Bhutan can be the next Zug if it wants to be

Himalayan kingdoms are vanishing. Tibet, Nepal, Sikkim all have lost that tag line, so we are down to one — Bhutan. I first went to Bhutan in the summer of 2000. I have returned twice since then with the last visit in 2009, nearly a decade ago. Things have changed since then, when I first went to the country there was no broadcast television, no mobile phones and only one state-run newspaper, the Kuensel in publication. The country’s absolute authority was its 4th King Jigme Singey Wangchuk.

From an absolute monarchy to a fully functional constitutional democracy, the tiny Himalayan kingdom has come a long way. Bhutan’s young King, Jigme Khesar Namgyel Wangchuk is only 39 years old. He succeeded his father Jigme Singey Wangchuk as the 5th Druk Gyalpo (King) in 2006. The current king has time and again talked about the importance of technology for the future of the country and considering that the median age of the country’s population is 27.2 years, he is right to worry about the course that the kingdom needs to take in the future since it is surrounded by two squabbling tech giants China and India. Speaking at the Royal University of Bhutan in May 2019, the monarch said,

“As we know, Asia is in the midst of a historic transformation. Within the next 30 years, it is projected that Asia’s share of global GDP will be more than half of the world’s GDP, thus regaining the dominant position it once held. This will lead to an exponential increase in Asia’s middle class and along with it, rising purchasing power, and as a result huge markets that will provide great opportunities for Bhutan.”

If Bhutan wants to provide its future generations with the skills to benefit from the rapid changes that are taking place in its neighbourhood, especially in China and India then it should ponder seriously the role of technology in the future of the country. The university address by the King shows that the Bhutanese government is in introspection mode.

“The question I have is how are we able to leverage technology for education; job creation; good governance; effective, timely and efficient delivery of services to our people; private sector development and growth; for accountability and transparency? In addition, there are emerging new developments such as Artificial Intelligence, Quantum Computing, Blockchain, Machine Learning, Big Data, IOT (the Internet of Things), Virtual Reality and Augmented Reality, etc.”

Yet at the same time, the country has taken measures to keep modernity as we know it at bay. Tourism is highly restricted and only open to those who spend a minimum dollar amount a day while visiting. Unconfirmed sources point out that visas for overseas visitors are capped at 6000. Forest cover in the country has reached 71% according to the state broadcaster. The Bhutanese government is committed to maintaining its environmental policies by minimising the impact that development has on nature. They also have been following the policy of Gross National Happiness, which was instituted by the previous king, which is Bhutan’s substitute for the more growth centric Gross Domestic Product version seen elsewhere.

Bhutan is now at the crossroads. It must choose a path that will fulfil the aspirations of its young population. Other Himalayan kingdoms that did not yield to the winds of change have suffered occupation, incorporation or revolution. Bhutan is the sole survivor and part of its success has been treading slowly and gently, but the country has reached a stage where it can leverage its small size, clean environment, ample resources, hydel energy generation potential with a mix of governmental policy that could allow it to become an emerging tech hub. In the future, there may come a day that the Zug of Asia is found nestled in pristine valleys of the Bhutanese Himalayas.