The major focus of the 13th Five-Year-Plan will be on the growth of private sector. This is according to the State of the Nation Report the Prime Minister presented in the parliament earlier today. As per the report, the government will increase private sector investment from 40 per cent to beyond 50 per cent by 2029 and to 60 per cent by 2034.
As per the State of the Nation Report, the government will undertake efforts to increase the manufacturing sector’s contribution to Gross Domestic Product from six per cent in 2021 to 15 per cent by 2029.
To improve market access and connectivity for the private sector, the negotiation for a preferential trade agreement between Bhutan and Nepal has now reached an advanced stage.
Furthermore, works are also underway to convene the first meeting with Thailand to start developing a preferential trade agreement between the two countries.
In addition, the government is exploring trade agreements with Singapore, Vietnam, South Korea and Malaysia.
They also expect to increase Foreign Direct Investment from more than 43 billion ngultrum to 100 billion ngultrum by 2029.
According to the report, the government will foster Foreign Direct Investment by reviewing the existing FDI policy and relevant regulations to make Bhutan an attractive investment destination.
Besides, the report states that the government will work to reduce the country’s trade deficit to 20 per cent of the GDP by 2029.
The report also mentions key programmes identified for the growth of the private sector. The programmes include the implementation of an integrated business licensing system as a single window for business licenses, pursuing accession to the World Trade Organisation, and market diversification through Brand Bhutan initiatives to countries in the European Union, the United States of America, and Japan.
According to the Prime Minister, some of these programmes are already underway with the establishment of GovBiz Service Centre as the initial step towards accelerating the 13th Plan objectives for business-related services.
The GovBiz Centre established in August this year will function as a comprehensive, one-stop-shop platform for all business-related services to the general public.
According to the Prime Minister’s Office, the government will finalise the draft document of the 13th Five-Year-Plan next week.
Samten Dolkar
Edited by Phub Gyem
