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Is India’s billion-dollar aid to Bhutan aimed at curbing China’s influence?
- India’s Prime Minister Narendra Modi has made his recent visit to Bhutan a priority despite the possibility of violating pre-election rules
- China is keen to expand its influence in Bhutan but its territorial dispute with the South Asian country is seen as a barrier, analysts say
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Indian Prime Minister Narendra Modi’s recently concluded visit to Bhutan where he unveiled a billion-dollar aid package for the South Asian country is seen as a move to counter China’s growing influence in the region.
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Modi’s visit from March 22-23 was significant as he had taken a break from hustings ahead of India’s parliamentary elections beginning next month despite potentially violating pre-election rules, political analysts say.
“Given that Bhutan is currently facing economic challenges, India understands its needs and ambitions,” said Aditya Gowdara Shivamurthy, an associate fellow of the strategic studies program at the Observer Research Foundation (ORF).
The visit underscores India’s eagerness to deepen ties with Bhutan, particularly against the backdrop of Beijing’s rising financial and diplomatic clout aimed at challenging New Delhi’s regional dominance.
Questions have been raised about Modi’s visit given the limitations on the incumbent government imposed by the Election Commission of India. A ruling government in India is deemed an interim administration during the election season until results are announced on June 4.
During the pre-announcement election period, Indian leaders are obliged not to unveil major policy decisions or make official overseas visits, according to analysts.
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