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flag India cuts aid to Bangladesh by half amid strained ties and shifting regional alliances.

flag India has cut its aid to Bangladesh by half to ₹60 crore in the 2026-27 budget, reflecting strained relations following the 2024 ouster of Prime Minister Sheikh Hasina and Bangladesh’s closer ties with Pakistan. flag The move coincides with reduced funding for the Chabahar port project and a broader realignment of India’s foreign assistance, with increased support for Bhutan, Afghanistan, Nepal, and Sri Lanka. flag Overall, aid allocations show a strategic shift toward regional partners deemed more aligned with India’s interests.

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