PM Modi’s Bhutan Visit Strengthens Energy, Trade and Cultural Ties

Prime Minister Narendra Modi concluded a two-day state visit to Bhutan on 12 November 2025, reinforcing New Delhi’s long-standing partnership with Thimphu through fresh cooperation in energy, connectivity, trade, technology and cultural initiatives. The visit highlighted shared priorities under India’s Act East Policy and Bhutan’s development roadmap, while adding new momentum to bilateral projects.

Strategic meetings and spiritual outreach

PM Modi met King Jigme Khesar Namgyel Wangchuck and the Fourth Druk Gyalpo, holding extensive discussions on bilateral cooperation. Bhutanese Prime Minister Tshering Tobgay described Modi as a “spiritual master” as the Indian leader inaugurated the sacred Kalachakra Empowerment during the Global Peace Prayer Festival. Modi also attended celebrations marking the Fourth Druk Gyalpo’s 70th birth anniversary, where both sides reiterated their cultural bonds.

Support for Bhutan’s growth plans

India reaffirmed its commitment to Bhutan’s 13th Five-Year Plan and Economic Stimulus Programme. New Delhi backed the Gelephu Mindfulness City initiative and announced an Immigration Check Post at Hatisar to facilitate movement of investors and visitors. Bhutan appreciated India’s support for Gyalsung academies and conveyed condolences for victims of the recent Delhi explosion, strengthening diplomatic goodwill.

Major energy and connectivity projects

A significant milestone of the visit was the inauguration of the 1,020 MW Punatsangchhu-II Hydroelectric Project, now exporting power to India. Both sides agreed to expedite work on the 1,200 MW Punatsangchhu-I project, set to become the largest joint hydroelectric venture once completed. India announced a concessional Line of Credit worth INR 40 billion for new energy projects. Discussions also reviewed progress on the Jogigopha terminal, multimodal logistics links and two cross-border railway projects, overseen by a dedicated steering committee.

Exam Oriented Facts

• Visit dates: 11–12 November 2025; PM Modi invited by Bhutan’s King.
• Key project: Inauguration of 1,020 MW Punatsangchhu-II Hydropower Plant.
• Policy support: India reaffirmed backing for Bhutan’s 13th Five-Year Plan.
• Connectivity: New rail MoUs, inland terminal development and Hatisar ICP announcement.

Fertilisers, technology and cultural cooperation

Bhutan acknowledged India’s assurance of uninterrupted fertiliser supplies and welcomed the arrival of the first consignment under the new arrangement. The two sides reviewed collaboration in STEM education, healthcare capacity-building, fintech and space technology, including progress under their Joint Plan of Action on Space Cooperation. Phase II of UPI will soon allow Bhutanese travellers to make seamless digital payments in India. Cultural ties were further strengthened with the consecration of the Royal Bhutan Temple in Rajgir and India’s decision to allocate land in Varanasi for a Bhutanese temple and guest house. Three MoUs—renewable energy, health and medicine, and institutional collaboration between the PEMA Secretariat and NIMHANS—rounded off a visit that deepened a multifaceted partnership.