AGP Executive Report
Last update: an hour agoSolar Power Push: ADB approved a US$160m loan for Bhutan’s Solar Farm Expansion Project, adding at least 310MW via Wobthang (120MW) and Pedseling (40MW) plus Dramthang (150MW) through Bhutan’s first private-majority energy PPP, with BPC building 46km of transmission to cut winter electricity imports. Climate & Water Risks: Bhutan recorded its warmest year in 2025, with new NCHM assessments showing rising temperatures, shrinking glaciers and more erratic rainfall—raising risks for water, agriculture and disaster preparedness. Glacier Retreat: Bhutan’s Glacier Inventory 2026 reports 27 glaciers lost and nearly 10% glacier area shrinking over nine years, underscoring accelerating impacts on mountain ecosystems. Disaster Procurement: The Ministry of Finance introduced an Emergency Logistics Preparedness Procurement Manual 2026 to speed up relief buying with advance planning, framework contracts and pre-identified suppliers. Food Affordability: Egg prices in Bhutan stayed among the highest in South Asia, with retail prices rising to about Nu 548 per tray in June, squeezing household budgets. Energy Shock on Growth: ADB revised Bhutan’s 2026 growth forecast down to 6.5% as higher fuel costs and supply disruptions slow transport and private construction. Industry Shift: Bhutan’s Industry Statistics 2025–2026 point to faster cottage-industry growth and rising manufacturing, hinting at gradual value-add diversification beyond services. Tourism Sustainability: DoT urged hotels to adopt the Bhutan Green Hotel Standard to strengthen high-value, low-volume tourism with documented green practices. Transport Costs: Taxi operators asked for a fare revision as fuel price increases hit earnings, with the proposal now with Cabinet.
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