took office in the UK is expected to total more than one billion pounds.
After 2015, the contribution of Britain's technical expertise to development programmes in India will cost an estimated one tenth of the current total aid budget to the country.
As existing grants are phased out, the government expects to save around 200 million pounds over the next three years.
Greening's announcement is likely to be seen as a sign that Britain intends to cut aid to wealthier nations, including those that are preparing to enter the EU, and focus instead on the poorest countries.
She told the Conservative conference last month: "We should recognise that as countries get richer, we need to be responsible about how we transition in our relationship with them from aid to trade."
The Prime Minister has pledged to spend 0.7 per cent of national income on development programmes abroad and the budget will be worth 12.6 billion pounds by 2014.
This commitment will not be affected by today's announcement and officials said money saved from aid to India was likely to be spent on development schemes in poorer parts of the world.