“We are watching history being made,” the Indian foreign secretary, Mr. Shiv Shankar Menon, told Kuensel. “The treaty reflects a new maturity in our relations. We have the key to build our future. Both our countries have developed, changed, and this reflects today’s state and our new capabilities.”

The updated treaty, discussed and drafted over the past few years by His Majesty King Jigme Singye Wangchuck and Indian leaders, has struck out a clause that required Bhutan to be “guided” by India in its foreign relations, and gives Bhutan the right to purchase arms and military equipment without consulting India. At the same time it emphasises that the two countries will not harm each other’s interests.

“It removes provisions that have become obsolete with time,” according to the Indian government statement. “It includes fresh provisions for consolidating and expanding economic cooperation for mutual and long-term benefit and cooperation in the fields of culture, education, health, sports, and science and technology and commits both countries not to allow the use of their territories for activities harmful to the national security and interest of the other.”

Political analysts also see the new approach in India’s foreign policy as expanding the political parameters in relations. Bhutan sees it as a natural step in its expanding relations with India that has matured over the years. It becomes more relevant in a political scenario that is undergoing major transformation.

“From a guiding role upon Bhutan’s first step to modernisation we now stand as close friends and equal partners in the global arena,” His Majesty said. “Today, Bhutan is undergoing unprecedented and profound changes. Bhutanese, in a time of peace and prosperity, have the unique opportunity to build a political system that is suited to our own needs and one which ensures a truly functioning democracy.”

His Majesty the fifth Druk Gyalpo, who met President APJ Abdul Kalam, Prime Minister Dr. Manmohan Singh, the UPA leader Mrs. Sonia Gandhi, and also talked to Indian leaders from every section of society, said that it had always been a conviction of his father, the fourth Druk Gyalpo, that a successful democracy was fundamental to achieving the goals of Gross National Happiness. “If Bhutan can build a strong democratic system then our future is forever secure,” he said.

Apart from spreading its diplomatic horizons in a globalised world, Bhutan’s experience has shown the need to be conscious of its domestic responsibilities like its internal security at a time when growing insurgency and increased militancy had disrupted its own borders. A small and compact armed force is seen as being vital for Bhutan’s internal security as the kingdom tries to preserve the peace that is a strong element of its image.

“Not that we expect Bhutan to ever go to war with its neighbours,” said a political analyst in Delhi. “But Bhutan must be prepared as the region is becoming more turbulent. The treaty gives Bhutan the flexibility to strengthen its own armed forces as it sees fit.”

The treaty will be ratified by His Majesty the King and President Abdul Kalam within a month after the signing. An advocate of the Supreme Court, Mr. Venugopal, described the India-Bhutan Treaty as a great step forward, particularly with Bhutan’s Constitution to be adopted. “The friendship of our two countries is now going to start on a new footing with both countries being democratic constitutions,” he said. “It is a very good beginning with the establishment of a new Constitution.”

His Majesty the King added that the treaty also symbolised India’s commitment to liberty, global equality and justice, and confirmed its role as a leader in international affairs. Indian analysts also interpreted the Treaty as a signal to its neighbours as India becomes one of the major political and economic powers in the world.

It was in an atmosphere of tremendous goodwill that His Majesty was received in India on his first visit as the Druk Gyalpo. Received warmly as a head of state, Indian leaders called on His Majesty with a sense of familiarity that conveyed a continuity in the rapport that has characterised the relations between Bhutan and India.