POLITICAL SYSTEM

The political system of Bhutan has evolved over time together with its tradition and culture.

The first move towards a systematic scheme of governance came in 1616 with the arrival of Zhabdrung Nawang Namgyal from Tibet who introduced the dual system of governance with the Je Khenpo as the spiritual head of the nation and the Desis, as the head of the smaller sectors.

But a major change came about in 1907 when the people unanimously enthroned Ugyen Wangchuck as the fist King of Bhutan. He was the man who had proven his mettle by bringing together the different Dzongpons and Penlops (governors), ending centuries of strife and bringing much needed stability and peace to the country. Since then, the country has been ruled by successive monarchs of the Wangchuck dynasty.

In a move to ensure more democratic governance, the Third King Jigme Dorji Wangchuck instituted the National Assembly (Tshogdu) in 1953. Every district has an elected member representing it in the National assembly. It became a platform where the people’s representatives enacted laws and discussed issues of national importance.

The establishment of the Royal Advisory Council (LodoeTshogde) in 1963 as a link between the king, council of ministers and the people was another move towards democratization. The institution of Dzongkhag YargayTshogdu (District Development Assembly) in 1981 and Gewog YargayTshogchung (County Development Assembly) in 1991 by the Fourth King Jigme Singye Wangchuck was another move towards decentralization.

But the devolution of the power of the King in 1998 to the cabinet ministers was the highest form of decentralization. The King, thereafter, began to serve as the Head of the State while the government was managed by the Prime Minister.

In November 2001, on the advice of the Fourth king, a committee chaired by the Chief Justice of Bhutan, was formed to draft the constitution of Bhutan. The constitution was launched in 2008 and with it a parliamentary democracy introduced. The progression from Hereditary Monarchy to that of a Parliamentary Democracy has been a carefully managed process that culminated in 2008 when Bhutan held its first election.

The organs of the Bhutanese government comprise of the Legislature, Judiciary and the Executive. The ruling political party, the opposition and the National Council now forms the legislative body.

ECONOMY

Rapid modernization has brought about vast improvements in the living standard of the Bhutanese. All villages now have access to basic amenities such as education, running water, basic healthcare and are connected by roads and electricity. Even the most remote villages have connection to telecommunication network including mobile phone services.

The Bhutanese economy is predominantly agricultural. Farmers supplement their income through the sale of dairy products such as cheese, butter and milk. Farmers’ markets are common throughout the country, supplying people with fresh, organic, local produce.

The main staple crops are rice, maize, wheat and buckwheat, while cash crops are predominantly potatoes, apples, oranges, cardamom, ginger, and chilies and seasonal fruits.

 Cottage Industries

Bhutan’s rich biodiversity provides the country with ample natural resources and this has contributed to the development of a thriving cane and bamboo handicraft industry. Craftsmen weave a number of beautiful and intricate items out of bamboo and cane including hats, backpacks, floor mats and traditional bowls. These items are then sold to tourists or Bhutanese, supplying a secondary income source. With the establishment of the CSI markets, which provides a platform for small scale local businesses to promote and sell their products, the small scare industries have seen improvements and growth, some even importing items to countries like Australia, Thailand, USA and others.

 Tourism

Bhutan first opened its doors to the Tourism Industry in 1974. Since then it has grown to become one of the most important revenue earning sectors for the country and its people. 

The government is committed to building a sustainable tourism industry that is not only financially viable but also limits the negative cultural and environmental impacts commonly associated with mass tourism. By establishing a policy of “High Value, Low Impact’ tourism, the kingdom of Bhutan seeks to ensure that it attracts only the most discerning visitors with a deep respect for cultural values, traditions and the natural environment, thereby making sure that each visitor has the best experience in the land of the Thunder Dragon.

Farm stays and village home stays have recently been introduced so that even remote villages can earn revenue through the tourism industry while still being able to protect and promote the unique traditions, culture and natural environment. 

 Hydroelectricity

Due to its fast flowing, glacier-fed rivers, Bhutan have enormous potential to produce hydroelectricity. With the construction of several major dams, the power sector has undeniably been the biggest contributor to the country’s economy. The Chukha Hydro Power Corporation, the Tala Hydro Power Corporation, the Baso Chu Hydro Power Corporation and the Kurichu Hydro Power Corporation, under the umbrella of Druk Green Power Corporation, are some of the existing mega projects in the country. The 1500 MW of power they generate, most of which is exported to our neighboring country India, barely scratches the surface of Bhutan’s untapped hydroelectric potential. With its abundant water resources, Bhutan still has the capacity to generate another 30,000 MW of electricity.

 Manufacturing

The Manufacturing sector is another major contributor to the economy. With the industrial sector established in Pasakha, small scale industries such as cement plants, calcium and carbide, steel and Ferro silicon, Coca Cola along with a  few wood based industries have started developing at a fast pace