Bhutan’s Finance Minister Lekey Dorji plans to boost agriculture, tourism, and foreign direct investment to expand its economy beyond hydropower, aiming for 8.93% growth in 2025. Bhutan’s government is committed to achieving a high-income economy by 2034, with hydropower projects and new constructions being key to its 2025 growth projections. Bhutan’s government aims for a high-income economy by 2034, focusing on hydropower projects and expanding other sectors, in line with the 13th Plan’s vision.
The finance ministry predicts sluggish agriculture growth in 2024 and 2025 due to low productivity, lack of commercial farming, and inadequate technology adoption. The service sector is projected to grow by 4.34 percent in 2025, largely due to the recovery of the tourism industry, with 144,973 Sustainable Development Fee tourists visiting Bhutan last year. The government is reviewing FDI policy, investing Nu 245 billion in infrastructure development, connectivity, digital transformation, and workforce skilling, while also implementing fiscal reforms for improved industry competitiveness.
