India | Bhutan |
|---|---|
| Diplomatic mission | |
| Royal Bhutanese Embassy,New Delhi | Embassy of India,Thimphu |
| Envoy | |
| Bhutanese Ambassador toIndia Vetsop Namgyel | Indian Ambassador toBhutan Sudhakar Dalela |
Thebilateral relations between theHimalayanKingdom of Bhutan and theRepublic of India have been traditionally close and both countries share a "special relationship",[1][2] making Bhutan aprotected state, but not aprotectorate, of India.[3] India remains influential over Bhutan's foreign policy, defence and commerce. Bhutan is the largest beneficiary of India's foreign aid.
| Common name | Bhutan | India |
|---|---|---|
| Official name | Kingdom of Bhutan | Republic of India |
| Flag | ||
| Emblem | ||
| Capital | Thimphu | New Delhi |
| Largest city | Thimphu | Delhi |
| Population | 727,145 | 1,428,627,663 |
| Government | Unitaryparliamentarysemi-constitutional monarchy | Federalparliamentary republic |
| Official languages | Dzongkha | Hindi andEnglish[4] |
| Current leader | Prime MinisterTshering Tobgay | PresidentDroupadi Murmu Prime MinisterNarendra Modi |
| Religion | Buddhism (official) | State secularism |
Following theChinese expedition to Tibet in 1910, Bhutan became aprotected state ofBritish India, signing atreaty allowing theBritish Raj in India to "guide" its foreign affairs and defence.[5] Bhutan was one of the first to recognize India's independence in 1947 and both nations fostered close relations, signing astandstill agreement to maintain the existing relations and a treaty of friendship in 1949.[6] Their importance was augmented by the 1950annexation of Tibet by thePeople's Republic of China and China's border claims on both Bhutan and India.[7] India shares a 605 kilometres (376 mi) border with Bhutan and is its largest trading partner, accounting for 98 percent of its exports and 90 percent of its imports.[8]
A 2,000 strongIndian Military Training Team (IMTRAT) is permanently based in western Bhutan to train theRoyal Bhutan Army, while other units regularly cooperate with the Royal Bhutan Army.[9][10]
On 9 August 1949, Bhutan and India had signed the Treaty of Friendship, calling for peace between the two nations and non-interference in each other's internal affairs.[11] However, Bhutan agreed to let India "guide" its foreign policy and both countries would consult each other closely on foreign and defence affairs. The treaty also establishedfree trade andextradition protocols.[11] Scholars regard the effect of the treaty is to make Bhutan into aprotected state, but not aprotectorate, because Bhutan continues to have the power to conduct its own foreign policy.[3][12]
The annexation ofTibet by Communist China brought both countries even closer.[11][13] In 1958, the then-Indian Prime MinisterJawaharlal Nehru visited Bhutan and reiterated India's support for Bhutan's independence and later declared in theIndian Parliament that any aggression against Bhutan would be seen as aggression against India.[11]
In August 1959, there were reports in Indian media that China was seeking to "liberate"Bhutan andSikkim. Nehru stated in theLok Sabha that the defence of the territorial uprightness and frontiers of Bhutan was the responsibility of the Government of India.[14]
The period saw a major increase in India's economic, military and development aid to Bhutan, which had also embarked on a programme of modernisation to bolster its security. While India repeatedly reiterated its military support to Bhutan, the latter expressed concerns about India's ability to protect Bhutan against China while fighting a two-front war involvingPakistan.[11] India and Bhutan completed a detaileddemarcation of their mutual border in the period between 1973 and 1984.[11] Border demarcation talks with India generally resolved disagreements except for several small sectors, including the middle zone betweenSarpang andGeylegphug and the eastern frontier with the Indian state ofArunachal Pradesh.[11]

Although relations remained close and friendly, the Bhutanese government expressed a need to renegotiate parts of the treaty to enhance Bhutan's sovereignty.[11] Bhutan began to slowly assert an independent attitude in foreign affairs by joining theUnited Nations in 1971, recognizingBangladesh and signing a new trade agreement in 1972 that provided an exemption from export duties for goods from Bhutan to third countries.[11] Bhutan exerted its independent stance at theNon-Aligned Movement (NAM) summit conference inHavana,Cuba also in 1979, by voting with China and some Southeast Asian countries rather than with India on the issue of allowingCambodia'sKhmer Rouge to be seated at the conference.[11] Unlike in Nepal, where its1950 treaty with India has been the subject of great political controversy and nationalist resentment because of Nepali immigrants in India, the nature of Bhutan's relationship with India has not been affected by concerns over the treaty provisions.[13][15] From 2003 to 2004, theRoyal Bhutan Army conducted operations against anti-India insurgents of theUnited Liberation Front of Assam (ULFA) that were operating bases in Bhutan and using its territory to carry out attacks on Indian soil.[16]
India re-negotiated the 1949 treaty with Bhutan and signed a new treaty of friendship in 2007. The new treaty replaced the provision requiring Bhutan to take India's guidance on foreign policy with broader sovereignty and not require Bhutan to obtain India's permission over arms imports.[17][18][13] In 2008, India's then Prime Minister Dr.Manmohan Singh visited Bhutan and expressed strong support for Bhutan's move towardsdemocracy.[8] India allows 16 entry and exit points for Bhutanese trade with other countries (the only exception beingChina) and has agreed to develop and import a minimum of 10,000 megawatts of electricity from Bhutan by 2021.
In 2012–13 fiscal, India's budgetary support to the Kingdom country stood at US$600 million (around₹30 billion). It steadily rose over the years to reach US$985 million (₹61.60 billion) in 2015–16 making Bhutan the largest beneficiary of India's foreign aid.
Bhutan'sPrime Minister,Tshering Tobgay, requested an additional aid package fromIndia worth INR 54 billion (US$819 million, as per the exchange rates at the time of signing the deal) for his nation during his visit toNew Delhi in August 2013. Five-sixths of this amount (INR 45 billion) has been earmarked for Bhutan's 11th Five-Year plan. INR 4 billion was for the pending projects of the previous plan period. The remaining INR 5 billion was part of India's "Economic stimulus package" for Bhutan's slowing economy.
India operates three hydro power projects, of 1,416 MW in Bhutan and three more of 2,129 MW are under construction.[19] The third Prime Minister ofBhutanLotay Tshering secured an aid package of aboutNu.45 billion (about $635 million) for the 12th five-year plan in his first overseas visit to India in November 2018. During this meeting the tariff rate for the Mangdechhu Hydropower Project plant was also brought under discussion where Lotay Tshering tried to raise the rate to Nu.4.27 but it ended more towards the Indian Government's negotiation price of Nu.4.1. The revised tariff rate for the plant was then settled at Nu.4.12. The government ofBhutan also received Nu.4 billion for trade facilitation and boosting economic linkages.[20]

Indian Prime Minister Narendra Modi chose Bhutan as his first foreign destination. Modi inaugurated the Supreme Court Complex in Bhutan and also promised help to Bhutan on the IT and digital sectors.[21]
This visit followed an invitation by KingJigme Khesar Namgyel Wangchuck and Tobgay. The visit was called by the media as a "charm offensive" that would also seek to check Bhutan–China relations that had recently been formalized.[22] He also sought to build business ties,[23] including a hydro-electric deal, and inaugurated the India-fundedSupreme Court of Bhutan building.[24] While talking about the visit, Modi said that Bhutan was a "natural choice" for his first foreign destination because of the "unique and special relationship" the two countries shared. He added that he was looking forward to nurture and further strengthen India's special relations with Bhutan. His entourage included Foreign MinisterSushma Swaraj, National Security AdviserAjit Doval and Foreign Secretary Sujatha Singh.[25] He was further set to discuss theinsurgency in Northeast India, and China.[26]
In 2024, the King of Bhutan conferred Prime Minister Modi with theOrder of the Dragon King, the highest decoration of Bhutan. It was the first such award to a non-Bhutanese.[27]
Bhutan was introduced tokho kho, atraditional game of India, in 2019. Bhutan later competed in the inaugural2025 Kho Kho World Cup in India.[28]
In 2025, Bhutanese style Buddhist temple calledRoyal Bhutan Buddhist Temple was constructed by the Bhutan government inRajgir in Bihar.[29]
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