The Bhutanese Leading the way.
On the first day in office in 29th January 2024 the Prime Minister convened a meeting with the cabinet ministers where five executive orders and ten directives were issued to various ministries for expedited implementation.
The Bhutanese over the last one month has been collecting updates from multiple agencies to check the implementation status of all of the above.
5 Executive orders
The first executive order was on the discontinuation of the collection of Nu 10 at the Phuentsholing pedestrian terminal with immediate effect.
The terminal was constructed during the Pandemic at a cost of Nu 183 mn. Since the collection started in November 2022, a total revenue of Nu. 67.94 mn was collected until it got discontinued on January 30, 2024.
Nu. 19.199 million was for the maintenance and operation of the terminal.
The positive impact is effective utilization of limited human resources, faster pedestrian clearance and reduced confrontation.
On the other hand, the Terminal witnesses heavy footfall on a daily basis which leads to constant wear and tear of the infrastructure thereby entailing recurrent expenses which now have to come from the government budget.
The second executive order was on the establishment of the Economic Development Board (EDB), with the first meeting to be held within a month and the Government apprised accordingly.
The first meeting of the Board was conducted on 20 February 2024. By March the complete EDB was established with all members and every 21st of the month declared as meeting day for EDB. The EDB is chaired by the Prime Minister and also has the Minister of Industry, Commerce and Employment and Minister of Finance along with the relevant secretaries and three people from the private sector.
The EDB is currently focused on FDI rules and will the main body to implement it. It is also engaged in removing difficulties for doing business.
The third executive order was on the establishment of a high-level task force to formulate the implementation plan for the 15 Billion Economic Stimulus Plan. The plan is to be submitted to the Government by March 1, 2024.
Here first a high level committee was formed under the Chairmanship of the Governor with the Finance Minister and Secretaries making the proposals to the Indian Government and based on that India approved the Nu 15 bn ESP.
Once that was done the Nu 15 bn is divided among various sectors. Nu 5.3 bn is in the credit sector at 4% interest of which Nu 3.3 bn is for the Concessional Credit Line for new business loans and expansion funding and Nu 2 bn for the Reinvigoration Fund (RF) which is to provide partial and time-bound interest subsidies to help revive distressed businesses.
The future plan is to allocate an additional Nu 4.7 bn in terms of low interest loans at around 4% for housing, education and tourism.
Nu 5 bn is on the fiscal side with Nu 2 bn will be given to the Desuung Skilling program, Nu 500 mn is to the MoICE for entrepreneurship, skilling and internships, Nu 500 mn is aggregator support to the FMCL and BLDC to set up cold chain infrastructure and other facilities to help gather agricultural products and also value add.
Another Nu 500 mn is for a price guarantee scheme for farmers for 6 crops which are rice, wheat, maize, soya bean, quinoa and peanuts. Nu 1 bn will be allocated for OGOP which will be in the same modality like the crops but the focus will be more on high value niche products and value adding.
Nu 500 mn will be given to MoICE for tourism infrastructure, craft bazar, night market, creative industries and media.
An ESP steering committee has been formed which meets every Friday at 4 pm for approval of projects.
The latest concern is that banks are being too stringent as a result the money is not reaching the people.
The fourth executive order was on the establishment of a committee to study the regularization of contract employees. The study report is to be submitted to the government within a period of one month.
Here a committee did submit a report to the cabinet which sent it to the RCSC and the RCSC did not want regularization due to meritocracy issues and instead proposed to form the para-regular positions and extend the ESP and GSP contracts to 5 years from 3 years. The government has asked for 7 years. There is now talk that ESP and GSP will be happy with five years if the government can ensure access to credit.
Apart from the four executive orders an additional one issued a few days later on 31st January was commencement of online Dzongkha courses for all Bhutanese.
The Dzongkha Development Commission, following directives from the Cabinet, was tasked with developing an online platform to promote Dzongkha learning among younger generations. To this end, the Dzongkha Development Division signed a Memorandum of Understanding (MoU) with Edu Care to create an engaging platform with enhanced Dzongkha online learning.
As per the MoU, Edu Care is responsible for developing all graphics and animations, while the Dzongkha Development Division oversees the editing of content and grammar of Dzongkha.
In alignment with the MoU, the Dzongkha Development Division has procured Edu Care subscriptions, covering content from Pre-Primary to Class 3, at a concessional rate of Nu. 200. These subscriptions will be offered to interested learners in need of support.
Looking ahead, the plan is to extend the subscription to cover content for Classes 4 to 8 for an additional 9 months at Nu 150. Further extensions will be considered based on user feedback and demand.
10 Directives
One directive was to the Ministry of Finance for Revision of Tenancy Agreement for residents of Changjiji colony and to formulate plans to develop additional low income housing. The status and report was to be submitted by March 1, 2024.
This has been implemented with the 10-year limit being removed and they can stay there as long as they are posted in Thimphu and are from a particular economic bracket.
The directive to the Ministry of Education and Skills Development to study the viability of Saturdays to be kept off for schools after much debate and some delay was implemented. The MoESD minister Yeezang De Thapa said that the feedback is good from students, parents and teachers getting more time for personal works and to rest. The curriculum revisions planned by Cambridge will reduce some of the load.
The next directive to the MoESD was to review the Individual Work Plan of the teachers and submit alternative proposals to the Government by March 1, 2024.
The MoESD minister said they had discussions with the RCSC and they came up with recommendations. Lyonpo said the teachers did not have an issue with IWP but with the moderation part, which has been slightly changed.
There will be no moderation for 166 primary schools where teachers are less than 10.
Lyonpo said that for moderation new criteria has been developed and so more criteria means a higher chance of scoring higher. One example is how many schools are taking in those who have failed etc.
The latest is that MoESD has announced plans to replace the Moderation Exercise, a current performance evaluation method, with the Bhutan Professional Standard for Teachers (BPST) aiming to reduce teacher workload and improve job satisfaction.
A red tape removal directive was sent to to the Ministry of Industry, Commerce and Employment (MoICE) to conduct a comprehensive review of the business regulatory processes to ease the private sector , with the review report to be submitted to the Government by March 1, 2024.
The MoICE identified issues in the 9 ministries and 8 agencies like Gov Tech, NLCS, RMA, OAG, RBP, Thromde, BPC and RCSC.
A total of 231 issues were identified of which 46 have been resolved till last month.
The directive to MoICE to review the Foreign Direct Investment Policy and submit recommendations to the Government by March 1, 2024 is in an advanced stage as major changes have been proposed in the new draft FDI Rules and Regulations 2024 as pointed in a story by this paper earlier. A final cabinet approval is pending.
There is a directive to MoICE for development of a comprehensive action plan to increase tourist arrivals, to be submitted to the Government by March 1, 2024.
Here, an action plan has been developed.
The tourism action plan focuses on key areas which will be key in increasing the annual target to 300,000 tourists.
These key areas are Policy and regulatory framework, accessibility and connectivity, marketing and promotion, destination development management, professionalizing the industry, data and insights, strengthening the Department of Tourism and monitoring and reporting.
The other strategies are working with local governments, additional entry and exit point like Samdrup Jongkhar, new products and services and MICE promotion.
MoICE got a directive to submit a report with recommendations by March 1, 2024 on promotion of tourism in border towns in the south.
Here MoICE said Sustainable Development Fee (SDF) waiver for up to 24 hours for tourists visiting border towns has been renewed till April 2025. However, if tourists are coming with the reduced SDF of USD100 (Incentive) they are not eligible for the up to 24 hours waive
Ministry of Infrastructure and Transport got a directive to conduct an initial feasibility study on construction of five Airstrips in strategic locations across the country. The Ministry was to submit the findings of the study by May 1, 2024.
A second report, identifying five potential airstrip sites (Samrang, Yoeseltse, Buli, Dagapela, and Yangbari), was submitted to the Cabinet on May 13, 2024, and discussed during the 14th session of the Fourth Lhengye Zhungtshog (LZ) on May 18, 2024. Following this session, LZ issued a second directive on May 24, 2024, instructing MoIT to conduct further detailed assessments for Samrang and Yoeseltse.
Additionally, further analyses were to be conducted for Buli, Dagapela, Yangbari, and two additional locations of Pongchula and Bartsham, with the findings to be submitted to LZ. Therefore, in total 7 airstrips up from 5 airstrips sites were to be assessed further in detail as per the directive from LZ.
The working team is scheduled site visits to all seven potential locations in October when the weather is better.
There was a directive to the Ministry of Foreign Affairs and External Trade (MoFAET) to submit a comprehensive proposal on promotion of tourism, using embassies, consuls and honorary consuls, by March 1, 2024.
MoFAET said it has developed a tourism strategy in close collaboration with the Department of Tourism. Through its 10 Embassies, Missions and Consulates (EMCs), the Ministry has been facilitating and supporting the promotion of tourism. MoFAET will also serve as a reliable communication channel for disseminating accurate and timely information, nurturing new relationships, and enhancing the Brand “Bhutan Believe”.
MoFAET said its EMCs have also been facilitating contact and cooperation between Department of Tourism and tourism authorities abroad, as well as with travel agents and tour operators’ associations abroad.
The Prime Minister after visiting JDWNRH issued a directive to the Minister of Health to submit a set of recommendations to ensure service quality and reliability by February 6, 2024.
The proposal was submitted and later re-submitted again after incorporating changes on 19 Feb 2024 for further review dated 16 February 2024. The proposal was submitted to the PM on 20 February 2024 for kind update and directives.
As covered by this paper in the latest issue the MoH, National Medical Services and RCSC are working on an alternative career pathway to retain Doctors. RCSC has approved a one-year meritorious promotion for nurses taking up the specialised courses in the first cohort and it has also approved doing away with the Preliminary Examination (PE) requirement for B.Sc Nurses.
To motivate health staff, a proposal for a cafeteria, crèche and gym facility are planned at JDWNRH. More doctors are being recruited to reduce workload and 3 Anesthesiologists and 145 foreign Nurses are also being recruited.
There are plans to get 4 CT machines and 4 MRI machines, wards are being renovated to accommodate 36 beds for Medicine and a 6-bed surgical ICU after relocation of Pediatric services to Gyaltsuen Jetsun Pema Wangchuck Mother and Child Hospital (GJPWMCH).
The Thromde health centers are also being strengthened
The MoH is working on a comprehensive proposal to align healthcare services with National Health Policy through the restructuring of the MoH by integrating the functions of the NMS into it; improve operational efficiency of JDWNRH to enhance service delivery and patient care.
It aims to streamline coordination, enhance efficiency, and improve responsiveness in service delivery at all levels of hospitals and strengthen linkages between the MoH and the LGs.
