All the tools and resources you need to export your goods across the world

Following Britain’s victory in the 1865 Duar War, Britain and Bhutan signed the Treaty of Sinchulu, under which Bhutan would receive an annual subsidy in exchange for ceding land to British India. Ugyen WANGCHUCK - who had served as the de facto ruler of an increasingly unified Bhutan and had improved relations with the British toward the end of the 19th century - was named king in 1907. Three years later, a treaty was signed whereby the British agreed not to interfere in Bhutanese internal affairs, and Bhutan allowed Britain to direct its foreign affairs. Bhutan negotiated a similar arrangement with independent India after 1947. Two years later, a formal Indo-Bhutanese accord returned to Bhutan a small piece of the territory annexed by the British, formalized the annual subsidies the country received, and defined India's responsibilities in defense and foreign relations. Under a succession of modernizing monarchs beginning in the 1950s, Bhutan joined the UN in 1971 and slowly continued its engagement beyond its borders.


Southern Asia, between China and India

Natural Resources

timber, hydropower, gypsum, calcium carbonate

Population - distribution

Sharchhopka 28%, Dzongkha (official) 24%, Lhotshamkha 22%, other 26% (includes foreign languages) (2005 est.)
THIMPHU (capital) 152,000 (2014)
Conventional long form
Kingdom of Bhutan
Conventional short form
Local long form
Druk Gyalkhap
Local short form
Druk Yul
constitutional monarchy
Geographic coordinates
27 28 N, 89 38 E
Time difference
UTC+6 (11 hours ahead of Washington, DC, during Standard Time)
has not submitted an ICJ jurisdiction declaration; non-party state to the ICCt
Bhutan's small economy is based largely on hydropower, agriculture, and forestry, which provide the main livelihood for more than half of the population. Because rugged mountains dominate the terrain and make the building of roads and other infrastructure difficult and expensive, industrial production is primarily of the cottage industry type. The economy is closely aligned with India's through strong trade and monetary links and is dependent on India for financial assistance and migrant laborers for development projects, especially for road construction. Bhutan inked a pact in December 2014 to expand duty-free trade with Bangladesh.
External debt stocks
US$ 1,955,674,000
Total tax rate (% of commercial profits)
Real Interest Rate
Manufacturing, value added (% of GDP)
Current Account Balance
US$ -619,688,809
Labor Force, Total
Employment in Agriculture
Employment in Industry
Employment in Services
Unemployment Rate
Imports of goods and services
US$ 1,166,083,193
Exports of goods and services
US$ 657,810,889
Total Merchandise Trade
FDI, net inflows
US$ 8,075,838
Commercial Service Exports
US$ 142,217,214
rice, corn, root crops, citrus; dairy products, eggs
cement, wood products, processed fruits, alcoholic beverages, calcium carbide, tourism
electricity (to India), ferrosilicon, cement, cardamom, calcium carbide, steel rods/bars, dolomite, gypsum
India 90.3%, Bangladesh 5.2% (2015 est.)
fuel and lubricants, airplanes, machinery and parts, rice, motor vehicles
India 78.6%, France 5.02% (2015 est.)
Country Risk Rating
Business Climate Rating

Our site saves small pieces of text information (cookies) on your device in order to deliver better content and for statistical purposes. By browsing our website you grant us permission to store that information on your device. For more information check our Terms and Conditions.