Bhutan’s Digital Economy Set to Boost GDP by USD 600 Million

In a visionary stride towards a digital future, Bhutan has unveiled its National Digital Strategy (NDS), poised to revolutionize the country’s economic landscape. Launched on July 12, the NDS outlines ambitious targets: creating 5,000 jobs by 2029 and injecting USD 600 million into the Gross Domestic Product (GDP) by 2034, amounting to 6 percent of GDP.

Central to the ‘Intelligent Bhutan’ vision are three pillars: digital economy, digital society, and digital governance. Prime Minister Tshering Tobgay underscored the significance of the NDS as a comprehensive roadmap for digital transformation, aimed at bolstering economic growth and improving public service delivery efficiency.

The strategy earmarks a substantial budget of Nu 10 billion for digital transformation in the 13th Plan. This includes Nu 1,698 million for the digital economy, Nu 5,148.19 million for digital governance, Nu 610.65 million for digital society, and Nu 2,542.34 million for critical enablers like digital infrastructure and cybersecurity.

Foreseeing a significant economic impact, the digital economy targets USD 300 million by 2029, escalating to USD 600 million by 2034. This growth will hinge on digitalizing industries, enhancing the digital ecosystem, and fostering the ICT industry’s expansion.

Key sectors earmarked for digital transformation include automating wood-based industry harvesting, streamlining trade services through the National Single Window project, and mapping national resources comprehensively. Additionally, initiatives in sustainable agriculture, smart transport systems, and robust data ecosystems are set to redefine Bhutan’s economic landscape.

The strategy also emphasizes cultivating a supportive environment for digital businesses and startups, promoting innovation, and facilitating global market access through e-commerce and digital payment solutions. An ambitious plan to establish a 100-acre IT park underscores Bhutan’s commitment to nurturing tech startups and creating tech jobs.

Driving the implementation of the NDS is the GovTech Agency, collaborating with various agencies to ensure seamless execution across different sectors. This coordinated effort aims to consolidate Bhutan’s position in the global digital landscape while enhancing the country’s eGovernment Development Index.

With a steadfast focus on digital transformation, Bhutan is not only primed to harness the potential of emerging technologies but also to fortify its socio-economic fabric through inclusive digital governance and vibrant digital entrepreneurship. As Bhutan charts its course towards a digital future, the NDS stands as a testament to its commitment to innovation, efficiency, and sustainable growth.

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