Contemporary Relation INDIA – BANGLADESH

Security and Border Management

  • India and Bangladesh share 4096.7 km. of border, which is the longest land boundary that India shares with any of its neighbors.
  • India-Bangladesh Land Boundary Agreement (LBA) came into force in 2015 under which enclaves of India and Bangladesh in each other’s countries were exchanged and strip maps were signed.
  • Maritime dispute was resolved by United Nations (UN) tribunal award.
  • A number of agreements related to security cooperation have been signed between both the countries.
  • Coordinated Border Management Plan (CBMP) signed in 2011 aims to synergize efforts of both Border Guarding Forces for checking cross border illegal activities and crimes as well as for maintenance of peace and tranquility along India-Bangladesh border.
  • Bangladesh side reiterated request for 1.3 km Innocent Passage through river route along River Padma near Rajshahi District.
  • Both sides are working to expeditiously conclude the MoU in disaster management cooperation.
  • Both the sides recognize that terrorism remains a threat to global peace and security and have reiterated their strong commitment to eliminating terrorism in all its forms and manifestations.
  • Security in Northeast States – Bangladesh cooperated with India in sorting out security issues in the Northeast. Bangladesh handed over leaders and shut down their training camps.
  • Ranjan Daimary: founder-chief of National Democratic Front of Bodoland (NDFB)
  • Anup Chetia of United Liberation Front of Assam ULFA.

Trade Partnership

  • Bangladesh is India’s largest trading partner in South Asia.
  • The bilateral trade between the two-countries has jumped to USD 18.2 billion in 2021-22 as compared to USD 10.8 billion in 2020-21.
  • Between 2009-10 and 2015-16, the trade deficit grew in India’s favor at a staggering 164.4%. Foreign Direct Investment (FDI) from India to Bangladesh is $3.11 billion.
  • India has extended 3 Lines of Credits to Bangladesh in the last 7 years amounting to US$ 8 billion. This makes Bangladesh the largest recipient of LOC funds from India till date.
  • Duty Free and Quota Free access is being given to Bangladeshi exports to India under SAFTA since 2011.
  • Both countries are working on a bilateral Comprehensive Economic Partnership Agreement (CEPA).


  • Both jointly inaugurated, newly restored railway link between Haldibari (India) & Chilahati (Bangladesh). This rail link will further strengthen trade and people to people ties between the two sides.
  • To facilitate better connectivity, simplify movement of passengers and goods, both countries agreed to an early operationalization of BBIN (Bangladesh, Bhutan, India and Nepal) Motor Vehicles Agreement through signing of Enabling MoU for Bangladesh, India and Nepal to commence movement of goods and passengers, with provision for Bhutan to join later.
  • Protocol on Inland Water Transit and Trade (PIWTT) was signed (Sonamura-Daudkandi on river Gomti and extension of Dhulia to Godagiri up to Aricha on river Padma), five new ports of call and two extended ports of call.

Cooperation in Water, Power & Energy

  • Bangladesh wants early signing of interim agreement for sharing of the Teesta waters, as agreed upon by both the governments in 2011.
  • Need for early conclusion of Framework of Interim Agreement on sharing of waters of six joint rivers, namely, Manu, Muhuri, Khowai, Gumti, Dharla and Dudhkumar.
  • Expedite implementation of projects including India-Bangladesh Friendship Pipeline, Maitree Super Thermal Power Project as well as other projects.

Regional and Global partnership

  • India thanked Bangladesh for supporting India in its election to UNSC.
  • Both countries agreed to continue working together towards achieving early reforms of the UN Security Council, combating climate change, attainment of the Sustainable Development Goals (SDGs) and protection of the rights of migrants.
  • Both Prime Ministers reaffirmed the need for developed countries to fulfil their commitments under the Global Partnership for ensuring the means of implementation of the SDGs as enshrined in the Agenda 2030.
  • Both the countries while focusing on the regional and global economic scenarios following the outbreak of COVID 19, regional organisations, such as SAARC and BIMSTEC have an important role to play.
  • Bangladesh appreciated the work of the New Development Bank and thanked India for inviting Bangladesh to join the Institution. 

Challenges in India Bangladesh Relations

  • Although Economic relations expanding every day, in India’s Consolidated FDI policy 2017, Bangladesh is put in the same category as Pakistan. Under which a citizen of Bangladesh/Pakistan or an entity incorporated in Bangladesh/Pakistan can invest only under the Government route.
  • Despite India-Bangladesh Coordinated Border Management Plan, 294 Bangladeshi Nationals have been killed along the border since 2010.
  • Teesta water agreement which was agreed to in 2011 is yet to be signed because of various contentious issues that remain.
  • The Citizenship (Amendment) Act (CAA) and National Register of Citizens (NRC) have created a negative impression in Bangladesh of India’s intent.
  • Bangladesh is China’s second-largest arms export destination.
  • Chinese firms have been outbidding their Indian counterparts in infrastructure projects.
  • In a thaw in relations, Pakistan’s high commissioner to Bangladesh recently met the Bangladesh PM as both sides pledged to improve bilateral relations.
  • Thus, both the nations need to swiftly act on the outstanding issues to move the relations to newer heights.
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