14 Feb 2026, Sat

How much loan did India give to Bangladesh, for what purposes is it being used? know everything

India helped the neighboring country Bangladesh in every way, right from its birth to making it stand on its own feet. During the rule of Mohammad Yunus, relations between New Delhi and Dhaka remained very strained and now the fate of Bangladesh is in the hands of Tariq Rahman. It is expected that relations between the two countries will improve during his rule. India has given a loan of Rs 70 thousand crore to Bangladesh. Apart from this, India has invested money in about 93 projects in Bangladesh.

India has not given direct loan to Bangladesh, but has provided a huge amount in the form of line of credit. Dhaka can use this credit to build infra projects, railways, roads and ports in the country. India has given a credit line of about 8 billion dollars i.e. about 70 thousand crore rupees. In this, the first credit line of 1 billion dollars was given in the year 2010. Another $2 billion was given in 2016, while a credit line of $4.5 billion was given in 2017. Not only this, India had also given a credit line of 500 million dollars to purchase material for the Bangladesh Army.

Indian money in 93 projects of Bangladesh
Bangladesh has also used a lot of money from the credit line received from India. Bangladesh has used about Rs 15.50 thousand crore in 2025. However, after the departure of Sheikh Hasina government in 2024, India has reduced this credit line. India has invested money in about 93 projects in Bangladesh. Out of these, work on 77 projects has been completed, while 16 are still ongoing.

Let us tell you that these projects include hostels, schools, skill training, cultural centers etc. India had allocated Rs 120 crore for Bangladesh last year. Although these projects were delayed after the departure of Sheikh Hasina government, but in 2025 both the countries have once again agreed to take these projects forward.

For what things is Bangladesh dependent on India?
Bangladesh is still dependent on India for its electricity needs. It buys about 17 percent electricity from India. Adani Power had supplied 1,500 MW electricity in 2025. Dependence has increased due to shortage of gas and coal in Bangladesh. Apart from this, Bangladesh is most dependent on India for cotton, petroleum products, steel, plastic, vehicle parts, machinery and chemicals. Dhaka has to look towards New Delhi for potatoes, garlic, onions, spices, rice, sugar, wheat and fruits and vegetables.

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