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The Independent UK

Namita Singh

India slashes aid to Bangladesh by half amid diplomatic tensions

Bangladesh India Muhammad Yunus Dhaka New Delhi Nirmala Sitharaman Shehbaz Sharif Bhutan MEA

India slashed its financial assistance to Bangladesh by half in its latest federal budget as diplomatic relations between the two South Asian neighbours remained tense.

India allocated Rs600m (£4.76m) to Bangladesh in its 2026–27 budget as compared with Rs1.2bn (£9.55m) in the previous fiscal year.

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