A Visit to Renew Old Ties

The Indian Prime Minister Narendra Modi’s visit to Bhutan has literally been the talk of town for reasons perhaps starkly visible in the multiple works in progress in and around town to give a pleasant welcome to the Indian Premier, who decided to start his external visits from Bhutan.

From the moment the visit was public, it became media fodder that speculated and interspersed Bhutan being the first choice. Said speculations, revolved largely around India’s need to secure Bhutan as the one friendly and supportive neighbor amidst the ‘troublesome’ others.


Given the multiple aspects associated with it as a giant and powerful nation in the region, it is perhaps expected that every time change takes place in and around it, they are bound to make headlines under various tags of power-play, strategy, carefully-calibrated diplomacy etc.


Everything being what they are, there still remains the element of Indo-Bhutan friendship that is treated with reverence and given a noble accord between the countries Bhutan and India.

Bhutan and India signed the Treaty of Friendship on August 8, 1949, calling for peace between the two nations and non-interference in each other's internal affairs. Through the treaty, both nations agreed to consult each other closely on foreign and defence affairs while also establishing free trade and extradition protocols.


Bhutan was the first country to recognize Bangladesh as an independent state soon after its liberation in 1972 which was a show of regional solidarity that strengthened the bond between the two nations.


In the words of the PM of Bhutan, the Indian PM Modi’s choice of Bhutan as a first pick is a show of importance accorded not only to the region but also for the friendship India has with Bhutan.Modi’s visit is significant also because India is Bhutan’s biggest trading region with pretty much of everything imported from the Indian side.
The visit however and more importantly ensures continued show of support to this small nation in the event of changing government and plans for India after its recent elections.


India's budgetary support to Bhutan at the close of year 2013 stood at US$ 600 Million. After the last general elections the PM of Bhutan secured an aid package from India worth INR 54 bn during his visit to New Delhi in August 2013. Of this amount, INR 45 bn has been earmarked for the 11th Five-Year Plan while INR 4 bn was for the pending projects of the previous plan period. The remaining INR 5 bn was set aside for the Economic Stimulus Plan of the present PDP government to stabilize the Bhutanese economy which has been on a downturn during the previous government’s term.


The importance of Indo-Bhutan has been stressed upon by the Kings of Bhutan repeatedly and it continues to retain the aspect even under the democratic leaders of Bhutan.


Lyonchhen Tshering Tobgay reiterated the importance awarded to India and Bhutan’s friendship in recent media reports that followed Modi’s plans to visit Bhutan. He said the two countries have enjoyed an extremely cordial relationship and the friendship between the two countries is considered an exemplary model. With the Indian PM’s visit to Bhutan, said the Bhutanese PM, the two countries can further strengthen the ties of friendship.


PM Tshering Tobgay at the time also expressed his gratitude to His Majesty the King for inviting PM Narendra Modi. He said that the Indian people and the Indian government and PM Modi, hold His Majesty, the King in high esteem and his visit here is indicative of the high esteem they hold of the Royal family, particularly His Majesty the King.



Published as Editorial on June 14 in Business Bhutan