In 13 December 2023, Bhutan will quit the club of world’s poorest countries, becoming only the seventh nation to graduate from the band of Least Developed Countries (LDC) set up by the United Nations (UN) in 1971.
“We are taking it with a lot of honour and pride. We are not nervous,” Bhutan’s Prime Minister Lotay Tshering told news agency AFP at the LDC summit that took place in Doha last week.
So, how did the Himalayan kingdom achieve this feat? And what will such a move mean for the country?
How Did Bhutan Graduate From the List?
According to local news reports, Bhutan first fulfilled the requirements for graduation eight years ago – in 2015, and then again in 2018. Bhutan was, therefore, scheduled to graduate in 2021.
However, the UN viewed Bhutan’s request to match the effective graduation date with the conclusion of the nation’s 12th national development plan in 2023 as a legitimate request, and thus, postponed the delisting.
Hydroelectric power production, forestry, and agriculture, are the primary sectors. According to the UN, the country saw a robust economic growth over the decade between 2010 and 2019 with more than 5 percent average annual GDP growth. This growth has also translated into substantial reductions in poverty.
