Clarifying India’s grant to Bangladesh in the new budget, the Indian High Commission in Dhaka on Wednesday said the Indian government attaches the highest importance to its relations with Bangladesh.
In response to a question about the provision for grant to Bangladesh contained in the Expenditure Budget Volume I for FY 2014-2015, the spokesperson of the Indian High Commission stated that the budgetary allocations made for Bangladesh in recent years were INR 6 crore in 2010-11, INR 3 crore in 2011-12, INR 30 crore in 2012-13, INR 580 crore in 2013-14 and INR 350 crore in 2014-15.
The provision made last year, FY 2013-14, was to cater for the disbursement of US$ 100 million grants as part of Indian government’s decision to convert US$ 200 million out of the US$ 1 billion Credit Line into grant.
Out of the US$ 200 million grant announced in 2012, US$ 50 million was disbursed in FY 2012-13 and US$ 100 million in FY 2013-14, totalling US$ 150 million.
The budgetary provision therefore made for Bangladesh in the last FY (2013-14) represents the fulfillment of a specific commitment made to Bangladesh.
The government of India attaches the highest importance to its relations with Bangladesh, as evidenced in the first stand-alone visit abroad by the External Affairs Minister Sushma Swaraj to Bangladesh in June this year.
Earlier, the Times of India reported that India has slashed significantly its aid in the form of grants and loans for Bangladesh in the new fiscal year which is almost 40 percent lower than the previous fiscal year.
Source: UNB
