Bhutan: public finances

What is Bhutan's national budget for 2026-27?

Bhutan's budget for the 2026-27 financial year sets total expenditure at Nu 135,564.8 million, of which Nu 63,028.5 million is current and Nu 72,536.3 million capital spending, according to the Ministry of Finance's National Budget Report 2026-27. The fiscal deficit is projected at Nu 25,284.3 million, or 6.5% of GDP, up from 2.5% in the revised 2025-26 budget.

The report says 42.3% of capital spending will be financed by grants from development partners and 34.9% by borrowing. The rise reflects full implementation of the 13th Five Year Plan. Deficits are projected to fall to 3.5% of GDP in 2027-28.

Official sources: Ministry of Finance: National Budget Report 2026-27 (PDF)

How much debt does Bhutan have?

Bhutan's public debt was Nu 306,323.2 million at the end of March 2026, equal to 90.6% of estimated GDP, according to the Ministry of Finance's National Budget Report 2026-27. External debt was Nu 285,225.2 million and domestic debt Nu 21,098.1 million. The report says most external debt is for hydropower projects.

The ministry also reports non-hydro government debt separately. Its Debt Situation Report for 31 December 2025 put central government (non-hydro budgetary) debt at Nu 108,229.4 million, 31.1% of GDP.

Official sources: Ministry of Finance: National Budget Report 2026-27 (PDF) · Ministry of Finance: Debt Situation Report, 31 December 2025 (PDF)

What is Bhutan's debt to GDP ratio?

The IMF puts general government gross debt in Bhutan at 102.6% of GDP in 2025. Since 2005 it has ranged from 55.8% of GDP (2010) to 124.5% of GDP (2021). It is 2nd highest of 6 in South Asia, where the median is 90.5% of GDP. World rank, highest first: 18th of 185.

What is Bhutan's fiscal deficit?

In 2025, general government net lending or borrowing in Bhutan was -2.7% of GDP, according to the IMF (a deficit). Since 2005 it has ranged from -7.0% of GDP (2005) to 2.5% of GDP (2014). South Asia median: -2.9% of GDP; Bhutan is 3rd highest of 6. Worldwide: 94th of 188.

What is Bhutan's government revenue?

The IMF puts general government revenue in Bhutan at 27.5% of GDP in 2025. The peak was 43.5% of GDP in 2010 and the low 22.8% of GDP in 2019. It is 2nd highest of 6 in South Asia, where the median is 20.3% of GDP. Of 187 countries with 2025 data, 90th highest.

How much does Bhutan's government spend?

In 2025, general government spending in Bhutan was 30.2% of GDP, according to the IMF. The peak was 41.5% of GDP in 2010 and the low 24.2% of GDP in 2019. South Asia median: 24.9% of GDP; Bhutan is 2nd highest of 6. World rank, highest first: 96th of 186.

What is tax revenue in Bhutan?

According to the IMF, central government tax revenue in Bhutan was 12.3% of GDP in 2020. The peak was 15.8% of GDP in 2018 and the low 7.2% of GDP in 2007. South Asia median: 12.3% of GDP; Bhutan is 3rd highest of 5. World rank, highest first: 98th of 136.