3 min readLucknowJun 10, 2026 09:32 PM IST
First published on: Jun 10, 2026 at 04:00 PM IST
Seven months after Prime Minister Narendra Modi announced during his visit to Bhutan that land would be provided in Varanasi for a Bhutanese monastery and guest house, the project began to take shape.
Officials said the Uttar Pradesh government and the Royal Government of Bhutan Wednesday signed a lease agreement for the project, a move that will strengthen Buddhist tourism and cultural ties between the two countries.
Under the agreement, nearly two acres of land in Varanasi has been leased to Bhutan for 30 years at a nominal annual rent of Re 1 for the construction of a Buddhist monastery and guest house that will cater to monks, pilgrims and tourists visiting Sarnath — one of Buddhism’s holiest sites.
In November last year, PM Modi during a visit to Bhutan had said, “It is the wish of the people of Bhutan that a Bhutanese temple and guest house be built in Varanasi, and for this the Government of India is making the required land available.” He added that “through these temples, we are further strengthening our invaluable historical and cultural ties”.
The agreement was signed in Lucknow in the presence of Tourism and Culture Minister Jaiveer Singh and a Bhutanese delegation led by Tashi Peldon, Deputy Chief of Mission at the Royal Bhutanese Embassy.
Diplomatic push
According to official documents seen by The Indian Express, the project was pursued through diplomatic channels.
On January 15 this year, the Ministry of External Affairs wrote to the Uttar Pradesh government seeking an expedited allotment of approximately two acres of land in Varanasi for the Bhutanese government. The Ministry noted that it had been receiving reminders from the Bhutanese side regarding the proposal.
The site is located near Sarnath, where Buddha delivered his first sermon after attaining enlightenment. State government documents noted that the site attracts lakhs of domestic and foreign visitors annually and houses major Buddhist landmarks, including the Dhamek Stupa and other archaeological remains.
Sources in the UP tourism department said the monastery and guest house are expected to serve as a permanent spiritual and cultural hub for Bhutanese pilgrims visiting India, while encouraging more travellers from Bhutan and other Buddhist-majority countries to include Varanasi and Sarnath in their itineraries.
Officials added that the project is also a symbol of the close diplomatic and civilisational relationship shared by India and Bhutan.
“The idea is to create a dedicated Bhutanese presence at one of the most important Buddhist sites in the world. It will facilitate pilgrim movement and strengthen cultural exchanges between the two countries,” a senior official said.
Buddhist circuit project
The project also aligns with UP’s broader strategy of developing its Buddhist circuit, which includes Kushinagar, Shravasti, Sankisa and Sarnath.
Sources said the state government expects the project to generate local economic activity through increased tourist footfall while further enhancing Varanasi’s profile as a global centre for Buddhist pilgrimage.
The agreement was signed in Lucknow in the presence of Tourism Minister Jaiveer Singh and a Bhutanese delegation led by Tashi Peldon, Deputy Chief of Mission at the Royal Bhutanese Embassy. (Express Photo) 
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