Location: Ngabiphu,
Above Dumra Homes, Below RTC
Thimphu, Bhutan, 11001
Phone: +97577961648
Email: office@basnetl.com
Alt: basnet@basnetl.com
Contact Basnet Attorneys
Contact Basnet Attorneys
Location: Ngabiphu,
Above Dumra Homes, Below RTC
Thimphu, Bhutan, 11001
Phone: +97577961648
Email: office@basnetl.com
Alt: basnet@basnetl.com
Location: Ngabiphu,
Above Dumra Homes, Below RTC
Thimphu, Bhutan, 11001
Phone: +97577961648
Email: office@basnetl.com
Alt: basnet@basnetl.com
Basnet Attorneys & Law provides clear, practical, and reliable legal services to foreign investors establishing and growing businesses in Bhutan. Our team has extensive experience advising clients from around the world on investments across all sectors permitted under Bhutan’s Foreign Direct Investment (FDI) Policy.
Bhutan’s regulatory environment is unique. Success requires compliance, patience, and precise legal guidance. We help clients avoid common mistakes, secure the necessary approvals, and protect their investments from day one, ensuring a strong foundation for sustainable growth.
Nestled between two economic giants—India and China—Bhutan offers international investors a unique gateway to markets with nearly 3 billion consumers. With political stability, transparent regulations, and a strong commitment to sustainable development, Basnet Attorneys & Law guides your investment through incorporation, approvals, and compliance, ensuring it is secure, well-positioned, and ready to grow from day one.
Pro-Investment Policy Framework: Clear regulations with up to 100% foreign ownership allowed in priority sectors
Streamlined Processes: Dedicated Invest Bhutan Division providing single-window services for investors
Investment Protection: Legal safeguards against nationalization and expropriation
Capital & Profit Repatriation: Freedom to repatriate investments and dividends in unresticted convertible currencies
Intellectual Property Protection: Comprehensive IP rights protection under international conventions
Skilled Workforce: Young, English-speaking population with government support for skills development
Preferential Market Access: Duty-free access to India and other key markets
Bhutan's development philosophy of Gross National Happiness balances economic progress with environmental conservation and cultural preservation. Invest in the world's only carbon-negative country and align your business with global sustainability goals while enjoying government support and incentives.
Explore key sectors and investment conditions as per the latest regulations.
| Sector | Minimum Project Cost | Maximum Foreign Equity | Special Conditions | Activities |
|---|---|---|---|---|
| Priority Manufacturing Sectors | ||||
| Agriculture and Animal Husbandry (Production and Processing) | Nu. 20 million | 100% | - | Floriculture, Horticulture, Animal Husbandry (including piggery, poultry, dairy), Aquaculture, Apiculture, Production of seeds |
| Fruit, Vegetable and Food Processing | Nu. 10 million | 74% | - | - |
| Plantation Crop | Nu. 20 million | 100% | - | - |
| Wood Based-Forest Production | Nu. 35 million | 74% | - | - |
| Non-wood Based Forest Production | Nu. 10 million | 74% | - | - |
| Renewable Energy | Nu. 20 million | As per sector Policy | - | Solar and Wind Energy, Other Renewable Energy |
| Manufacturing Sector | Nu. 40 million | 74% | - | Water based Production, Animal Feed, Bio-Fertilizer and Bio Pesticides, Pharmaceutical, Cosmeceutical & Nutraceutical Products, Mineral beneficiation and Processing beyond crushing or powdering, Electronics, Electricals, Building Materials, Solar Thermal Systems, Solar PV manufacturing |
| Priority Service Sectors | ||||
| Education (Primary Education, Secondary Education, Tertiary Education) | Nu. 200 million | 74% | - | - |
| Technical and Vocational Education | Nu. 30 million | 74% | - | - |
| Health (Multispecialty Hospital Services) | Nu. 400 million | 100% | - | - |
| Health (Specialized Healthcare services including laboratory services and diagnostic services) | Nu. 100 million | 100% | - | - |
| Health (Specialized Dental Services) | Nu. 25 million | 100% | - | - |
| Health (Specialized Traditional Medical Services) | Nu. 30 million | 74% | - | - |
| Hotels/Resorts (Five Star Hotel & Above) | Nu. 200 million | 100% | - | - |
| Hotels/Resorts (Four Star Hotel) | Nu. 50 million | 74% | - | - |
| Hotels/Resorts (Wellness Centre) | Nu. 30 million | 74% | - | - |
| Air Transport Services (Aeroplane/Helicopter Operations) | Nu. 200 million | 100% | - | - |
| Air Transport Services (Gliders/Para glider/Balloon Operations) | Nu. 50 million | 100% | - | - |
| Air Transport Services (Maintenance, Repair & Overhaul Organizations) | Nu. 100 million | 100% | - | - |
| Air Transport Services (Training Organization) | Nu. 100 million | 100% | - | - |
| Infrastructure (Sports and recreation facilities) | Nu. 30 million | 74% | - | - |
| Infrastructure (IT Park, Industrial Park, Airport Infrastructure, township and regional level infrastructure Development) | Nu. 200 million | 100% | - | - |
| IT/IT Enabled Services (Inside IT Park) | NA | 100% | - | - |
| IT/IT Enabled Services (Outside IT Park) | Nu. 3 million | 100% | - | - |
| Construction Services | Nu. 50 million | 74% | - | - |
| Waste Management (Recycling of domestic waste) | Nu. 25 million | 74% | - | - |
| Waste Management (Waste management services) | NA | NA | - | - |
| Financial Services (Direct Insurance Business as a composite insurance (Both life and non-life insurance)) | As per Financial Service Act/Rules & Regulations | 49% | - | - |
| Financial Services (Cross-border electronic payments and money transmission services) | As per Financial Service Act/Rules & Regulations | 74% | - | - |
| Financial Services (Credit Rating Agency) | As per Financial Service Act/Rules & Regulations | 100% | - | - |
| Financial Services (Venture Capital Fund for startups) | As per Financial Service Act/Rules & Regulations | NA | - | - |
| Other Activities | ||||
| Manufacturing Sector | Nu. 50 million | 74% | Value addition of 30% or more, Positive foreign exchange flows, Creation of quality jobs | Activities not listed in the priority schedules |
| Service Sector | Nu. 25 million | 74% | Value addition of 30% or more, Positive foreign exchange flows, Creation of quality jobs | Activities not listed in the priority schedules |
| Negative List for FDI | ||||
| News Media | N/A | N/A | Prohibited | - |
| Distribution Services including Dealership, Wholesale, Retail and Micro Trade | N/A | N/A | Prohibited | - |
| Standalone Mines for Sale of Minerals in Primary or Raw Form | N/A | N/A | Prohibited | - |
| Mineral processing and beneficiation upto crushing and powdering | N/A | N/A | Prohibited | - |
| Hotel 3 Star and Below | N/A | N/A | Prohibited | - |
| General Health Services | N/A | N/A | Prohibited | - |
| Industries that do not meet the Certificate of Origin requirements | N/A | N/A | Prohibited | - |
| Real Estate Businesses | N/A | N/A | Prohibited | - |
| Activities in the Prohibited List of the Royal Government | N/A | N/A | Prohibited | - |
Basnet Attorneys & Law has extensive experience advising and assisting foreign investors in establishing FDI companies in Bhutan. Contact us today to ensure a compliant and efficient business incorporation process.
