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India and Bhutan Launch First Cross-Border Rail Links After Signing MoU

An inter-governmental pact sets construction in motion with Indian financing structured to deliver electrified links within three to four years.

Overview

  • The inter-governmental MoU was signed in New Delhi by Railway Board Chairman Satish Kumar and Bhutan Foreign Secretary Aum Pema Choden, formally launching the first rail connections between the two countries.
  • The projects cover roughly 89 km in total, comprising the 69–70 km KokrajharGelephu line and the 19–20 km Banarhat–Samtse line, both fully electrified for freight and passenger services.
  • Funding places Indian segments under Indian Railways and Bhutan stretches under India’s Ministry of External Affairs support for Bhutan’s 13th Five-Year Plan, with total costs reported between Rs 4,033 crore and Rs 4,600 crore.
  • Completion targets are four years for KokrajharGelephu and three years for Banarhat–Samtse, and the KokrajharGelephu line has been notified as a Special Railway Project to accelerate clearances starting in FY2025–26.
  • Officials say the links will lower logistics costs and support Bhutan’s Gelephu Mindfulness City and Samtse’s industrial hub, with environmental safeguards such as elephant corridors built into designs.