Bhutan Tops the List: Indian Aid Allocation in Interim Budget 2024-25
In a significant revelation from the interim budget 2024-25, Bhutan has emerged as the leading recipient of Indian aid, securing the top spot in grants and loans disbursed by the Government of India. The Union Budget documents released post the interim budget presentation by Finance Minister Nirmala Sitharaman shed light on the distribution of funds, indicating a notable shift in allocations to various countries.
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| According to the interim budget 2024-25, Bhutan is the top country receiving Indian aid. |
Changing Aid Landscape: Budget Overview
The interim budget for the financial year 2024-25 outlines an estimated allocation of Rs 5,667.56 crore as grants and loans to foreign governments. This reflects a decrease from the previous fiscal year, where an amount of ₹6,541.79 crore was provided for similar purposes. The evolving aid landscape signifies strategic decisions in aligning assistance with national priorities.
Bhutan Takes the Lead: Top Recipient of Indian Aid
Bhutan, a close ally of India, has secured the top position as the primary recipient of grants and loans from the Indian government. The interim budget earmarks Rs 2068.56 crore for developmental assistance to Bhutan, emphasizing the continued emphasis on fostering strong ties and supporting Bhutan's developmental initiatives.
Nepal Follows Suit: Second in Line
Nepal stands as the second-highest recipient of government grants in the interim budget, with an allocation of Rs 700 crore for developmental assistance. This reaffirms the importance of regional partnerships and collaborative efforts in addressing shared challenges and promoting sustainable development.
Aid Adjustments: Cutbacks and Increases
The budget presents a 22% reduction in aid to the Maldives, with the island nation now expected to receive Rs 600 crore for developmental assistance in the financial year 2024-25. Meanwhile, other countries, including Afghanistan, Bangladesh, Myanmar, and select Latin American nations, witness a reduction in allocation. Surprisingly, an increase is noted in the budget allocation for Sri Lanka, African countries, Mauritius, and Seychelles.
Reflecting on the Past: Major Countries in 2023-24
A retrospective glance at the aid distribution in the financial year 2023-24 provides insights into the major beneficiaries during that period. Bhutan led the list with Rs 2398.97 crore, followed by the Maldives, Nepal, Myanmar, Mauritius, Afghanistan, Bangladesh, Sri Lanka, Seychelles, and Mongolia.
In conclusion, the interim budget's allocation of Indian aid highlights the dynamic nature of diplomatic and developmental priorities. Bhutan's prominence as the top recipient underscores the enduring bond between the two nations, while adjustments in aid distribution reflect a nuanced approach to international collaborations.
