Country explorer: Bhutan

EXPERIMENTAL
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Overview

Bhutan is a mountainous, lower-middle-income country in South Asia with a very small population. Its economy has grown rapidly in recent decades, and is based on hydropower, agriculture and tourism.

Bhutan maintains a policy of Gross National Happiness to prioritize well-being over GDP.

Economy

Bhutan has seen a remarkable improvement in its GDP per capita, amid fluctuating unemployment rates and inflation, while significantly reducing poverty across various thresholds, indicating a unique pattern of economic resilience and growth compared to other lower-middle-income countries.

Demographics

Bhutan has experienced a moderate population growth, a significant decrease in fertility rates, fluctuations in net migration, and a steady improvement in life expectancy, reflecting broad societal transformations such as urbanization, improved healthcare, and changes in family planning practices, which are common trends among its lower-middle-income peers but distinguished by its unique pace and context within the Himalayan region.

Basic needs

Bhutan has showcased remarkable progress in essential living standards, significantly enhancing access to clean cooking fuels, electricity, clean water, and safe sanitation, thereby highlighting a transformative journey common among lower-middle-income countries but distinctive in its rapid advancements.

Human development

Bhutan has seen remarkable socio-economic progress, as evidenced by its steady improvement in the Human Development Index (HDI), a significant reduction in child mortality rates, a surge in literacy rates, and enhancements in the quality and quantity of education, distinguishing it as a nation on a successful trajectory of human development compared to many of its peers.

Environment & energy

Bhutan has maintained its commitment to environmental conservation, evident in stable per capita carbon emissions and renewable freshwater resources, increased forest coverage, and a significant portion of electricity production from renewable sources, distinguishing it as a leader in sustainability among its peers.

Technology & innovation

Bhutan has experienced significant technological advancements, exemplified by a substantial increase in internet usage from less than 1% to over 85% of the population and mobile phone subscriptions reaching 100 per 100 people, alongside a noticeable growth in scientific publications, demonstrating a profound shift towards digital inclusion and knowledge generation within a traditionally isolated nation.

Culture & society

Bhutan has experienced modest changes in its demographic composition, notable improvements in gender equality, evolving social satisfaction levels, and shifting dependency ratios, marking its journey toward modernization while retaining its distinct cultural identity amidst global influences.

Governance

Bhutan has experienced notable governance improvements, including increased rule of law, reduced perceptions of corruption, greater political and civil liberties, and enhanced press freedom, distinguishing it as a progressing nation in terms of governance among its peers.

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