India and Bhutan expanded their energy ties recently during Prime Minister Narendra Modi’s visit to the Himalayan nation, where he extended a 40 billion rupee (£455 million) line of credit and inaugurated a hydroelectric power project.
india’s outreach to Bhutan is seen as an effort to grow its influence in the region and draw the country wedged between China and India closer to New Delhi as Beijing steps up its engagement to resolve a long-running border dispute with Bhutan and establish diplomatic relations. Modi was on a two-day visit to the country and addressed a gathering to mark the birthday celebrations of Bhutan’s King Jigme Khesar Namgyel Wangchuck’s father. ‘The partnership of trust and development between India and Bhutan stands as a model for the entire region,’ he said.