Budget 2026, Feb. 2 -- India has halved the development assistance for Bangladesh to Rs.60 crore in the Union Budget 2026 amid frosty bilateral ties between the two neighbouring nations.

Bhutan remains the largest recipient of India's aid with the largest share - Rs.2,288 crore - as development aid, followed by Rs.800 crore to Nepal and Rs.550 crore each to the Maldives and Mauritius, in the Budget 2026-27 presented by the Finance Minister Nirmala Sitharaman in the Parliament on Sunday.

In the Budget, the Ministry of External Affairs (MEA) has been allocated a total of Rs.22,118 crore, against the current fiscal year's budget estimate of Rs.20,516 crore and the revised estimate of Rs.21,742 crore.

The reduction for Bangladesh comes ami...