Transport to Facilitate the Economy

Winter Edition , December 8th, 2018 Introduction The purpose of transport is the movement of people and goods. It is critical for Bhutan’s economic development, like tourism, which should include scenic drives and cultural tours and treks. The effort to diversify the economy by encouraging Cottage and Small Industries (CSIs) also faces a major problem...

Transforming the Economy Through Tourism

Winter Edition , December 8th, 2018 A High Value Low Impact Dilemma For international tourists, Bhutan has long been a much sought after “global hotspot”, a rare destination. A veteran American tour operator who has been a promoter of high-end tours to Bhutan since the 1980s, now disagrees: “Bhutan used to be a high value,...

Towards Food Sovereignty and Organic Farming

Winter Edition , December 8th, 2018 State of Play: Farming and Food Security in Bhutan Bhutan’s ambition to become wholly organic has drawn much attention among experts and policy makers worldwide. Conventional farming practices are increasingly facing scrutiny, especially in the light of climate change, shrinking wild habitats and agricultural biodiversity, reduced soil fertility, and...

Priority Sector Lending — Redirecting the Course of the Economy

Winter Edition , December 7th, 2018 “Our nation has seen great socio-economic growth but it is more important that we have growth with equity. We must raise, with all our effort, the less fortunate so that they may, at the earliest, begin to partake in the opportunities brought by modernisation and progress.” His Majesty The...

How Much Should Bhutan Worry About its Public Debt?

Winter Edition , December 7th, 2018 Financing for Development Investment is key for high and sustainable growth. The Commission on Growth and Development1 concluded that high levels of investment (25 percent of GDP and above) are needed for strong and sustained growth.2 Investment requires financing from domestic and foreign savings. In Bhutan, investment as a...

Fiscal Support for Cottage and Small Industries

Winter Edition , December 7th, 2018 Fiscal Incentives Bhutan, like all developing countries, offers fiscal incentive packages that reduce direct as well as indirect taxes in various forms of tax incentives and exemptions, like general exemptions and sector-specific exemptions, with the intention of attracting investors and fostering economic growth. Fiscal incentive means slashing taxes legally...

Harnessing the Power of IT for Development and Nation-building

Winter Edition , December 7th, 2018 The so-called Industrial Revolution 4.0 has arrived and it is being driven by advances in technology, such as artificial intelligence, Internet of Things, blockchain, virtual reality, augmented reality, 3D printing, robots and drones. The trend shows that we will be able to create systems and robots which are as...

The Entrepreneurship Culture

Winter Edition , December 7th, 2018 Defining Entrepreneurship Entrepreneurship is the act of being an entrepreneur, which is a French word meaning “to undertake”. Entrepreneurs find resources and apply innovation, finance and business acumen to transform innovation into economic goods. This may result in new organisations, or it may revitalise mature organisations to seize a...

Doing Business Bhutan

Winter Edition , December 7th, 2018 Past — What and Why? Whilst 4,500km apart, from Tashichho Dzong in Thimphu to Parliament House in Singapore, the Land of Thunder Dragon and the Lion City are both small countries sandwiched between the geopolitical realities of large neighbours (one landlocked, one sea-locked; one known for prosperity, one for...

How can Bhutan Become a Global Player in the Fourth Industrial Revolution?

Winter Edition , December 7th, 2018 Introduction The current rise of populism in many countries is a clear sign that many people are not happy with their lives. They want a better and happier life but successive governments have failed to meet their expectations. Will populist governments succeed to meet their expectations? Most likely not,...