The visiting Indian external affairs minister, Sushma Swaraj, announced the grant in her lecture on India-Bangladesh relations on Thursday, promising to continue and build upon the momentum of the existing relations.
She also referred the $800 million line of credit that the Manmohan Singh government had extended to Bangladesh for different infrastructure projects.
She said she was “extremely glad” that of the 15 projects under the credit scheme, seven had been completed so far, four were under execution, and another four were in the process of being tendered.
“I am happy to announce a grant of 60 crore Indian Rupees for implementation of various small development projects in Bangladesh in the current financial year”.
India and Bangladesh had signed an MoU on small development projects last year.
Under the MoU, India will, for the next five years, finance projects in Bangladesh to facilitate socio-economic development, particularly the creation of infrastructure in education, health and community development.
The cost of each project would be a maximum of Tk 250 million, and proposals would have to be submitted to its High Commission in Dhaka through the Finance Ministry’s Economic Relations Division (ERD) by local government bodies and institutions.
Within a year of signing, 200 tube-wells have been installed in southern Barguna district and 400 northern Noagoan district under the projects.