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Rekha a/p Kanniah (Malaysia) 
Norasyanti Mohd Nor (Malaysia) 
Noraini Ismail (Malaysia) 
Farah Zazreen Zainudin (Malaysia) 
Halimatun Nazira Haji Hasan (Malaysia) 
Noradila Awang (Malaysia) 
NATIONAL DEVELOPMENT 
PLANNING OF BHUTAN
Country Profile 
 Formal name : Kingdom of Bhutan 
 Citizens : Bhutanese 
 Capital : Thimpu 
 Date of Independence : August 8, 1949 
 Land lock between China and Tibet. 
 Population is 1.6 million with 97 % in rural area.
Gross National Happiness (GNH) 
Establish by His Majesty the Fourth King of Bhutan: Jigme 
Singye Wangchuck in 1970. 
The 4 Pillars concept of GNH: 
1. Good Governance 
2. Socio-economic development 
3. Cultural preservation 
4. Environmental conservation
Lately four pillars – classified into nine domains: 
i. Psychological wellbeing 
ii. Health 
iii. Education 
iv. Time use 
v. Cultural diversity and resilience 
vi. Good governance 
vii. Community vitality 
viii. Ecological diversity and resilience 
ix. Living standard
Highlights about GNH Index in 2010 
Men are happier than women on average. 
 In urban areas, 50% of people are happy and in rural areas 
it is 37 %. 
 Urban areas do better in health, education and living of 
standard. 
Rural areas do better in community vitality, cultural 
resilience and good governance.
Population Economy Poverty 
Governance Education Health
To confronting the rapid population growth of 3.1% per 
year and its demands, including: 
 dependency ratio, jobs, school-age population and 
health care services 
 dealing with continued momentum for growth 
despite declining fertility 
 keeping up with population distribution issues in 
urban areas 
 generating disaggregated data in all sectors,to 
enable better planning and formulating of more 
efficient interventions aimed at disparity reduction.
 To raise real incomes of rural people and create a 
domestic market for increased production. 
 More efficient system of financial intermediation to 
raise the overall level of economic activity as well as 
the ratio of investment and savings to GDP; the 
importance of a monetary policy that addresses 
development and integration of the capital market 
is crucial.
 Expanded access to social 
services/infrastructure, particularly in rural 
areas and to vulnerable groups. 
 Increased employment generation to address 
the growing urbanization that has critical 
implications for poverty nationwide. 
 Extended credit outreach to the poor.
 To promote GNH, through efficiency, transparency, 
accountability, participation and equity, to bring 
about socio-economic development, especially for 
rural areas. 
 To strike a balance between popular participation in 
development and the gradual transfer of power to 
lower echelons of Government for an enabling 
environment of growing development complexities 
and building laws upon Buddhist precepts.
 To find ways to finance expansion of the 
system regardless quality. 
 Quality education for all without gender gap , 
including provision of sufficient and adequate 
hostel facilities for girls.
 To provides free medical treatment to all 
citizens, and for the Royal Government is to 
focusing on quality health care. 
 Continued to reduction of infant, under 5 and 
maternal morbidity and mortality, as well as 
malnutrition; cervical cancer, and to reduce 
growing number of illegal abortions.
• Bhutan’s Development is guided by the document “Bhutan 2020: A Vision for 
Peace, Prosperity and Happiness”, that sets out the national goals, broad targets 
and overall policy principles for the next two decades. 
• This document was the culmination of intensive consultations between 
communities, Royal Government agencies and private and non-governmental 
organizations. It provides a clear framework for development of the five-year 
plans and is operationalized through the annual budgets approved by the 
National Assembly. 
• The planning process involves decision-making in formulating plans and 
programs, the responsibility of which is shared among a number of institutions. 
The main institutions are the Gewogs, Dzongkhags and the central ministries and 
agencies.
• The main institutions are the Gewogs, Dzongkhags and the central ministries and 
agencies. 
• Most programs originate from the community level though nation-wide and 
thematic plans and programs can originate from the agencies at the centre. 
• The preparation of the five-year plans begins at least two years ahead of the 
scheduled launch. 
• It normally follows a mid-term review of the on-going plan where the Gewogs, 
Dzongkhags and sectors are involved. 
• Next is the steps taken by Gewogs in preparation for the Five Years Plan.
Agriculture, Marketing and Enterprise 
Promotion Programme
 AMEPP was IFAD’s sixth project in Bhutan. 
 Effective from 1 July 2006 and was completed 
on 31 December 2012. 
 The project’s objective: 
“improve livelihoods of the rural poor in the 
programme area on a sustainable 
basis by enhancing productivity, income growth and 
access to economic and social 
services”.
 AMEPP covered 6 dzongkhags (districts) in 
Eastern Bhutan − Samdrup Jongkhar, 
Pemagatshel, Trashigang, Mongar, Trashi 
Yangtse and Lhuentse (from 2006 to 2012) 
 One of the poorest and most isolated region in 
Bhutan. 
 Most agriculture is carried out by smallholders 
on less than 5 acres (2 ha) of land per household.
i. Supporting capital formation in crop, livestock and 
niche-crop production. 
ii. Improving the conditions under which enterprises and 
income–generating activities are started and operated. 
iii. Enhancing access to rural financial services (especially 
credit). 
iv. Building the capacities of grass-roots organizations and 
developing skills through training. 
v. Improving the common socio-economic infrastructure, 
especially the road network and marketing support 
system.
On-farm 
production 
Marketing & 
enterprise 
development 
Rural financial 
services 
Access 
Infrastructure 
Program 
management
• Rated as satisfactory on the basis of programme 
alignment with national strategic directions. Relevance 
• Rated as satisfactory as the overall combination of 
project inputs effectiveness in raising production 
and reducing input and marketing costs was 
appropriate. 
Effectiveness 
• Rated moderately satisfactory as the infrastructure 
activities were not able to complete design 
specification in relation to recommended best 
practise. 
Efficiency
• Rated as satisfactory as the extent of benefits across 
the target area was variable with some households 
achieving high levels of performance and others with 
little benefit. 
Household income 
and assets 
• Rated as satisfactory as few groups are still at a 
formative stage and there is still considerable need for 
further development. 
Human and social 
capital 
empowerment 
• If AMEPP hadn’t supported a shift of farming practice, 
food quality wouldn’t have improved and the cost of 
food would have been higher due to the transportation 
costs of importation. Hence, the rating is satisfactory. 
Food security and 
agricultural 
productivity
• The result is positive but limited resources 
for environmental protection. The rating 
for natural resources and environment is 
moderately satisfactory. 
Natural resources, 
environment and 
climate change 
• Rated moderately satisfactory impact on 
institutions and policies related to 
programme implementation. 
Institutions and 
policies
• Rated moderately satisfactory as there are 
challenges. Sustainability 
• Some initiatives have been scaled up, but this has 
been in response to ad hoc opportunities rather than 
a proactive and systematic programme approach. 
Consequently, the rating is moderately satisfactory. 
Innovation and 
scaling up 
• Women do seem to have benefited from the 
programme and mainstreaming activities. The 
rating for this criterion is moderately satisfactory. 
Gender equality and 
women’s 
empowerment
 The project has been successful with the support of IFAD. 
( International Fund for Agriculture Development) 
 The project activities were effectively help in reducing the 
poverty level in targeted area. 
 Involvement of IFAD (International Fund for Agriculture 
Development) has clearly contributed in the improvement of 
connectivity and access to services, generate more income 
and assets for many household and greater farm and 
enterprise productivity.
Shift from production-driven to value-adding 
and market-led capability 
 The project impact on agriculture production 
was far-reaching across the project area, 
although not of a high intensity. 
 An increase in production 
 However, the capacity in the east to 
capitalize on potential market opportunities 
and add value to agriculture production is still 
limited.
 A key bottleneck in building capacity in enterprise development and 
value chain linkages has been dependence on agriculture staff to 
also carry out marketing support activities. 
 Agriculture officers are not qualified to offer business advice or to 
assist with financial support. 
 Thus, there is need for different skills and additional expertise 
particularly through the Department of Marketing and Cooperative 
to facilitate and strengthen value chain linkage within the region 
and across regional and national borders.
 Groups are still dependent on government support rather 
than proactively finding their own business opportunities. 
 However, there is limited government services and give 
challenge for those who are in greater need of service. 
 There is need to build independence and private sector 
service especially for farmers who are affordable to pay 
commercial fees.
 Planning is really important 
 Forecast the future 
 Achieve target/goal
THE END

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National Development Planning of Bhutan

  • 1. Rekha a/p Kanniah (Malaysia) Norasyanti Mohd Nor (Malaysia) Noraini Ismail (Malaysia) Farah Zazreen Zainudin (Malaysia) Halimatun Nazira Haji Hasan (Malaysia) Noradila Awang (Malaysia) NATIONAL DEVELOPMENT PLANNING OF BHUTAN
  • 2.
  • 3. Country Profile  Formal name : Kingdom of Bhutan  Citizens : Bhutanese  Capital : Thimpu  Date of Independence : August 8, 1949  Land lock between China and Tibet.  Population is 1.6 million with 97 % in rural area.
  • 4. Gross National Happiness (GNH) Establish by His Majesty the Fourth King of Bhutan: Jigme Singye Wangchuck in 1970. The 4 Pillars concept of GNH: 1. Good Governance 2. Socio-economic development 3. Cultural preservation 4. Environmental conservation
  • 5. Lately four pillars – classified into nine domains: i. Psychological wellbeing ii. Health iii. Education iv. Time use v. Cultural diversity and resilience vi. Good governance vii. Community vitality viii. Ecological diversity and resilience ix. Living standard
  • 6. Highlights about GNH Index in 2010 Men are happier than women on average.  In urban areas, 50% of people are happy and in rural areas it is 37 %.  Urban areas do better in health, education and living of standard. Rural areas do better in community vitality, cultural resilience and good governance.
  • 7.
  • 8. Population Economy Poverty Governance Education Health
  • 9. To confronting the rapid population growth of 3.1% per year and its demands, including:  dependency ratio, jobs, school-age population and health care services  dealing with continued momentum for growth despite declining fertility  keeping up with population distribution issues in urban areas  generating disaggregated data in all sectors,to enable better planning and formulating of more efficient interventions aimed at disparity reduction.
  • 10.  To raise real incomes of rural people and create a domestic market for increased production.  More efficient system of financial intermediation to raise the overall level of economic activity as well as the ratio of investment and savings to GDP; the importance of a monetary policy that addresses development and integration of the capital market is crucial.
  • 11.  Expanded access to social services/infrastructure, particularly in rural areas and to vulnerable groups.  Increased employment generation to address the growing urbanization that has critical implications for poverty nationwide.  Extended credit outreach to the poor.
  • 12.  To promote GNH, through efficiency, transparency, accountability, participation and equity, to bring about socio-economic development, especially for rural areas.  To strike a balance between popular participation in development and the gradual transfer of power to lower echelons of Government for an enabling environment of growing development complexities and building laws upon Buddhist precepts.
  • 13.  To find ways to finance expansion of the system regardless quality.  Quality education for all without gender gap , including provision of sufficient and adequate hostel facilities for girls.
  • 14.  To provides free medical treatment to all citizens, and for the Royal Government is to focusing on quality health care.  Continued to reduction of infant, under 5 and maternal morbidity and mortality, as well as malnutrition; cervical cancer, and to reduce growing number of illegal abortions.
  • 15.
  • 16. • Bhutan’s Development is guided by the document “Bhutan 2020: A Vision for Peace, Prosperity and Happiness”, that sets out the national goals, broad targets and overall policy principles for the next two decades. • This document was the culmination of intensive consultations between communities, Royal Government agencies and private and non-governmental organizations. It provides a clear framework for development of the five-year plans and is operationalized through the annual budgets approved by the National Assembly. • The planning process involves decision-making in formulating plans and programs, the responsibility of which is shared among a number of institutions. The main institutions are the Gewogs, Dzongkhags and the central ministries and agencies.
  • 17.
  • 18. • The main institutions are the Gewogs, Dzongkhags and the central ministries and agencies. • Most programs originate from the community level though nation-wide and thematic plans and programs can originate from the agencies at the centre. • The preparation of the five-year plans begins at least two years ahead of the scheduled launch. • It normally follows a mid-term review of the on-going plan where the Gewogs, Dzongkhags and sectors are involved. • Next is the steps taken by Gewogs in preparation for the Five Years Plan.
  • 19.
  • 20. Agriculture, Marketing and Enterprise Promotion Programme
  • 21.  AMEPP was IFAD’s sixth project in Bhutan.  Effective from 1 July 2006 and was completed on 31 December 2012.  The project’s objective: “improve livelihoods of the rural poor in the programme area on a sustainable basis by enhancing productivity, income growth and access to economic and social services”.
  • 22.  AMEPP covered 6 dzongkhags (districts) in Eastern Bhutan − Samdrup Jongkhar, Pemagatshel, Trashigang, Mongar, Trashi Yangtse and Lhuentse (from 2006 to 2012)  One of the poorest and most isolated region in Bhutan.  Most agriculture is carried out by smallholders on less than 5 acres (2 ha) of land per household.
  • 23.
  • 24. i. Supporting capital formation in crop, livestock and niche-crop production. ii. Improving the conditions under which enterprises and income–generating activities are started and operated. iii. Enhancing access to rural financial services (especially credit). iv. Building the capacities of grass-roots organizations and developing skills through training. v. Improving the common socio-economic infrastructure, especially the road network and marketing support system.
  • 25. On-farm production Marketing & enterprise development Rural financial services Access Infrastructure Program management
  • 26.
  • 27.
  • 28. • Rated as satisfactory on the basis of programme alignment with national strategic directions. Relevance • Rated as satisfactory as the overall combination of project inputs effectiveness in raising production and reducing input and marketing costs was appropriate. Effectiveness • Rated moderately satisfactory as the infrastructure activities were not able to complete design specification in relation to recommended best practise. Efficiency
  • 29. • Rated as satisfactory as the extent of benefits across the target area was variable with some households achieving high levels of performance and others with little benefit. Household income and assets • Rated as satisfactory as few groups are still at a formative stage and there is still considerable need for further development. Human and social capital empowerment • If AMEPP hadn’t supported a shift of farming practice, food quality wouldn’t have improved and the cost of food would have been higher due to the transportation costs of importation. Hence, the rating is satisfactory. Food security and agricultural productivity
  • 30. • The result is positive but limited resources for environmental protection. The rating for natural resources and environment is moderately satisfactory. Natural resources, environment and climate change • Rated moderately satisfactory impact on institutions and policies related to programme implementation. Institutions and policies
  • 31. • Rated moderately satisfactory as there are challenges. Sustainability • Some initiatives have been scaled up, but this has been in response to ad hoc opportunities rather than a proactive and systematic programme approach. Consequently, the rating is moderately satisfactory. Innovation and scaling up • Women do seem to have benefited from the programme and mainstreaming activities. The rating for this criterion is moderately satisfactory. Gender equality and women’s empowerment
  • 32.
  • 33.  The project has been successful with the support of IFAD. ( International Fund for Agriculture Development)  The project activities were effectively help in reducing the poverty level in targeted area.  Involvement of IFAD (International Fund for Agriculture Development) has clearly contributed in the improvement of connectivity and access to services, generate more income and assets for many household and greater farm and enterprise productivity.
  • 34. Shift from production-driven to value-adding and market-led capability  The project impact on agriculture production was far-reaching across the project area, although not of a high intensity.  An increase in production  However, the capacity in the east to capitalize on potential market opportunities and add value to agriculture production is still limited.
  • 35.  A key bottleneck in building capacity in enterprise development and value chain linkages has been dependence on agriculture staff to also carry out marketing support activities.  Agriculture officers are not qualified to offer business advice or to assist with financial support.  Thus, there is need for different skills and additional expertise particularly through the Department of Marketing and Cooperative to facilitate and strengthen value chain linkage within the region and across regional and national borders.
  • 36.  Groups are still dependent on government support rather than proactively finding their own business opportunities.  However, there is limited government services and give challenge for those who are in greater need of service.  There is need to build independence and private sector service especially for farmers who are affordable to pay commercial fees.
  • 37.  Planning is really important  Forecast the future  Achieve target/goal