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In a reflection of their rapidly growing ties, India and Bangladesh sealed seven agreements to expand cooperation in diverse areas, and restored a cross-border rail link which was in operation till 1965. The restoration of the Chilahati-Haldibari railway link and signing of the pacts, providing for cooperation in areas of hydrocarbons, agriculture and textiles among others, came at a virtual summit between Prime Minister Narendra Modi and his Bangladeshi counterpart Sheikh Hasina. In his initial remarks, PM Modi said Bangladesh is a key pillar of India’s “Neighbourhood First” policy and it has been a key priority for him to strengthen ties between the two countries. In her statement, PM Hasina described India as a “true friend”. The ties between India and Bangladesh have witnessed an upswing in the last few years. Both sides have scaled up trade and economic engagement besides implementing a number of connectivity and infrastructure projects.


  • India’s links with Bangladesh are civilizational, cultural, social and economic.
  • India played the great role in emergence of independent Bangladesh and was the first country to recognise Bangladesh as separate state.
  • The historic land boundary agreement signed in 2015 opened a new era in the relations.
  • Both the countries are the common members of SAARC, BIMSTEC, IORA and the Commonwealth.
  • India has always stood by Bangladesh in its hour of need with aid and economic assistance to help it cope with natural disasters and floods.

Bilateral Relations:

  • India and Bangladesh today enjoy one of the best periods of their relationship, with positive development in the areas of diplomatic, political, economic and security relations.
  • Bilateral trade was a little over $10 billion and Bangladeshi exports increased by 42.91%.
  • The India-Bangladesh border is one of India’s most secured.
  • By signing of the Land Boundary Agreement in 2015, the two neighbours amicably resolved a longoutstanding issue.
  • In addition to the 660 MW of power imported by Bangladesh, Indian export of electricity increased by another 500 MW.
  • Train services on the Dhaka-Kolkata and Kolkata-Khulna are doing well, while a third, on the Agartala-Akhaura route, is under construction.
  • Today, Bangladesh contributes 50% of India’s health tourism revenue.
  • Relations between the two border guarding forces are at their best right now.

Recent Agreements between India and Bangladesh:

  • Virtual summit included more connectivity and “high-impact” infrastructure projects and mechanism to oversee projects under concessional Lines of Credit (LoCs) of nearly $10 billion from India in 2017.
  • The use of the Chattogram and Mongla ports in Bangladesh for movement of goods to and from India, particularly from Northeastern India.
  • Use of Bangladesh’s Feni river for drinking water supply in Tripura.
  • However, no progress was reported on the long pending Teesta water sharing agreement.
  • Exchange of data and information to prepare a framework of interim sharing agreements for six rivers — Manu, Muhuri, Khowai and Gomati rivers of Tripura and Dharla river of Bangladesh and Dudhkumar river of West Bengal.
  • Daudkanti (Bangladesh)-Sonamura (Tripura) inland water trade route to be included under Protocol of the Inland Water Transit and Trade.
  • Consensus on lifting restrictions on entry and exit from land ports in India for Bangladeshi citizens travelling on valid documents.
  • Implementation of the Lines of Credit (LoCs) committed by India to Bangladesh.


  • Teesta waters issue remains a big problem due to continuous protest by the Mamata Banerjee led West Bengal government.
  • National Register of Citizens has left out 1.9 million people in Assam and they are being labelled as illegal immigrants from Bangladesh.
  • But Bangladesh is firm in its stance that no migrants travelled to Assam illegally during the 1971 war of independence and NRC may risk the relations.
  • The Rohingya issue and India’s remarks in 2017 on the issue have been upsetting for Bangladesh which has been facing the challenge of providing shelter to more than a million Rohingya refugees fleeing persecution
  • Bangladesh is overwhelmingly dependent on China for military hardware. China’s economic footprint is growing.
  • Since 2010, India approved three Lines of Credit to Bangladesh of $7.362 billion to finance development projects. But, because of bureaucratic red tapism, just $442 million have been disbursed until December 2018.
  • Though Bangladesh is slow in implementation, India’s requirement of the disbursement process to be approved by Exim Bank has not helped either.
  • Since the ban by India on cattle export, cattle trade has fallen from 23 lakh in 2013 to 75,000 till the end of May this year.

Way Forward:

  • Deepening relationship  with  Bangladesh  has  become  a  necessity  in  the  face  of  shifting  geo-economics.
  • Bangladesh, with its  growing  economic  success,  and  with  its  8  percent  growth  rate  provides  a  vital partnership  in  the  region.
  • India-Bangladesh border is one of India’s most secured.
  • Bangladesh-India relations have reached a stage of maturity. Bilateral ties can be expected to grow stronger in the future. It is for India to take the lead to remove these irritants.
  • India’s attempts to equate Bangladesh to fundamentally theocratic Muslim nations such as Pakistan and Afghanistan is something that is unacceptable to Bangladeshis, where religious and racial harmony have always been a priority, unlike in many neighboring countries so we not need to equate it with Pakistan.
  • Bangladesh-India relations have reached a stage of maturity. Bilateral ties can be expected to grow stronger in the future. It is for India to take the lead to remove these irritants.
  • There is scope for India-Bangladesh ties to move to the next level, based on cooperation, coordination and consolidation.
  • India’s continued partnership with Bangladesh benefits both countries.
  • New Delhi must keep up the partnership that allows for economic growth and improved developmental parameters for both countries.
  • It is important to address specific issues like Teesta and to respond to Dhaka’s call for help on the Rohingya issue.
  • The two countries share 54 transboundary rivers, and water management is the key to prosperity.
  • Effective border management for ensuring a tranquil, stable and crime free border.