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Bhutan and India discuss economic cooperation

June 16, 2014
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Bhutan and India discuss economic cooperation. India’s Prime Minister, Narendra Modi, reassured Lyonchhen Tshering Tobgay of India’s continued commitment to capacity building, especially in the education and IT sectors in Bhutan.

He also reiterated the commitment of the Government of India to support Bhutan for the successful implementation of the 11th Five Year Plan of Bhutan.

Bhutan’s Prime Minister thanked the Government of India for the allocation of Nu. 45 BN for the 11th Five Year Plan and Nu. 5 BN for the Economic Stimulus Plan.

The two leaders also discussed the construction of the Kholongchhu Hydroelectric Project. They acknowledged the importance of cooperation and mutual benefit arising from the hydropower sector between the two countries. Both the sides reiterated their commitment to achieve the 10,000 MW target.


Both the leaders also discussed free trade arrangement between the two countries. The Government of India conveyed its decision to exempt Bhutan from any ban or quantitative restrictions on export of milk powder, wheat, edible oil, pulses and non-basmati rice. The two sides agreed to further promote trade and investments between the two countries.

In keeping with the emphasis on capacity building and education, Prime Minister Narendra Modi announced the doubling of the Nehru-Wangchuck scholarship to Rs.20 million per year. He said the government of India would also provide grant assistance for the establishment of the E-library in the National Library of Bhutan and in all 20 districts of Bhutan.

Lyonchhen and Narendra Modi agreed to continue the coordination and cooperation with each other on issues related to their national interests. They decided that they will not allow each other’s territory to be used for interests detrimental to the other.

 

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