For India, few friendships have been as strategically valuable - and as politically costly - as its long embrace of Bangladesh's former leader Sheikh Hasina. During 15 years in power she delivered what Delhi prizes most in its periphery: stability, connectivity and a neighbour willing to align its interests with India's rather than China's.

These days she is across the border in India but has been sentenced to death by a special tribunal in Bangladesh for crimes against humanity over her crackdown on student-led protests, which led to her ousting. The 2024 demonstrations forced her to flee and paved the way for Nobel laureate Muhammad Yunus to lead an interim government. Elections are due early next year.

The fallout from all this has created a diplomatic bind: Dhaka wants Hasina extradited, but Delhi has shown no inclination to comply - making her death sentence effectively unenforceable. What Delhi intended as humanitarian asylum is turning into a long and uncomfortable test of how far it is willing to go for an old ally, and how much diplomatic capital it is prepared to burn in the process.

Michael Kugelman, a South Asia expert, says India faces four unappealing options: hand Hasina over (unwanted); maintain the status quo (risky for Delhi); press Hasina to stay silent (unlikely to be accepted); or find a third country for her (also fraught).

Extraditing Hasina is unthinkable - India’s ruling party and opposition alike view her as a close friend. The India–Bangladesh relationship is also characterized by deep economic interdependence, with significant trade ties and reliance on India for raw materials and energy.

As perspectives shift, recent surveys show rising sentiments supporting closer ties with Beijing over New Delhi within Bangladesh, reflecting dissatisfaction after last year’s uprisings. The interim government under Yunus is exploring new diplomatic avenues, possibly moving away from India's influence.

For India, managing this evolving relationship will be critical as it balances support for an ally with concerns over domestic politics in Bangladesh and regional security implications. While there's hope for reconciliation, the immediate future remains uncertain as both nations navigate this diplomatic quagmire.