The Indian government said on Friday, February 6, 2026, that it has fully paid its $120 million commitment to Iran’s Chabahar port well before the US sanctions waiver expires in April. The Ministry of External Affairs stated, "India has fulfilled its commitment of contributing USD 120 million for the procurement of port equipment." The US had extended a conditional sanctions waiver until April 26, 2026, allowing this investment. Opposition MP Manish Tewari accused the government of acting too soon and "officially giving up" on the port project, which started in 2003 and is key for access to Afghanistan and Central Asia. Tewari said, "India may have acted prematurely by opting out of the Chabahar Port project that would have been an important catalyst even in the re-engagement with the Taliban regime in Afghanistan, in addition to keeping the doors to Central Asia open." Meanwhile, Iran’s Ambassador to India, Mohammad Fathali, said India has not shared its future plans and believes India wants to continue managing the port. He told reporters, "We have a good relation with India in this issue, and we believe that the Indian government wants to manage this [port]." The government’s payment came just days after it cut the Chabahar port allocation from the 2026-27 budget, suggesting it may struggle to operate the port if US sanctions return. The US has also threatened India with 25% tariffs if it continues trading with Iran. Since 2019-20, India has stopped oil imports from Iran due to sanctions threats. Ambassador Fathali also noted that the upcoming visit of Iranian President Masoud Pezeshkian for the BRICS summit in India could boost bilateral ties. The situation remains tense as India balances its commitment with US sanctions pressure and Iran waits for clarity on India's plans for Chabahar port.