Around 66,000 Bhutanese—approximately 8.5 percent of the national population—now reside overseas, raising alarms over a growing exodus of educated and skilled citizens that threatens to undercut Bhutan’s socio-economic development, according to the State of the Nation Report 2025.
The report highlights that this segment of the population possesses critical skills across sectors and forms a vital part of the nation’s human capital. While the pursuit of overseas employment offers youth higher earnings, professional growth, and financial support to families back home, the large-scale departure of skilled individuals is creating acute gaps in the domestic workforce.
Bhutan’s progress under the guiding philosophy of Gross National Happiness (GNH) has led to significant improvements in access to free, quality healthcare and education. However, combined with the nation’s strong English proficiency, these advancements have also made it easier for Bhutanese youth to access global job markets—often at the expense of the country’s development.
The report warns that Bhutan, with its small and limited population, faces disproportionate risks from such outmigration. “The loss of human capital at this scale undermines our capacity to address key developmental challenges,” it states. Shortages of skilled manpower are already affecting local businesses, especially in urban hubs like Norzin Lam in Thimphu, where many enterprises are facing reduced foot traffic, loan repayment issues, and operational difficulties.
This situation is fueling a negative cycle—economic strain within the country is driving more citizens to seek employment abroad, further weakening domestic industries and public service delivery. “Should this trend persist, it will hinder economic productivity, strain public services, and slow overall progress,” the report warns.
Still, there are signs of cautious improvement. The civil service has seen a significant reduction in attrition, dropping from 16 percent in 2023 to 6.3 percent in 2024. The Royal Civil Service Commission (RCSC) has filled 8,788 vacancies, returning the sector to its pre-pandemic strength. Additionally, 573 individuals have registered with the National Reintegration Programme, with 170 returning to the country.
Despite these gains, the report notes that the root causes—primarily economic—remain largely unresolved. It calls for urgent, strategic interventions to retain talent, expand domestic job opportunities, and reinforce the country’s development efforts.
“Addressing workforce migration is a national priority,” the State of the Nation Report 2025 declares. “This is not merely an economic issue but a national duty—one that requires immediate and concerted action from every citizen. No external force will resolve these challenges for us.”
The report concludes with a call to unity and responsibility, warning that the future of Bhutan’s development lies in the collective commitment of its people to build and sustain the nation from within.
