Explanation – The Punatsangchhu-II hydropower project is a collaboration between the Government of India and the Royal Government of Bhutan under an inter-government agreement. It is fully funded by India, with 30% as a grant and 70% as a loan. The project is being developed by the Punatsangchhu-II Hydroelectric Project Authority (PHPA-II) in Bhutan’s Wangdue Phodrang district. It is being developed on the Punatsangchhu River in Bhutan.

Source: The Hindu