In a bold move to address the nation’s pressing economic challenges, the Ministry of Industry, Commerce, and Employment (MoICE) unveiled an extensive strategy aimed at reducing youth unemployment and fostering private sector expansion. The initiative, emphasized during the Ministry’s tenth Meet-The-Press session yesterday, seeks to create a more dynamic, inclusive, and sustainable Bhutanese economy.
Lyonpo Namgyal Dorji, the Minister of MoICE, outlined the government’s commitment to tackling the high youth unemployment rate, bridging the skills gap between education and market demands, and easing the regulatory burdens on budding entrepreneurs. “Youth unemployment has been a persistent challenge for Bhutan, driven by a mismatch between the skills young people acquire and the demands of the labor market,” Lyonpo Dorji stated.
While acknowledging a gradual decline in youth unemployment, the Minister stressed the importance of addressing its underlying causes. “We are committed to providing training, entrepreneurship programs, and reskilling initiatives to help youth secure sustainable employment,” he added. Central to this effort are several key programs designed to equip young Bhutanese with the necessary skills and entrepreneurial mindset.
Among these initiatives are the Entrepreneurship Development Training using the CEFE methodology, Basic and Advanced Entrepreneurship Courses, and Technology Entrepreneurship Programmes. These programs aim to prepare youth to thrive in a rapidly evolving economic landscape. Additionally, the Bhutan Labour Market Information System (BLMIS) offers real-time data to align educational curricula with employment opportunities, ensuring that graduates possess relevant and in-demand skills.
A significant component of the Ministry’s strategy is promoting entrepreneurship as a viable alternative to traditional civil service careers. “Bhutan’s economy has long been heavily reliant on the public sector, but the government recognizes the need to diversify and expand the private sector to ensure long-term growth and job creation,” Lyonpo Dorji explained. To support this shift, the Ministry is integrating entrepreneurship education into school programs and providing direct assistance through the Youth Employment and Livelihood Programme, which subsidizes a portion of salaries for young employees.
Support for startups and small businesses is also a priority, with the establishment of startup centers, Business Incubation Units, and Fablabs across various dzongkhags. These facilities aim to spur innovation, particularly in rural areas, by offering resources and support to emerging entrepreneurs. “By creating a conducive environment for startups, we are not only providing youth with the opportunity to create their own jobs but also contributing to the development of a more diversified economy,” added Lyonpo Dorji.
Financial support mechanisms are integral to the Ministry’s approach. The Economic Stimulus Plan includes a proposed startup fund, along with seed funding and venture capital initiatives designed to lower the financial barriers for new businesses. “These efforts aim to reduce the financial barriers that many entrepreneurs face when starting their businesses,” the Minister noted.
Recognizing the importance of inclusivity, the Ministry is also implementing measures to ensure gender balance in youth employment and entrepreneurship programs. Additionally, efforts are underway to bridge the urban-rural divide in employment opportunities by promoting rural entrepreneurship, ensuring that economic growth benefits all regions of Bhutan. “By addressing both gender inclusivity and urban-rural employment gaps, we are ensuring that no one is left behind in our efforts to create an inclusive, forward-looking economy,” Lyonpo Dorji affirmed.
The Greater Bhutan Innovation Corridor (GBIC) stands out as a pivotal initiative aimed at nurturing tech startups and small to medium-sized enterprises (SMEs). Through Seed Accelerators, Scale-up Programmes, and angel investing, the GBIC provides essential support for emerging businesses in the technology sector. “Through Seed Accelerators, Scale-up Programmes, and angel investing, the GBIC provides essential support for emerging businesses in the tech sector,” stated Lyonpo Dorji.
Collaboration with educational institutions is also a cornerstone of the Ministry’s strategy. “Aligning technical training and academic programmes with market demands is critical to ensuring that young people are adequately prepared for the workforce,” the Minister emphasized. By working closely with schools and universities, MoICE aims to create a workforce that is agile, skilled, and ready to meet the needs of a growing economy.
As Bhutan strides towards a more robust and diversified economic future, the Ministry of Industry, Commerce, and Employment remains steadfast in its mission to empower youth and invigorate the private sector. These comprehensive measures are poised to transform the employment landscape, offering young Bhutanese new avenues for success and contributing to the nation’s sustainable development.
