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Eleventh Five Year Plan - Main Document Volume I

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Eleventh Five Year Plan - Main Document Volume I Eleventh Five Year Plan - Main Document Volume I ELEVENTH FIVE YEAR PLAN 1st July 2013 – 30th June 2018 MAIN DOCUMENT – VOLUME 1 Gross National Happiness Commission, Royal Government of Bhutan 1 Eleventh Five Year Plan - Main Document Volume I Eleventh Five Year Plan Document © Copyright Gross National Happiness Commission (2013) Published by: Gross National Happiness Commission, Royal Government of Bhutan. ISBN 978-99936-55-01-5 2 Eleventh Five Year Plan - Main Document Volume I HIS MAJESTY THE KING JIGME KHESAR NAMGYEL WANGCHUCK 3 Eleventh Five Year Plan - Main Document Volume I 4 Eleventh Five Year Plan - Main Document Volume I Our Nation has seen great socio-economic growth but it is more important that we have growth with equity. We must raise, with all our effort, the less fortunate so that they may, at the earliest, begin to partake in the opportunities brought by modernization and progress. The government has provided education to our youth. But for the nation to prosper for all time, a sound education must be succeeded by access to the right jobs and responsibilities, so that our youth may bloom as individuals and at the same time serve their Nation well. The recent Rupee shortage is a serious problem. I feel it is a reminder that, as a Nation, we must exercise our traditional sense of caution and work even harder as we address the challenges of the time. For no matter what challenges lie ahead, it is only the Bhutanese citizen who can protect and safeguard Bhutan. - His Majesty The King’s address to the nation during the 105th National Day celebrations, 17th December 2012, in Thimphu. 5 Eleventh Five Year Plan - Main Document Volume I 6 Eleventh Five Year Plan - Main Document Volume I དཔལ་辡ན་འ宲ུ་ུག筴་⼍ Royal Government of Bhutan PRIME MINISTER 7 Eleventh Five Year Plan - Main Document Volume I དཔལ་辡ན་འ宲ུ་ུག筴་⼍ Royal Government of Bhutan PRIME MINISTER 8 Eleventh Five Year Plan - Main Document Volume I དཔལ་辡ན་འ宲ུ་ུག筴་⼍ Royal Government of Bhutan PRIME MINISTER 9 Eleventh Five Year Plan - Main Document Volume I 10 Eleventh Five Year Plan - Main Document Volume I TABLE OF CONTENTS ACRONYMS...........................................................................................................xix GLOSSARY...............................................................................................................xx EXECUTIVE SUMMARY..............................................................................................1 1. BACKGROUND ......................................................................................27 1.1 Introduction..........................................................................................29 1.2 Development Planning Framework.......................................................29 1.2.1 Result Based Planning...........................................................................30 1.2.2 Plan Preparation...................................................................................31 1.3 Operationalizing Gross National Happiness...........................................32 1.3.1 GNH Index.............................................................................................32 1.3.2 GNH Policy Screening............................................................................35 1.4 Key Development Milestones................................................................36 1.4.1 Bhutan 2020 - A Vision for Peace, Prosperity and Happiness.............36 1.4.2 Economic Development Policy 2010 (EDP 2010)................................40 1.4.3 Least Developed Country (LDCs) Status..............................................43 2 CURRENT SITUATION.............................................................................47 2.1 Population............................................................................................49 2.1.1 Population and Distribution.................................................................49 2.1.2 Growth Rate........................................................................................50 2.1.3 Age Structure and Sex Composition....................................................51 2.1.4 Differently abled Persons.....................................................................51 2.1.5 Migration.............................................................................................52 2.1.6 Population Projections – 2020, 2030 and 2050...................................52 2.2 Sustainable and Equitable Socio-economic Development.....................55 2.2.1 Poverty................................................................................................55 2.2.2 Multi-dimensional Poverty..................................................................58 2.2.3 Income Poverty, Multi-dimensional Poverty and GNH Index..............59 2.2.4 Millennium Development Goals..........................................................59 2.3 Preservation and Promotion of Culture................................................61 2.3.1 Cultural Heritage and Tradition...........................................................62 2.3.2 Culture and Livelihood........................................................................63 2.4 Conservation and Sustainable Utilization and Management of Environment....................................................................................64 2.5 Promotion of Good Governance...........................................................66 2.5.1 Democracy and Governance...............................................................66 2.5.2 Public Service Management................................................................67 2.5.3 Transparency, Accountability and Control of Corruption....................69 xi Eleventh Five Year Plan - Main Document Volume I 2.5.4 Media..................................................................................................70 2.5.5 Women’s Empowerment and Gender Equality...................................71 2.5.6 Promotion and Protection of Child Rights...........................................73 2.5.7 Civil Society Organizations (CSO)........................................................75 2.5.8 Mainstreaming of Cross-Cutting Issues...............................................76 3 MACRO-ECONOMIC SITUATION AND OUTLOOK....................................77 3.1 Macro-Economic Situation...................................................................79 3.1.1 Real Sector...........................................................................................80 3.1.2 External Sector....................................................................................85 3.1.3 Monetary Sector..................................................................................87 3.1.4 Fiscal Sector.........................................................................................91 3.2 Macro-economic outlook.....................................................................96 3.2.1 Real Sector Outlook.............................................................................96 3.2.2 External Sector Outlook......................................................................97 3.2.3 Fiscal Outlook (without hydropower debt servicing)........................101 3.2.4 Fiscal Sector Outlook (with hydropower debt servicing)..................106 3.2.5 Public Debt Stock..............................................................................107 4 ELEVENTH PLAN.................................................................................109 4.1 Eleventh Plan Objective......................................................................111 4.2 National Key Result Areas (NKRAs)/Key Performance Indicators (KPIs).................................................................................111 4.2.1 Sustainable and equitable socio-economic development................112 4.2.2 Preservation and promotion of culture............................................116 4.2.3 Conservation and sustainable utilization of environment................117 4.2.4 Good Governance.............................................................................119 4.3 Sector and Dzongkhag Key Result Areas (SKRAs/DKRAs)/Key Performance Indicators (KPIs)............................................................122 4.4 Strategic Thrust Areas........................................................................123 4.4.1 Inclusive Social Development...........................................................123 4.4.2 Green Accelerated Economic Development.....................................125 4.4.3 Strategic Infrastructure Development..............................................128 4.5 Monitoring and Evaluation.................................................................130 4.5.1 Integrated Planning and Monitoring System....................................130 4.5.2 Mid-Term Review..............................................................................132 4.5.3 Round Table Meeting........................................................................132 5. CENTRAL PLANS.................................................................................133 5.1 Education Sector.................................................................................135 5.1.1 Current Situation..............................................................................137 xii Eleventh Five Year Plan - Main Document Volume I 5.1.2 Key Challenges..................................................................................138 5.1.3 Sector Key Result Areas....................................................................143
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