The Minister for Finance, Lyonpo Namgay Tshering, presented the follow-up reports on the five resolutions and the Minister for Infrastructure and Transport, Lyonpo Dorji Tshering on a resolution of the 9th session today. 

Regarding the resolution to review the non-performing State-Owned Enterprises (SOE), the MoF reported that the Government adopted various cost-saving measures such as regular review and business remodeling, mergers and acquisition of existing SOEs, the amalgamation of National CSI Development Bank Limited (NCSIDBL) with the Bhutan Development Bank Limited (BDBL) to strengthen the lending capacity of BDBL to save corporate governance and management associated costs. He also reported that the MoF is considering privatization of the non-strategic SOEs through privatization and Public-Private Partnerships (PPP).

Pertaining to the resolution to improve the incentive packages and other viable strategies to improve tourism, three SDF incentives were introduced to attract tourists for longer duration along with the 50% reduction on the SDF which will be in effect until September, 2027. In an effort to increase tourism, the Government implemented a ‘24-hour SDF waiver’ for visitors in the border towns, reduced the entry fee for monument visits and also lifted the entry restrictions. It was stated that the Government is also exploring the possibility of lowering the airfare for the tourists. 

To reinstate credit access for those economic activities without adverse implication on the reserve, the Government has initiated reinstating access to credit to the agriculture sector to enhance local production capacity and ultimately to achieve the national objective of food self-sufficiency which has been included in the draft 13th Five Year Plan. The amalgamation of NCSIDBL and BDBL is also expected to enhance credit to the economic activities that do not generate adverse implication on the reserves.

The Minister reported that the National Statistical Bureau has been directed to evolve the calculation of the inflation to reflect the Bhutanese economy with regard to the method of calculating inflation.  

On the resolution to work closely with the Royal Monetary Authority to avert possible violations and any other economic risks arising from rapid depletion of foreign reserves, to preserve the foreign currency reserves, it was reported that the Government has imposed a moratorium on the import of non-essential vehicles with an exception for utility vehicles for tourism to ensure minimal adverse impact on the moratorium to the economy. A 10% incentive for every convertible currency remitted to Bhutan was also initiated to enhance the international foreign currency. 

The Minister for MoIT reported that in response to the resolution concerning the requirement of structural drawings for construction of one-storied houses in rural areas, and provision of drawings free of cost for the construction of multistoried buildings, the Bhutan Building Regulation was reviewed and the procedure for acquiring permit from relevant authorities were made easy. The Minister also reported that consultation with the officials from Dzongkhag Administration is underway to standardize one-storied buildings. In an effort to offer a variety of structural drawings, study of structural designs on the field is under process. 

The follow-up reports on the resolutions of the past session to the House is a part of the oversight function of the Parliament ensuring accountability and responsibility.