Dechen Dolkar

The government is set to roll out a substantial Nu 15 billion economic stimulus plan, courtesy of support from India.

The government has pledged to promptly mobilise this amount immediately upon assuming office and utilise this fund to facilitate to bolster the attainment of macroeconomic objectives.

To ensure the efficient execution of this plan, a specialised task force has been established to craft a comprehensive strategy and supervise its implementation.

At the Meet-the-Press session in Thimphu yesterday, Prime Minister Tshering Tobgay said that the task force has already outlined the mobilisation and allocation of the funds, with further discussion slated for a forthcoming cabinet meeting.

“It will be discussed in the cabinet meeting,” he said.

Initially, the government’s focus would be on infusing liquidity into banks enabling them to extend loans and to maintain foreign reserves . Funds will also be channeled into various initiatives such as the De-Suung Skilling Program and to foster the growth and expansion of startups and Cottage and Small Industries.

The funds are expected to bolster support for export-oriented businesses, import-substitution enterprises, women entrepreneurs, youth entrepreneurs, farmers, as well as industries like film, entertainment, construction, IT, and tourism.

Prime Minister said that in terms of financial support, some loans would be interest-free, while others would carry concessional rates, making them more accessible to the targeted beneficiaries.

The acquisition of these funds will be facilitated through discussions with the Government of India. Talks between the governments have already commenced.

Final negotiations are anticipated following an upcoming meeting between the Prime Ministers of Bhutan and India. “I have received an invitation from the Indian Prime Minister to visit India; I will be meeting soon. We anticipate good support from India, given our strong relations,” said Prime Minister Tshering Tobgay.

During the meeting, deliberations will encompass the modalities of fund disbursement.