Paper: GS – II, Subject: International Relations, Topic: India and its Neighbourhood, Issue: India-Bhutan Relations.
Context:
The India-Bhutan relationship is a unique example of a successful and enduring partnership between two countries with vast differences in size and power.
Key Highlights:
- The relationship has evolved significantly over time, adapting to changing geopolitical realities and the internal dynamics of both nations.

Transition and Adaptation:
- While the protectorate model collapsed in Nepal and Sikkim, Bhutan managed the transition with remarkable suppleness.
- Bhutan steadily expanded its strategic autonomy without engaging in persistent confrontation with India or being absorbed by it.
- The maturity of leadership in both countries and their recognition of shared strategic stakes ensured broad political stability.
- India helped Bhutan build its administrative institutions, train its armed forces, and develop its economy.
- Hydropower cooperation, launched in the 1960s, became the central pillar of Bhutan’s growth and a symbol of mutually beneficial economic partnership.
- India learned to resist the temptation to deal with Bhutan with a heavy hand.
Navigating the Regional Landscape:
- Bhutan, like all of India’s neighbors, is navigating a strategic landscape transformed by China’s ascent.
- Sharing a long and disputed border with China and occupying a sensitive location in the eastern Himalayas, Bhutan faces unique challenges.
- Bhutan has no formal diplomatic ties with Beijing, but the two sides hold regular consultations to resolve their boundary dispute.
- The Doklam plateau, the scene of the 2017 India-China standoff, remains a critical flashpoint.
- Even as Bhutan diversifies, it has deepened ties with India through new hydropower projects, cross-border railway links, digital initiatives, and educational cooperation.
Lessons for Managing Asymmetric Relationships:

India’s experience with Bhutan exemplifies how large and small neighbors can maintain constructive, resilient relationships through respect, cooperation, and strategic patience.
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