Economy of Bhutan
| Economy of Bhutan | |
|---|---|
| Currency | ngultrum (BTN); Indian rupee (INR) |
| 1 Jan - 31 December | |
Trade organizations | SAFTA |
| Statistics | |
| GDP | $5.036 billion (2012 est.) |
| GDP rank | 168th (nominal) / 158th (PPP) |
GDP growth | 9.7% (2012 est.) |
GDP per capita | $6,800 (2012 est.) |
GDP by sector | agriculture: 22.3%, industry: 37.9%, services: 39.8% (2006) |
| 4.9% (2007 est.) | |
Population below poverty line | 31.7% (2003) |
| no data | |
Labor force | no data (major shortage of skilled labor) |
Labor force by occupation | agriculture: 63%, industry: 6%, services: 31% (2004 est.) |
| Unemployment | 2.5% (2004) |
Main industries | cement, wood products, processed fruits, alcoholic beverages, calcium carbide, tourism |
| 142nd[1] | |
| External | |
| Exports | $350 million f.o.b. (2006) |
Export goods | electricity (to India), cardamom, gypsum, timber, handicrafts, cement, fruit, precious stones, spices |
Main export partners | India 58.6%, Hong Kong 30.1%, Bangladesh 7.3% (2007) |
| Imports | $320 million c.i.f. (2006) |
Import goods | fuel and lubricants, grain, aircraft, machinery and parts, vehicles, fabrics, rice |
Main import partners | India 74.5%, Japan 7.4%, Sweden 3.2% (2007) |
| Public finances | |
| $713.3 million (2006) | |
| Revenues | $272 million (2005) |
| Expenses | $350 million (India finances 3/5 of Bhutan's expenditures) (2005) |
| Economic aid | $90.02 million (India) (2005) |
The economy of Bhutan, one of the world's smallest and least developed countries, is based on agriculture and forestry, which provide the main livelihood for more than 60% of the population. Agriculture consists largely of subsistence farming and animal husbandry. Rugged mountains dominate the terrain and make the building of roads and other infrastructure difficult and expensive. The economy is closely aligned with India's through strong trade and monetary links and dependence on India's financial assistance. Most production in the industrial sector is of the cottage industry type. Most development projects, such as road construction, rely on Indian migrant labor. Model education, social, and environment programs are underway with support from multilateral development organizations. Each economic program takes into account the government's desire to protect the country's environment and cultural traditions. For example, the government, in its cautious expansion of the tourist sector, encourages visits by upscale, environmentally conscientious tourists. Detailed controls and uncertain policies in areas such as industrial licensing, trade, labor, and finance continue to hamper foreign investment. Hydropower exports to India have boosted Bhutan's overall growth, even though GDP fell in 2008 as a result of a slowdown in India, its predominant export market.
Macro-economic trend
This is a chart of trend of gross domestic product of Bhutan at market prices by the International Monetary Fund:
| Year | GDP (millions of BTN) | GDP (millions of USD) |
|---|---|---|
| 1985 | 2,166 | 175 |
| 1990 | 4,877 | 279 |
| 1995 | 9,531 | 294 |
| 2000 | 20,060 | 460 |
| 2005 | 36,915 | 828 |
| 2008 | 1280 |
Bhutan's hydropower potential and its attraction for tourists are key resources. The Bhutanese Government has made some progress in expanding the nation's productive base and improving social welfare. Model education, social, and environment programs in Bhutan are underway with support from multilateral development organizations. Each economic program takes into account the government's desire to protect the country's environment and cultural traditions. For example, the government, in its cautious expansion of the tourist sector, encourages visits by upscale, environmentally conscientious tourists. Detailed controls and uncertain policies in such areas as industrial licensing, trade, labor, and finance continue to hamper foreign investment.
In 2004, Bhutan became the first country in the world to ban smoking and the selling of tobacco.
Other statistics
Industrial production growth rate: 9.3% (1996 est.)
Electricity:
- production: 2 TWh (2005)
- consumption: 380 GWh (2005)
- exports: 1.5 TWh (2005) (exports electricity to India)
- imports: 20 GWh (2005)
Electricity - production by source:
- fossil fuel: 0.39%
- hydro: 99.61%
- nuclear: 0%
- other: 0% (1998)
Oil:
- production: 0 barrels per day (0 m3/d) (2005)
- consumption: 1,200 barrels per day (190 m3/d) (2005 est.)
- exports: 0 barrels per day (0 m3/d) (2004)
- imports: 1,138 barrels per day (180.9 m3/d) (2004)
Agriculture - products: rice, corn, root crops, citrus, foodgrains, dairy products, eggs
Currency: 1 ngultrum (BTN) = 100 chetrum; Indian rupee (INR)
Historic exchange rates:
2006 2005 2004 2003 2002 2001 1999 Ngultrum per US$1 45.279 44.101 45.317 46.583 48.61 47.186 43.055
E.T.C
References
This article incorporates public domain material from websites or documents of the CIA World Factbook.- This article incorporates public domain material from websites or documents of the United States Department of State (Background Notes).
- ↑ "Doing Business in Bhutan 2012". World Bank. Retrieved 2011-11-21.
External links
- Global Economic Prospects: Growth Prospects for South Asia The World Bank, December 13, 2006
| |||||||||||||||||||||||||||||||||||||||||||||
| ||||||||
