Describe the nature of Bhutanese economy and examine the role of India

Question

Describe the nature of Bhutanese economy and examine the role of India in its economic development.

11 Sep 2024

Answer :

Word Count : 691

Bhutan, a small landlocked country nestled in the eastern Himalayas, has a unique economy characterized by its focus on Gross National Happiness (GNH) rather than just Gross Domestic Product (GDP). This economic model emphasizes holistic well-being, environmental sustainability, and cultural preservation, distinguishing Bhutan from many other nations.

Nature of Bhutanese Economy

Bhutan's economy is primarily agrarian, with agriculture and forestry employing the majority of its population. The country's key agricultural products include rice, maize, potatoes, and fruits. Despite this, agriculture contributes only a small fraction to Bhutan's GDP, which is largely driven by the service sector, particularly tourism, and hydropower.

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