The government will receive over Rs.1.7 Billion from the Indian government as the refund of excise duty on the import of goods for the year 2012. The refund will go to the country’s internal revenue.
The internal revenue is used for recurrent expenditure like salaries for the public servants, road maintenance and other public amenities.
An agreement to this was signed between the two countries in the capital, yesterday.
Meanwhile, the additional excise refund for 2012 that amounts to over Rs.297 million is yet to be considered.
The government of India has also agreed to provide additional excise refund of over Rs. 449 million for 2010 and 2011.
For 2010-2011, Bhutan received Rs. 3 billion as the excise duty refund from India. The remaining amount of Rs.57 million will be refunded before June this year.
