The Finance Minister presents the Budget for FY 2025–26 to the National Assembly
In accordance with Article 14(3) of the Constitution of the Kingdom of Bhutan and Section 12 of the Public Finance (Amendment) Act of Bhutan 2012, the Finance Minister presented the Annual Budget for FY 2025–26 to the National Assembly today.
Framed under the theme “Accelerating Prosperity and Social Transformation through Enterprise, Innovation, and Efficiency,” the budget focuses on capital investment and prioritizes social sectors, infrastructure, and human capital development. Significant allocations have also been made to support Local Governments and constitutional bodies.
The total proposed appropriation stands at Nu. 138,500.7 million, covering recurrent and capital expenditures, including debt servicing obligations. The budget also introduces performance-based grants for Gewogs, with 30% of capital funds linked to results achieved in the previous fiscal year—aiming to promote accountable and efficient local governance.
With a broadly positive economic outlook driven by new hydropower projects and the Economic Stimulus Program, the budget emphasizes prudent fiscal management and long-term sustainability.
In addition, a Supplementary Budget Appropriation Bill for FY 2024–25 was also introduced, proposing an additional Nu. 1.59 billion in funding, primarily for donor-supported activities. The revised budget for the current fiscal year now stands at Nu. 99.2 billion.
Both Bills have been referred to the Economic and Finance Committee, which will present its report to the House on 16 June 2025 for further deliberation.
