ESP Secretariat

25/06/2026

Today, the fifth tranche of Nu/INR 2.5 billion (250 crores) for the Economic Stimulus Programme (ESP) was handed over by the Ambassador of India to Bhutan, to the Hon’ble Minister for Foreign Affairs and External Trade, Royal Government of Bhutan
(RGoB). So far, India has released Nu/INR 12.50 billion (1,250 crores) to the RGoB as part of Government of India’s commitment of Nu/INR 15 billion (1,500 crores) towards the ESP under the 13th Five Year Plan (2024-209).

At the handover ceremony, Hon’ble Foreign Minister conveyed gratitude to the Government of India for its support to the ESP, noting its positive impact on farmers, students and youth, Desuups, small and medium enterprises, start-ups, creative industry, hospitality and tourism sectors. Hon’ble Foreign Minister also thanked the Government of India for concurring with RGoB's proposal to allocate Nu/INR 2.50 billion from ESP for the ‘National Fuel Price Smoothening Framework’ which has served in
stabilizing the inflationary pressure on our economy due to global fuel crisis. TheAmbassador of India to Bhutan observed that India has been efficiently fulfilling its development commitments to Bhutan and disbursing funds under the 13th Five Year Plan in a timely manner for Project Assistance, ESP, High Impact Community Development Projects and Programme Grant.

During the event, the Ambassador of India to Bhutan also handed over cheques amounting to Nu/INR 464 million (46.4 crores) for the following projects:

I. Professional Development and Immersion Programmes for Teachers, Counsellors and Education Leaders: Nu/INR 337 million (33.7 crores) towards improvement of quality of school education in Bhutan.

II. Digital Skilling Programme: Nu/INR 67.4 million (6.74 crores) to support Digital Drukyul by creating digitally literate citizens through basic and intermediate digital literacy training programmes. Under this programme, around 1,00,00 citizens across all Gewogs will be trained through GovTech.

III. Recruitment of STEM Teachers serving in Bhutanese schools: Nu/INR 59.7 million
(5.97 crores).

Development cooperation is a significant element of special and unique friendship between Bhutan and India and our peoples. Out of Government of India’s committed support of Nu/INR 100 billion (10,000 crores) for Bhutan’s 13thFive Year Plan period
(2024-2029), covering Project Assistance, High Impact Community Development Projects, Economic Stimulus Programme and budgetary support to Bhutan in the form of Programme Grant, funds amounting to about Nu/INR 34 billion (3,400 crores) have been released by India before completion of the first two years of Plan period.Government Of IndiaIndia in Bhutan (Embassy of India, Thimphu)Prime Minister's Office - PMO, Bhutan

04/06/2026

Clarification on ESP Education Loan

The Royal Government wishes to inform all students, parents, and the general public that the Bank of Bhutan (BoB) will reopen the ESP Education Loan application window. The window will remain open until 30 June 2026 as originally announced.

The Education Loan Scheme is an important initiative of the Royal Government under the Economic Stimulus Program (ESP), aimed at expanding access to higher education and opportunities for Bhutanese youth. The Government would also like to reassure the public that all applications received within the stipulated timeline will be carefully assessed and prioritized based on genuine need, eligibility, and merit criteria.

The Government remains fully committed to providing the necessary support and funding arrangements to ensure the successful implementation and sustainability of the Education Loan Scheme.

18/03/2026

28/01/2026

Application window for ESP Education Loan Scheme for the 2026 spring intake is now open. Eligible applicants to submit their applications on or before 28th February, 2026.
Bank of Bhutan

01/01/2026

26/12/2025

A Startup Pavilion, under Startup Centre was inaugurated jointly by Honorable MoICE Lyonpo and DCM.
The project was funded through Economic Stimulus Programme (ESP).
Bhutan Today, Ministry of Industry, Commerce and Employment, Royal Government of Bhutan, India in Bhutan (Embassy of India, Thimphu)

23/12/2025

IMMEDIATE FOLLOW UP ACTIONS ON FINDINGS OF ACC INVESTIGATION ON ESP LOANS

THIMPHU, 22nd December 2025: The Economic Stimulus Programme (ESP) Steering Committee received a letter from the Anti-Corruption Commission (ACC) on 19th December 2025 conveying the findings pertaining to the investigation on ESP loans and actions to be taken by the Committee.
The Steering Committee convened a special meeting on 22nd December 2025 to deliberate on the findings to ensure immediate implementation of the ACC’s recommendations. The Committee noted the following key conclusions from the investigation:

●No Corruption Established: The investigation “has not established any elements of corruption” in the implementation of ESP loans for the four medium industry projects;

●Clearance of Specific Project: The investigation has “determined that no further action is necessary at this stage” for one project; and,

●Procedural Deviations: The investigation revealed “procedural lapses in the three projects” by the Participating Financial Institutions (PFIs) in the approval and implementation of the loans in three medium industry projects.

In accordance with the ACC’s findings and the existing administrative framework between the Government and the Central Bank, the Steering Committee has initiated the following actions:

●The Royal Monetary Authority (RMA) has been directed to immediately recover or cancel loans sanctioned for the three projects identified by the ACC;

●The RMA is tasked with conducting on-site inspections of all approved ESP loans. This measure aims to strengthen oversight and ensure rigorous monitoring mechanisms of loan disbursements;

●The ESP Secretariat will coordinate with the RMA and submit an Action Taken Report by 15th January 2026 for onward submission to the ACC; and,

●The Committee will reconvene next week to assess the progress and determine if further actions are necessary.
The ESP Steering Committee reaffirms its commitment to transparency, institutional accountability, and the prudent management of public funds to ensure they serve their intended purposes.

ESP STEERING COMMITTEE