhutan by approximately IRs 800 million. However, this is down by almost IRs 10 billion compared to the initial announcement for 2017-18 budget.

The budget presented at the national parliament on Friday by Finance Minister Arun Jaitley notes the annual aid increased to IRs 26.5 billion. This was an increase from IRs 25.79 billion, revised down from IRs 37.14 billion, in current financial year.

In 2016-17, India had provided IRs 34.41 billion aid assistance to Bhutan. At one stage, Manmohan Singh government had increased the aid to IRs 59 billion.

Though the budget increase for Bhutan is very small FY 2018-19 compared to revised assistance of FY2017-18, the country is the highest recipient of Indian foreign aids.