ISAS Briefs

Bhutan will continue to face economic difficulties in 2018. This is largely due to the impact of economic reforms in India such as the implementation of the Goods and Services Tax. However, the large scale hydroelectric power projects in Bhutan will strengthen its ongoing economic integration with India. On the foreign policy front, there will be issues, from time to time, between India and China. Bhutan will, therefore, need to perform a balancing act between its two large neighbours to ensure that its own foreign policy priorities are not compromised. That would be a tough act!