Bhutan’s economy is based mainly on agriculture and forestry which provide livelihood for 80 % of the population and account for about 40 % of GDP. Selling hydroelectric power to India is a major source of revenue, and the Chukha hydroelectric power corporation supplies electricity to states in northern India.
Bhutan’s hydro power potential and its tourist appeal are its key resources. The Bhutanese government has made some progress in expanding the country’s productive base and improving social welfare. Model educational, social and environment programmes are under way in Bhutan with support from multilateral development organizations.
Bhutan’s manufacturing sector small, and the economy is dependent on imports.
There is no ongoing UNIDO programme in Bhutan, but UNIDO has been invited to join the UN Country Team in a project on its cultural industries.