Economy - overview:
The economy, one of the world's smallest and least developed, is
based on agriculture and forestry, providing the main livelihood for
more than 90% 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. Bhutan's hydropower potential and its attraction for
tourists are key resources. The government has made some progress in
expanding the nation's productive base and improving social welfare.
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. Detailed controls and
uncertain policies in areas like industrial licensing, trade, labor,
and finance continue to hamper foreign investment.
GDP:
purchasing power parity - $2.7 billion (2002 est.)
GDP - real growth rate:
7.7% (2002 est.)
GDP - per capita:
purchasing power parity - $1,300 (2002 est.)
GDP - composition by sector:
agriculture: 45%
industry: 10%
services: 45% (2002 est.)
Population below poverty line:
NA%
Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%
Inflation rate (consumer prices):
3% (2002 est.)
Labor force:
NA
note: massive lack of skilled labor
Labor force - by occupation:
agriculture 93%, services 5%, industry and commerce 2%
Unemployment rate:
NA%
Budget:
revenues: $146 million
expenditures: $152 million, including capital expenditures of NA
note: the government of India finances nearly three-fifths of
Bhutan's budget expenditures (FY95/96 est.)
Industries:
cement, wood products, processed fruits, alcoholic beverages,
calcium carbide
Industrial production growth rate:
9.3% (1996 est.)
Electricity - production:
1.896 billion kWh (2001)
Electricity - production by source:
fossil fuel: 0.1%
hydro: 99.9%
other: 0% (2001)
nuclear: 0%
Electricity - consumption:
379.5 million kWh (2001)
Electricity - exports:
1.4 billion kWh (2001)
Electricity - imports:
16 million kWh (2001)
Oil - production:
0 bbl/day (2001 est.)
Oil - consumption:
1,020 bbl/day (2001 est.)
Oil - exports:
NA (2001)
Oil - imports:
NA (2001)
Agriculture - products:
rice, corn, root crops, citrus, foodgrains; dairy products, eggs
Exports:
$154 million f.o.b. (2000 est.)
Exports - commodities:
electricity (to India), cardamom, gypsum, timber, handicrafts,
cement, fruit, precious stones, spices
Exports - partners:
US 24.1%, UK 23.9%, Pakistan 23.1%, France 13.9% (2002)
Imports:
$196 million c.i.f. (2000 est.)
Imports - commodities:
fuel and lubricants, grain, machinery and parts, vehicles, fabrics,
rice
Imports - partners:
Japan 44.5%, Germany 12.2%, UK 8.5%, Singapore 6%, South Korea 5%,
US 4.2% (2002)
Debt - external:
$245 million (2000)
Economic aid - recipient:
substantial aid from India and other nations
Currency:
ngultrum (BTN); Indian rupee (INR)
Currency code:
BTN; INR
Exchange rates:
ngultrum per US dollar - 48.61 (2002), 47.19 (2001), 44.94 (2000),
43.06 (1999), 41.26 (1998)
Fiscal year:
1 July - 30 June