The Bhutanese Leading the way.
The government informed that fuel import costs have continued to increase, with the rise in diesel prices being of particular concern. This is especially significant because diesel is a critical input for transport, construction, distribution and other key economic activities, and as such, it has a direct impact on the prices of food, essential commodities, and a wide range of services across the economy.
In response, and in line with the National Fuel Price Smoothening Framework (NFPSF) introduced on 21 March 2026, with effect from midnight of 16 April 2026, the new retail selling price will be maintained at Nu. 102.90 per litre for petrol and Nu. 98.31 per litre for diesel in Thimphu. To support these prices, the Government will provide fuel price support of Nu. 8.19 per litre for petrol and Nu. 101.35 per litre for diesel.
The Government has spent Nu. 492 million till 16 April, 2026, as a price support. At the revised price, it is estimated that the Government will spend an additional Nu. 1.2 billion per month. This displays the Government’s resolute commitment for ensuring stable prices for goods and services, especially food, to reduce the negative impact on household income, and to ensure fiscal sustainability and macroeconomic stability.
In continuation of the measures established under Executive Order C2/2026/1146 dated 2 April 2026, the Royal Government reiterates the urgent need for collective national solidarity in reducing fossil fuel consumption. All public agencies and the general public are therefore directed to intensify their efforts to reduce fossil fuel consumption. In particular, agencies must continue to prioritize Implementing “walk-to-work” initiatives for staff where feasible, strictly avoiding all non-essential official travel and remote work.
