Bhutan

Bhutan

Introduction

Background

In 1865, Britain and Bhutan signed the Treaty of Sinchulu, under which Bhutan would receive an annual subsidy in exchange for ceding some border land to British India. Under British influence, a monarchy was set up in 1907

three years later, a treaty was signed whereby the British agreed not to interfere in Bhutanese internal affairs and Bhutan allowed Britain to direct its foreign affairs. This role was assumed by independent India after 1947. Two years later, a formal Indo-Bhutanese accord returned the areas of Bhutan annexed by the British, formalized the annual subsidies the country received, and defined India’s responsibilities in defense and foreign relations. A refugee issue of over 100,000 Bhutanese in Nepal remains unresolved

90% of the refugees are housed in seven United Nations Office of the High Commissioner for Refugees (UNHCR) camps. In March 2005, King Jigme Singye WANGCHUCK unveiled the government’s draft constitution – which would introduce major democratic reforms – and pledged to hold a national referendum for its approval. In December 2006, the King abdicated the throne to his son, Jigme Khesar Namgyel WANGCHUCK, in order to give him experience as head of state before the democratic transition. In early 2007, India and Bhutan renegotiated their treaty to allow Bhutan greater autonomy in conducting its foreign policy, although Thimphu continues to coordinate policy decisions in this area with New Delhi. In July 2007, seven ministers of Bhutan’s 10-member cabinet resigned to join the political process, and the cabinet acted as a caretaker regime until democratic elections for seats to the country’s first parliament were completed in March 2008. The king ratified the country’s first constitution in July 2008.

Geography

Location

Southern Asia, between China and India

Geographic coordinates

27 30 N, 90 30 E

Map references

Asia

Area

total: 38,394 sq km
country comparison to the world: 137 land:38,394 sq km
water:0 sq km

Area – comparative

about one-half the size of Indiana

Land boundaries

total: 1,075 km
border countries:China 470 km, India 605 km

Coastline

0 km (landlocked)

Maritime claims

none (landlocked)

Climate

varies

tropical in southern plains

cool winters and hot summers in central valleys

severe winters and cool summers in Himalayas

Terrain

mostly mountainous with some fertile valleys and savanna

Elevation extremes

lowest point: Drangeme Chhu 97 m
highest point:Gangkar Puensum 7,570 m

Natural resources

timber, hydropower, gypsum, calcium carbonate

Land use

arable land: 2.3%
permanent crops:0.43%
other:97.27% (2005)

Irrigated land

400 sq km (2008)

Total renewable water resources

95 cu km (1987)

Freshwater withdrawal (domestic/industrial/agricultural)

total: 0.43cu km/yr (5%/1%/94%)
per capita:199cu m/yr (2000)

Natural hazards

violent storms from the Himalayas are the source of the country’s name, which translates as Land of the Thunder Dragon

frequent landslides during the rainy season

Environment – current issues

soil erosion

limited access to potable water

Environment – international agreements

party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Ozone Layer Protection
signed, but not ratified:Law of the Sea

Geography – note

landlocked

strategic location between China and India

controls several key Himalayan mountain passes

People and Society

Nationality

noun: Bhutanese (singular and plural)
adjective:Bhutanese

Ethnic groups

Bhote 50%, ethnic Nepalese 35% (includes Lhotsampas – one of several Nepalese ethnic groups), indigenous or migrant tribes 15%

Languages

Sharchhopka 28%, Dzongkha (official) 24%, Lhotshamkha 22%, other 26% (2005 Census)

Religions

Lamaistic Buddhist 75%, Indian- and Nepalese-influenced Hinduism 25%

Population

708,427 (July 2011 est.)
country comparison to the world: 165 note:the Factbook population estimate is consistent with the first modern census of Bhutan, conducted in 2005

previous Factbook population estimates for this country, which were on the order of three times the total population reported here, were based on Bhutanese government publications that did not include the census

Age structure

0-14 years: 28.9% (male 104,622/female 100,383)
15-64 years:65.3% (male 245,054/female 217,864)
65 years and over:5.7% (male 21,347/female 19,157) (2011 est.)

Median age

total: 24.8 years
male:25.4 years
female:24.2 years (2011 est.)

Population growth rate

1.201% (2011 est.)
country comparison to the world: 98

Birth rate

19.13 births/1,000 population (2011 est.)
country comparison to the world: 101

Death rate

7.12 deaths/1,000 population (July 2011 est.)
country comparison to the world: 128

Net migration rate

0 migrant(s)/1,000 population (2011 est.)
country comparison to the world: 78

Urbanization

urban population: 35% of total population (2010)
rate of urbanization:3.7% annual rate of change (2010-15 est.)

Major cities – population

THIMPHU (capital) 89,000 (2009)

Sex ratio

at birth: 1.05 male(s)/female
under 15 years:1.04 male(s)/female
15-64 years:1.13 male(s)/female
65 years and over:1.12 male(s)/female
total population:1.1 male(s)/female (2011 est.)

Maternal mortality rate

200 deaths/100,000 live births (2008)
country comparison to the world: 58

Infant mortality rate

total: 44.48 deaths/1,000 live births
country comparison to the world: 56 male:45.24 deaths/1,000 live births
female:43.69 deaths/1,000 live births (2011 est.)

Life expectancy at birth

total population: 67.3 years
country comparison to the world: 158 male:66.46 years
female:68.19 years (2011 est.)

Total fertility rate

2.2 children born/woman (2011 est.)
country comparison to the world: 106

Health expenditures

5.5% of GDP (2009)
country comparison to the world: 129

Physicians density

0.023 physicians/1,000 population (2007)
country comparison to the world: 186

Hospital bed density

1.7 beds/1,000 population (2006)
country comparison to the world: 112

Drinking water source

improved:
urban: 99% of population
rural: 88% of population
total: 92% of population
unimproved:
urban: 1% of population
rural: 12% of population
total: 8% of population (2008)

Sanitation facility access

improved:
urban: 87% of population
rural: 54% of population
total: 65% of population
unimproved:
urban: 13% of population
rural: 46% of population
total: 35% of population (2008)

HIV/AIDS – adult prevalence rate

0.2% (2009 est.)
country comparison to the world: 96

HIV/AIDS – people living with HIV/AIDS

fewer than 1,000 (2009 est.)
country comparison to the world: 142

HIV/AIDS – deaths

fewer than 100 (2009 est.)
country comparison to the world: 146

Major infectious diseases

degree of risk: intermediate
food or waterborne diseases:bacterial and protozoal diarrhea, hepatitis A, and typhoid fever
vectorborne diseases:dengue fever and malaria
water contact disease:leptospirosis (2009)

Children under the age of 5 years underweight

12% (2008)
country comparison to the world: 60

Education expenditures

4.8% of GDP (2008)
country comparison to the world: 67

Literacy

definition: age 15 and over can read and write
total population:47%
male:60%
female:34% (2003 est.)

School life expectancy (primary to tertiary education)

total: 11 years
male:11 years
female:11 years (2008)

Unemployment, youth ages 15-24

total: 6.3%
country comparison to the world: 120 male:5.5%
female:7.2% (2005)

Government

Country name

conventional long form: Kingdom of Bhutan
conventional short form:Bhutan
local long form:Druk Gyalkhap
local short form:Druk Yul

Government type

constitutional monarchy

Capital

name: Thimphu
geographic coordinates:27 29 N, 89 36 E
time difference:UTC+6 (11 hours ahead of Washington, DC during Standard Time)

Administrative divisions

20 districts (dzongkhag, singular and plural)

Bumthang, Chhukha, Chirang, Daga, Gasa, Geylegphug, Ha, Lhuntshi, Mongar, Paro, Pemagatsel, Punakha, Samchi, Samdrup Jongkhar, Shemgang, Tashigang, Tashi Yangtse, Thimphu, Tongsa, Wangdi Phodrang

Independence

1907 (became a unified kingdom under its first hereditary king)

National holiday

National Day (Ugyen WANGCHUCK became first hereditary king), 17 December (1907)

Constitution

ratified 18 July 2008

Legal system

civil law based on Buddhist religious law

International law organization participation

has not submitted an ICJ jurisdiction declaration

non-party state to the ICCt

Suffrage

18 years of age

universal

Executive branch

chief of state: King Jigme Khesar Namgyel WANGCHUCK (since 14 December 2006)

note – King Jigme Singye WANGCHUCK abdicated the throne on 14 December 2006 and his son immediately succeeded him;the nearly two-year delay between the former King’s abdication and his son’s coronation on 6 November 2008 was to ensure an astrologically auspicious coronation date and to give the new king, who had limited experience, deeper administrative expertise under the guidance of his father
head of government:Prime Minister Jigme THINLEY (since 9 April 2008)
cabinet:Council of Ministers (Lhengye Shungtsog) nominated by the monarch, approved by the National Assembly

members serve fixed, five-year terms

note – there is also a Royal Advisory Council (Lodoi Tsokde)

members are nominated by the monarch
(For more information visit the World Leaders website ) elections:the monarchy is hereditary, but democratic reforms in July 1998 grant the National Assembly authority to remove the monarch with two-thirds vote

election of a new National Assembly occurred in March 2008

the leader of the majority party nominated as the prime minister

Legislative branch

bicameral Parliament consists of the non-partisan National Council (25 seats

20 members elected by each of the 20 electoral districts (dzongkhags) for four-year terms and 5 members nominated by the King)

and the National Assembly (47 seats

members elected by direct, popular vote for five-year terms)
elections:National Council elections last held on 31 December 2007 and 29 January 2008 (next to be held by December 2012)

National Assembly elections last held on 24 March 2008 (next to be held by March 2013)
election results:National Council – NA

National Assembly – percent of vote by party – DPT 67%, PDP 33%

seats by party – DPT 45, PDP 2

Judicial branch

Supreme Court of Appeal (the monarch)

High Court (judges appointed by the monarch)

note – the draft constitution establishes a Supreme Court that will serve as chief court of appeal

Political parties and leaders

Bhutan Peace and Prosperity Party (Druk Phuensum Tshogpa) or DPT [Jigme THINLEY]

People’s Democratic Party or PDP [Tshering TOBGAY]

Political pressure groups and leaders

United Front for Democracy (exiled)

Druk National Congress (exiled)
other:Buddhist clergy

ethnic Nepalese organizations leading militant antigovernment campaign

Indian merchant community

International organization participation

ADB, BIMSTEC, CP, FAO, G-77, IBRD, ICAO, IDA, IFAD, IFC, IMF, Interpol, IOC, IOM (observer), ISO (correspondent), ITSO, ITU, NAM, OPCW, SAARC, SACEP, UN, UNCTAD, UNESCO, UNIDO, UNWTO, UPU, WCO, WHO, WIPO, WMO, WTO (observer)

Diplomatic representation in the US

none

note – the Permanent Mission to the UN for Bhutan has consular jurisdiction in the US

the permanent representative to the UN is Daw PENJO

address: 763 First Avenue, New York, NY 10017

telephone [1] (212) 682-2268

FAX [1] (212) 661-0551
consulate(s) general:New York

Diplomatic representation from the US

the US and Bhutan have no formal diplomatic relations, although informal contact is maintained between the Bhutanese and US Embassy in New Delhi (India)

Flag description

divided diagonally from the lower hoist-side corner

the upper triangle is yellow and the lower triangle is orange

centered along the dividing line is a large black and white dragon facing away from the hoist side

the dragon, called the Druk (Thunder Dragon), is the emblem of the nation

its white color stands for purity and the jewels in its claws symbolize wealth

the background colors represent spiritual and secular powers within Bhutan: the orange is associated with Bhuddhism, while the yellow denotes the ruling dynasty

National symbol(s)

thunder dragon known as Druk

National anthem

name: “Druk tsendhen” (The Thunder Dragon Kingdom)
lyrics/music:Gyaldun Dasho Thinley DORJI/Aku TONGMI
note:adopted 1953

Economy

Economy – overview

The economy, one of the world’s smallest and least developed, 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. The industrial sector is technologically backward, with most production 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. Complicated 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. New hydropower projects will be the driving force behind Bhutan’s ability to create employment and sustain growth in the coming years.

GDP (purchasing power parity)

$3.875 billion (2010 est.)
country comparison to the world: 167 $3.63 billion (2009 est.)
$3.34 billion (2008 est.)
note:data are in 2010 US dollars

GDP (official exchange rate)

$1.412 billion (2010 est.)

GDP – real growth rate

6.7% (2010 est.)
country comparison to the world: 41 8.7% (2009 est.)
3% (2008 est.)

GDP – per capita (PPP)

$5,500 (2010 est.)
country comparison to the world: 142 $5,300 (2009 est.)
$4,900 (2008 est.)
note:data are in 2010 US dollars

GDP – composition by sector

agriculture: 17.4%
industry:45%
services:37.6% (2010 est.)

Labor force

299,900
country comparison to the world: 164 note:major shortage of skilled labor (2008)

Labor force – by occupation

agriculture: 43.7%
industry:39.1%
services:17.2% (2004 est.)

Unemployment rate

4% (2009)
country comparison to the world: 35 2.5% (2004)

Population below poverty line

23.2% (2008)

Household income or consumption by percentage share

lowest 10%: 2.3%
highest 10%:37.6% (2003)

Investment (gross fixed)

46% of GDP (2010 est.)
country comparison to the world: 2

Budget

revenues: $576.5 million
expenditures:$666 million
note:the government of India finances nearly three-fifths of Bhutan’s budget expenditures (2010 est.)

Taxes and other revenues

40.8% of GDP (2010 est.)
country comparison to the world: 40

Budget surplus (+) or deficit (-)

-6.3% of GDP (2010 est.)
country comparison to the world: 168

Public debt

57.8% of GDP (2009)
country comparison to the world: 37 81.4% of GDP (2004)

Inflation rate (consumer prices)

7.1% (2010 est.)
country comparison to the world: 180 4.3% (2009 est.)

Central bank discount rate

NA%

Commercial bank prime lending rate

14.5% (31 December 2010 est.)
country comparison to the world: 63 14.5% (31 December 2009 est.)

Stock of narrow money

$418.9 million (31 December 2010 est.)
country comparison to the world: 162 $383 million (31 December 2009 est.)

Stock of broad money

$637.1 million (31 December 2009 est.)

Stock of domestic credit

$218.7 million (31 December 2010 est.)
country comparison to the world: 178 $186.4 million (31 December 2009 est.)

Market value of publicly traded shares

$NA

Agriculture – products

rice, corn, root crops, citrus, foodgrains

dairy products, eggs

Industries

cement, wood products, processed fruits, alcoholic beverages, calcium carbide, tourism

Industrial production growth rate

NA%

Electricity – production

1.48 billion kWh (2009 est.)
country comparison to the world: 141

Electricity – consumption

184 million kWh (2009 est.)
country comparison to the world: 183

Electricity – exports

1.296 billion kWh (2009 est.)

Electricity – imports

5.693 billion kWh (2008 est.)

Oil – production

0 bbl/day (2010 est.)
country comparison to the world: 157

Oil – consumption

1,000 bbl/day (2010 est.)
country comparison to the world: 197

Oil – exports

0 bbl/day (2009 est.)
country comparison to the world: 156

Oil – imports

1,549 bbl/day (2009 est.)
country comparison to the world: 186

Oil – proved reserves

0 bbl (1 January 2011 est.)
country comparison to the world: 111

Natural gas – production

0 cu m (2009 est.)
country comparison to the world: 160

Natural gas – consumption

0 cu m (2009 est.)
country comparison to the world: 156

Natural gas – exports

0 cu m (2009 est.)
country comparison to the world: 67

Natural gas – imports

0 cu m (2009 est.)
country comparison to the world: 93

Natural gas – proved reserves

0 cu m (1 January 2011 est.)
country comparison to the world: 116

Current account balance

-$112.9 million (2009 est.)
country comparison to the world: 77 -$112.9 million (2008 est.)

Exports

$509.4 million (2009 est.)
country comparison to the world: 168 $513 million (2008)

Exports – commodities

electricity (to India), ferrosilicon, cement, calcium carbide, copper wire, manganese, vegetable oil

Imports

$620.8 million (2009 est.)
country comparison to the world: 185 $533 million (2008)

Imports – commodities

fuel and lubricants, passenger cars, machinery and parts, fabrics, rice

Reserves of foreign exchange and gold

$1.002 billion (31 December 2010 est.)
country comparison to the world: 135 $890.9 million (31 December 2009 est.)

Debt – external

$836 million (2009)
country comparison to the world: 155 $713.3 million (2006)

Exchange rates

ngultrum (BTN) per US dollar -
46.6 (2009)
41.487 (2007)
45.279 (2006)
44.101 (2005)
45.317 (2004)

Transportation

Airports

2 (2010)
country comparison to the world:197

Airports – with paved runways

total: 1
1,524 to 2,437 m:1 (2010)

Airports – with unpaved runways

total: 1
914 to 1,523 m:1 (2010)

Roadways

total: 8,050 km
country comparison to the world: 141 paved:4,991 km
unpaved:3,059 km (2003)

Military

Military branches

Royal Bhutan Army (includes Royal Bodyguard and Royal Bhutan Police) (2011)

Military service age and obligation

18 years of age for voluntary military service

no conscription (2010)

Manpower available for military service

males age 16-49: 202,407
females age 16-49:180,349 (2010 est.)

Manpower fit for military service

males age 16-49: 157,664
females age 16-49:144,861 (2010 est.)

Manpower reaching militarily significant age annually

male: 7,363
female:7,095 (2010 est.)

Military expenditures

1% of GDP (2005 est.)
country comparison to the world: 130

Transnational Issues

Disputes – international

lacking any treaty describing the boundary, Bhutan and China continue negotiations to establish a common boundary alignment to resolve territorial disputes arising from substantial cartographic discrepancies, the largest of which lie in Bhutan’s northwest and along the Chumbi salient

Bhutan protests Chinese road construction and other activities on Bhutanese soil

Chinese border soldiers frequently intrude deep into Bhutanese territory

Bhutan cooperates with India to expel Indian Nagaland separatists