Commitment to Equity Analysis · Bhutan

Fiscal Policy Reference Dashboard

CEQ 2017 → 2022 Update
🇧🇹 Bhutan
2017 – 2022

Education Spending — 2017

The education system in Bhutan consists of general education, monastic education and non-formal education. The CEQ analysis only considers general education as it represents the formal education system and accounts for an overwhelming majority of government education spending. General education spans all stages of education from early childhood care education to tertiary/technical/vocational education. Most schools in Bhutan are public and provide everything free of charge, from textbooks to boarding facilities. In FY2016-2017, 5.9 percent of GDP was spent on education (0.9 percent of GDP on tertiary education).10 While public education is provided for free, students are encouraged to share a small portion of cost based on their financial ability.

10 For example, students in primary schools are required to pay Nu. 30 per annum, students in secondary schools pay Nu. 100–200 per annum, and students living in urban areas arrange their own stationery. According to the Bhutan Living Standards Survey 2017, the average out-of-pocket spending is Nu. 5,259 at the primary level, Nu. 5,708 at the middle secondary level and Nu. 23,879 at the higher secondary level. There are significant disparities in out-of-pocket spending between urban and rural areas.
Source: Bhutan CEQ 2017

Education Spending — 2022

Socio-Economic Indicators — Annual Education Statistics 2022 (Table E)

IndicatorValueData Year
National Literacy Rate (6 yrs+)71.4%2017
General Literacy Rate (Male)78.1%2017
General Literacy Rate (Female)63.9%2017
Adult Literacy Rate (15 yrs+)66.6%2017
Adult Literacy Rate (Male)75.0%2017
Adult Literacy Rate (Female)57.1%2017
Youth Literacy Rate (15–24 yrs)93.3%2017
Youth Literacy Rate (Male)93.1%2017
Youth Literacy Rate (Female)93.0%2017
Life Expectancy at Birth72.2 Yrs.2021
Children <5 yrs stunted21.2%2015
Children <5 yrs wasting4.3%2015
Under-5 Mortality Rate28.52019
Education exp. as % of govt. expenditure14.30%FY2021/22
Education exp. as % of GDP5.55%FY2021/22

Chapter 12: Budget and Expenditure — CEQ 2022

The Bhutanese education system is built upon the concept of free services from primary to tertiary level. Students are not only given free tuition but also provided with textbooks, sports-items and learning materials as well as stationery and boarding facilities and food based on need. At the same time, cost-sharing is also encouraged amongst those populations that are in a position to contribute to their children's education. Accordingly, students studying in the urban areas arrange their own stationery.

In general, all students are required to contribute to the School Development Fund at the following rates:

  • Primary Schools (PP-VI): Nu 30/- per student per annum
  • Lower Secondary Schools (VII-VIII): Nu 100/- per student per annum
  • Middle and Higher Secondary Schools (IX-XII): Nu 200/- per student per annum

Annual Budget & Expenditure by Department — Table 12.2 (FY2021-22)

Department Budget Expenditure
CurrentCapitalTotal CurrentCapitalTotal
Secretariat52.24162.024114.26550.77248.01898.791
Dept. of Adult and Higher Education20.910321.304342.21419.923305.605325.528
Dept. of School Education742.2871,762.5432,504.83488.2251,273.0621,761.287
Dept. of Youth and Sports34.26529.98664.25131.81824.82556.643
Dept. of School Curriculum and Professional Dev.35.99653.26489.2635.31837.41072.728
Total885.6992,229.1213,114.82626.0571,688.9212,314.979