The Union Budget 2026-27 has seen alterations in Indian development aid allocations to neighboring countries. Financial support for Bhutan has been raised to Rs 2,288.56 crore, while Afghanistan’s allocation has increased from Rs 100 crore to Rs 150 crore, hinting at more upcoming Indian projects in the nation. Nepal has received Rs 800 crore, up by Rs 100 crore, and Sri Lanka has been allocated Rs 400 crore, an increase from the previous Rs 300 crore.
India has also boosted financial support for Mongolia from Rs 5 crore to Rs 25 crore, an increase of Rs 20 crore. However, allocations for Bangladesh have been reduced from Rs 120 crore to Rs 60 crore, and support for the Maldives has decreased from Rs 600 crore to Rs 550 crore. Similarly, financial aid to Myanmar has been cut from Rs 350 crore to Rs 300 crore.
In this budget, financial support for Eurasian countries has been decreased to Rs 38 crore, while aid for Latin American nations has been raised to Rs 120 crore. The Ministry of External Affairs’ overall budget has been increased from Rs 20,516.62 crore to Rs 22,118.97 crore in the latest Union budget. Finance Minister Nirmala Sitharaman, while presenting the budget in parliament, emphasized three ‘Kartavyas’ (duties) to boost the economy and uplift the underprivileged.
Sitharaman highlighted the government’s ‘sankalp’ (resolve) and the significance of this being the first budget prepared in Kartavya Bhavan, stating that they are guided by three Kartavyas.
