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By Sonam Choden
Prime Minister Tshering Tobgay emphasized that Bhutanโs digital transformation is guided by the countryโs development philosophy, the principles of Gross National Happiness (GNH). โOur digital transformation journey is guided by the belief that technology should uplift the well-being of our people and ensure sustainable development for future generations,โ he stated.
As part of the 13th Five-Year Plan, the government is preparing to integrate emerging technologies to provide smarter and more efficient public services. Artificial intelligence (AI) is expected to play a crucial role across key sectors.
AI holds the potential to support socio-economic development, strengthen digital infrastructure and institutional capacity, and encourage responsible, inclusive, and culturally grounded innovation. In response, Bhutan is preparing its National Artificial Intelligence Strategy (NAIS) 2025. According to the Prime Minister, โWe are developing our own national AI strategy which will guide how we apply AI to enhance well-being, reinforce our cultural identity, and foster inclusiveness.โ The strategy aims to align AI adoption with Bhutanโs unique cultural and social values, ensuring that technological progress benefits all citizens fairly.
The draft NAIS outlines a framework across eight strategic domains where AI can contribute to sustainable and inclusive national transformation. These include agriculture and livestock, to improve food security and support rural livelihoods; tourism, to enhance visitor experiences and strengthen Bhutanโs international presence; green energy, to optimize hydropower use and support sustainable data infrastructure; education, to enable personalized learning and improve administrative efficiency; health, to strengthen diagnostics and encourage healthier lifestyles; public service delivery, to simplify interactions between government and citizens; natural resources and biodiversity, to protect environmental assets; and culture and language preservation, to safeguard Bhutanโs heritage in the digital age.
Within this framework, the Prime Minister identified hydropower, agriculture, and tourism as the national priorities for AI integration. โTo strengthen our hydropower sector, we aim to build national expertise in hydropower technologies, leveraging AI to improve efficiency,โ he said. On agriculture, he added, โWe will use AI to boost productivity, improve crop planning, and help farmers with intelligent, data-based decision-making.โ In tourism, he noted that AI can support Bhutanโs high-value, low-volume tourism model. โAI can elevate the visitor experience, helping us provide more personalized and meaningful journeys for our guests,โ he said.
Ujjwal Deep Dahal, CEO of Druk Holding and Investments (DHI), stressed the importance of connecting AI deployment with Bhutanโs renewable energy strengths to promote economic growth. He referred to Bhutanโs 36 gigawatts of hydropower potential and the exploration of geothermal energy using advanced technologies. He noted that successful geothermal development, along with the production of hydrogen from surplus summer hydropower, could transform Bhutanโs energy sector. He also mentioned the role of solar energy in diversifying the countryโs renewable energy portfolio. Together, these energy sources can support the development of AI data centers in Bhutan, potentially enabling the country to advance economically in the AI era.
Despite AIโs promise, Prime Minister Tobgay raised concerns about the associated risks. He warned that, if unregulated, AI โhas the potential to pose a threat to all humanity.โ Emphasizing the need for global collaboration and strong regulatory systems, he stated, โAI needs smart rules and wise leadership, both at home and across the globe.โ He also mentioned the possibility of a โtechnopolar world,โ in which under-resourced countries like Bhutan could be excluded from decision-making around AI, leading to greater inequality, misinformation, and social instability.
At the national level, the Prime Minister listed several risks that could arise from AI adoption. These include job losses due to automation, intellectual property challenges involving AI-generated content, social inequality caused by uneven access to AI technologies, cybersecurity threats specific to AI systems, and the erosion of cultural values through externally developed tools. He also raised concerns about misinformation and the environmental impact of energy-intensive AI infrastructure. To address these challenges, Bhutanโs AI strategy includes protective measures and principles of responsible design across its focus areas and foundational enablers.
Acknowledging the complexity of managing these issues, the Prime Minister stressed the need for multilateral cooperation. โWe need partnerships, because no country can do this alone,โ he said, underlining Bhutanโs intention to work with international partners to ensure a fair and safe AI future.
GovTech reported that the NAIS was developed through extensive stakeholder consultations and is scheduled for submission to the GovTech Commission for formal approval. This initiative supports Bhutanโs broader development goals, including its ambition to achieve developed-country status within the next decade and to increase its gross domestic product tenfold by 2050. Reaching this goal will require an annual growth rate of nearly 10 percent. AI-led progress in key sectors such as hydropower, agriculture, and tourism is considered essential to this transformation, with the potential to improve productivity, enhance public service delivery, and elevate Bhutanโs position in the international economy.
As Bhutan continues along its digital journey, the NAIS 2025 represents a strategic and thoughtful effort to integrate artificial intelligence into a development model centered on people and values. By combining technological progress with GNH principles, environmental responsibility, cultural preservation, and good governance, Bhutan seeks to establish itself as a responsible and ethical participant in the global AI landscape.