The Bhutanese Leading the way.
In a Live Facebook session held online yesterday, the Prime Minister (PM) Dasho Dr Lotay Tshering, addressed the audience on the status of the country’s tourism industry, and acknowledging the challenges encountered, the PM claimed that Bhutan’s tourism policy has been internationally recognized as one of the best and most sustainable in the world.
“Globally, few countries have managed to recover their tourist numbers to 80 percent after the pandemic, and in the South Asian region, few have managed to recover 65 percent of the tourists. The country has already welcomed around 25,000 dollar-paying tourists in just six months, signaling a promising upward trajectory. In comparison, 2019 witnessed a peak of 73,000 dollar-paying tourists, and with continued progress, the country anticipates reaching 50,000 such tourists in the near future, effectively recovering 55 percent to 60 percent of pre-pandemic levels.”
The PM’s figures are not entirely accurate as the latest data as of 26th July shows that in the last six months only 13,274 dollar paying tourists have come of which 4,366 have come under the USD 65 tariff.
Only if the figures are taken for the last nine months since September 2022 then 23,026 dollar paying tourists have come of which 10,410 came under the USD 65 tariff.
PM also expressed optimism regarding the tourism industry’s revival, as he claimed that some tour operators have already started regaining their profits, performing on par with pre-COVID times. However, he acknowledged that many operators and hoteliers continue to face challenges and financial losses.
During the session, PM focused on the significance of regional tourism, particularly Indian tourists who accounted for the highest number of visitors in 2019, totaling approximately around 220,000. Despite the impact of the pandemic, about 40,000 Indian tourists have already visited Bhutan, each paying INR 1,200 per night. The total since September last year is 52,114 Indian tourists.
The overall grand total of both dollar and rupee paying tourists from 23rd September 2022 to 26th July 2023 are 75,132 tourists.
To address the hurdles faced by budget hotels, PM talked about the implementation of a new star system, eliminating the label of ‘budget hotels’ to streamline and help them.
Regarding the new SDF policy, PM expressed confidence in its potential to generate significant profits for the country while ensuring sustainable tourism practices. He acknowledged that some individuals have been adversely affected by the policy and asked for patience, emphasizing the need to give the policy adequate time before assessing its success.
Responding to concerns about the high SDF potentially hindering tourist arrivals, PM revealed that many international tour operators have praised the policy’s merits. He said this reflects a growing recognition of Bhutan’s proactive approach in striking a balance between tourism promotion and environmental conservation.
