With inflation at 3.8% and expected to hit 5.8% by December, many low-income families in Bhutan earning below Nu. 300,000 are struggling as food, fuel, and transport costs rise. While tax cuts were introduced, they bring no relief to those already exempt from income tax. Economist Dr. Pema Dorji attributes the inflation mainly to global cost-push factors such as higher import and fuel prices. However, he notes Bhutan’s economy remains stable, supported by 7.5% growth and strong hydropower revenues that allow the government to aid poorer households. Though inflation pressures persist, income inequality has decreased since 2005 due to growth in rural incomes and investment in agriculture. Still, challenges remain for low-income families as the nation balances economic growth with affordability and fairness.

Abba Father, we pray for families in Bhutan struggling with rising costs. Provide for their daily needs, strengthen their faith, and remind them that You are their unfailing source of provision. Amen (The Holy Bible, Psalm 69:33).

Lord, bless every hardworking person in Bhutan. Let wages rise fairly with living costs, and open new opportunities for growth so every family may live with dignity and peace. Amen (The Holy Bible, 1 Timothy 5:18).

News Source : Bhutan Today

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