Are India, Bangladesh Ties Headed for a Thaw?

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India must carefully balance its concerns over minorities in Bangladesh with its diplomatic goals.

On March 25, Bangladesh’s Foreign Secretary, Md. Jashim Uddin, addressed the possibility of a crucial meeting between the Bangladeshi interim government's Chief Adviser, Nobel laureate Muhammad Yunus, and Indian Prime Minister Narendra Modi during the upcoming BIMSTEC summit, set to take place in April in Thailand. "We consider any high-level meeting with a country important. If such a meeting happens, it could break the current stagnation in our bilateral relations," Uddin reportedly stated. He further added, "From our side, we can say we are ready for the meeting. Now we await a positive response from India."

The Foreign Secretary’s remarks come amid rising diplomatic tensions between India and Bangladesh, sparked by allegations of persecution of religious minorities in Bangladesh following the ouster of Prime Minister Sheikh Hasina. Widespread student protests, initially demanding educational reforms, culminated in Hasina’s exit from office on August 5, 2024. These developments have since been met with domestic unrest and heightened regional scrutiny, particularly from India. Concerns over the safety and well-being of religious minorities, particularly the Hindu community, have been at the forefront of India’s response following the formation of the interim government on August 8, 2024.

Allegations of Persecution and India's Concern

Reports have emerged from Bangladesh alleging an increase in attacks on religious minorities following Sheikh Hasina’s departure. Human rights organisations and media outlets have documented incidents of violence, property destruction, and forced displacement, particularly targeting Hindu communities. These allegations have prompted India to take a more cautious approach in its diplomatic engagement with Bangladesh, with Indian political leaders raising the issue of minority protection in various parliamentary discussions.

India’s concern is deeply rooted in history. With a significant Hindu population in Bangladesh, any threat to their safety has long been a sensitive issue for India, which shares a 4,096-kilometre border with its neighbour. Indian officials have hinted at the possibility of diplomatic measures should the situation deteriorate further, including tightening border security and offering asylum to persecuted minorities.

However, the Bangladeshi interim government has dismissed these claims, asserting that the reported attacks are politically motivated rather than religiously driven. They argue that many of the individuals targeted were affiliated with Sheikh Hasina’s Awami League party. Additionally, the interim government accused India of “double standards” when it comes to protecting minority communities, while also criticising Indian media for running what it described as an “industrial scale misinformation campaign” against Dhaka.

Despite the growing tensions, India’s 2025 federal budget allocated Rs 120 crore (approximately $13.84 million) in financial assistance to Bangladesh, maintaining the same level of support as the previous year. This continued allocation underscores India's long-term commitment to its neighbour, reflecting its desire to stabilise the region and foster diplomatic ties, even amidst the current friction.

However, financial assistance alone may not be enough to ease the tensions that have arisen from the allegations of persecution. India must carefully balance its concerns over minority rights in Bangladesh with its broader diplomatic goals, ensuring that its actions do not inadvertently destabilise the region.

Hasina’s Stay in India

Further complicating the situation is Sheikh Hasina’s decision to reside in India following her ouster. Although her exact whereabouts have not been officially confirmed by either the Indian or Bangladeshi governments, some reports suggesting that Hasina is under India's protection have fuelled tensions within Bangladesh. Opposition groups in Bangladesh have pointed to her presence in India as evidence of her government’s alleged alignment with Indian interests during her tenure, which has deepened nationalist sentiments and resentment.

For India, hosting Hasina presents a diplomatic challenge. On one hand, India had enjoyed a stable relationship with the Hasina administration, especially in areas like counterterrorism, trade, and regional cooperation. On the other hand, India must now balance this relationship with the need to engage constructively with Bangladesh’s new interim leadership to ensure continued regional stability.

Hasina’s presence in India may also pose challenges for future bilateral talks, with critics arguing that it could compromise India's perceived neutrality in mediating tensions. Nevertheless, her close ties with Indian leadership might open a channel for discreet diplomacy aimed at de-escalating the current crisis.

The Path Forward

As both nations navigate this period of uncertainty, the possibility of a high-level meeting between Yunus and Modi offers a potential path toward de-escalation. A successful dialogue could help address the immediate concerns of both sides, particularly over the protection of minorities and the future of Bangladesh’s political transition.

Yet, significant challenges remain. The unresolved allegations of persecution, coupled with Sheikh Hasina’s presence in India, continue to complicate bilateral relations. The path forward will require careful diplomacy, with both nations needing to rebuild trust while addressing their respective domestic and international concerns.

In the coming weeks, the decisions made by both India and Bangladesh will be critical in shaping the future of their relationship. Whether through diplomatic channels or bilateral talks, the two neighbours must work together to prevent further deterioration and ensure long-term stability in the region.