Bhutan Development Update, August 2020
Bhutan’s economy has been severely affected by Coronavirus 2019 (COVID-19) and the subsequent border closure to contain a domestic outbreak of the pandemic. In this context, economic growth is estimated to have decelerated from 3.8 percent in FY201...
| Main Author: | |
|---|---|
| Format: | Report |
| Language: | English |
| Published: |
World Bank, Washington, DC
2020
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/156861602223418430/Bhutan-Development-Update-Pathways-to-Enhancing-Sustainable-Forest-Management-and-Equitable-Socio-Economic-Development-in-Bhutan http://hdl.handle.net/10986/34603 |
| Summary: | Bhutan’s economy has been severely
affected by Coronavirus 2019 (COVID-19) and the subsequent
border closure to contain a domestic outbreak of the
pandemic. In this context, economic growth is estimated to
have decelerated from 3.8 percent in FY2018-19 to 1.5
percent in FY2019-20. Exports and imports have decreased
significantly, in line with weak foreign and domestic demand
and disruptions to trade. The government outlined a
comprehensive national response to COVID-19 to protect
vulnerable households and minimize the impact on employment,
growth, and financial stability. Health measures are aimed
at containing the pandemic and strengthening healthcare
system resilience. The recovery of manufacturing and other
exporting industries is likely to be gradual, because of the
slowdown in India, Bhutan’s main export market. Similarly,
the construction sector is expected to recover slowly
reflecting a limited pipeline of public sector
infrastructure projects. |
|---|