Staff Correspondent

India is resisting Bangladesh's requests to restore the regular issuance of medical visas, citing staffing shortages amid deteriorating bilateral relations, according to six sources. This reluctance has created a rare opportunity for China to expand its own medical visa services and strengthen people-to-people connections.

The bulk of India's visas for Bangladeshis in 2023 went to those seeking its affordable private healthcare and Bengali-speaking hospital staff, helping to cement ties between the neighbours and limit China's regional influence.

"When there is a vacuum, others will come and fill the space," one of four Bangladesh sources, most of them diplomats, told Reuters. "Some people are going to Thailand and China."

Since August, India has handed out fewer than 1,000 medical visas each working day, down from a figure of 5,000 to 7,000, said the sources, who all sought anonymity, citing their terms of employment.

The numbers have fallen as relations have cooled after Bangladesh's interim government, led by Nobel peace laureate Muhammad Yunus, replaced India's long-term ally Sheikh Hasina.

Fleeing deadly protests that unseated her in August, Hasina sought refuge in New Delhi, and India has not responded since to Bangladesh's request to send her home for trial.

In 2023, India issued more than 2 million visas to Bangladeshis, most of them on medical grounds, government data from both countries shows. But its withdrawal since has opened an enticing gap for China.

Just this month, a group of Bangladeshis visited the southwestern province of Yunnan for treatment, in a bid to "explore the potential of the medical tourism market", said the Chinese ambassador, Yao Wen.

And at least 14 of its companies have invested more than $230 million in Bangladesh since the interim government took office, the most of any country in that period, Wen said last week.

Bangladesh's de facto prime minister, Yunus, is set to visit China this month to meet President Xi Jinping.

China, with which India is only slowly restoring ties after Himalayan border clashes in 2020, is also considering opening a friendship hospital in Dhaka, the government of Bangladesh has said, and eased access for Bangladeshis seeking treatment there.

China is willing to work together with Bangladesh to continuously deepen and explore mutually beneficial cooperation, a spokesperson of its foreign ministry said.

"The cooperation between China and Bangladesh is not targeted at any third party, nor is it influenced by third-party factors," the spokesperson told Reuters.

The foreign ministries of India and Bangladesh did not respond to requests for comment