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 Rural poverty approaches, policies and strategies in Bhutan

In the framework of the political, economic and administrative reforms that are accompanying the country as it emerges from isolation, the Kingdom of Bhutan has developed a national strategy to reduce poverty. Bhutan's underlying philosophy of Gross National Happiness guides development, emphasizing the need for a balance between material well-being and the spiritual, emotional and cultural well-being of the individual and society. The government defines the country's long-term vision of development in a document entitled Bhutan 2020 — Vision for Peace, Prosperity and Happiness.

In five-year development plans, Bhutan translates its long-term vision into concrete policies, strategies and programmes. The current strategy is set out in the Ninth Plan 2002-2007, which addresses the high rate of population growth and the need to promote rural development. It gives high priority to developing infrastructure and improving the quality of social services. The objective is to reduce poverty in a sustainable manner through rapid and equitable economic growth and balanced regional development. Because such a large part of the population depends on agriculture, the strategy focuses on:

• improving productivity by encouraging adoption of modern farming and animal husbandry techniques
• expanding irrigation systems
• encouraging diversification into high-value, low-bulk crops and products
• increasing access to credit
• building and improving farm and feeder roads and market infrastructure
• fostering an enabling policy and legal framework

Government's Poverty Reduction Strategy

Source: IFAD