Come the New Year, India will stop receiving financial aid from the United Kingdom, in keeping with a decision taken by the British government in 2012.

The transition phase lasted three years till the end of 2015, during which the existing projects that had already been provided with financial grants were completed. However, while financial aid will come to an end, the UK will continue to offer technical assistance to India from 2016.

The decision to stop aid had been taken following divided opinions about granting aid to India given its growing economic status, space and defence programs. In 2012, the then finance minister Pranab Mukherjee had also said that British aid was "a peanut" and India could do without the funds, according to a report in a leading daily.

For tracing monetary relations between countries, read: Statistics on International Development

The financial aid provided by the British government in the time period of 2013-2015 could be valued at Rs 855.01 crores in 2013-14, Rs 601.77 crores in 2014-15 and 190.06 crores in 2015-16, the report said. Currently, DFID provides assistance to 26 government sector projects in health, education, governance and urban reforms sectors at the Centre and in states like Madhya Pradesh, Odisha, West Bengal and Bihar, the report added.

However, statistics released by the Department for International Development (DfID) said that India received 279 million pounds in 2014, a 10-million pound increase over the previous year, despite the promise of a cut.

Meanwhile, the technical assistance projects are expected in the areas of agricultural reforms, urban infrastructure and energy access, the report said.