During high-level talks, India and Bhutan reviewed the progress of development projects being implemented in the Himalayan nation with New Delhi’s assistance. Additionally, both sides signed an agreement for a concessional credit line worth ₹4,000 crore and enhanced cooperation in the health sector.
The Indian Embassy in Bhutan stated in a social media post that the fifth India-Bhutan Development Cooperation Talks were held on Thursday (July 30, 2026), co-chaired by Foreign Secretary Vikram Misri and his Bhutanese counterpart, Dasho Pema Lektup Dorji. The discussions focused on the implementation of projects under Bhutan’s 13th Five-Year Plan.
The Embassy noted that both sides reviewed the progress and implementation of India-assisted projects across various sectors. The mission reported that Bhutan appreciated India’s significant support and contribution to the country’s socio-economic development.
In a joint press release, the Ministry of External Affairs (MEA) stated that during the talks, both sides reviewed the overall progress and implementation of India’s ₹10,000 crore assistance for Bhutan’s 13th Five-Year Plan (2024-29). This assistance encompasses Project Tied Assistance (PTA) projects, High Impact Community Development Projects (HICDP), the Economic Stimulus Program (ESP), and program grants.
According to the release, 12 new PTA projects worth a total of ₹332 crore were approved, covering sectors such as infrastructure, healthcare, agriculture, urban amenities, and disaster management. With this, a total of 82 PTA projects have been approved under the 13th Five-Year Plan, with a combined cost of ₹6,860 crore. India has also released ₹1,250 crore for ESP, ₹735.20 crore for HICDPs, and ₹200 crore for program grants. The release stated, “The progress regarding the utilization of these funds was reviewed during the meeting.”