Bhutan’s economy in a difficult phase says World Bank’s Chief Economist

The World Bank’s Chief Economist, Kaushik Basu says Bhutan’s economy is not in bad shape but in a difficult phase. Bhutan’s economic growth is at 2.05 percent at the moment, the lowest GDP Bhutan has seen in the last 10 years.

“I don’t know enough of details but I do know that the part of the reason is global. The global economic situation is in a difficult phase.”

He said globally the unemployment rate, particularly the youth unemployment rate, has gone up.

However, the upside to the story, Kaushik Basu said was Bhutan’s success in bringing down extreme poverty rate. He said for a country like Bhutan this is an achievement. “It is a tribute to the polices that were here for the last 20-30 years.”