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Wood Female Rooster Year: Outlook 2005/06
POLITICS

The draft Constitution of the Kingdom of Bhutan will be distributed to the public for consultations this year. In November last year His Majesty handed over the draft Constitution to the members of the Lhengye Zhungtsho for their views and comments.

The agriculture minister, Lyonpo Sangay Ngedup, will take over as prime minister.

The National Assembly will meet twice a year in keeping with the decision of the 82nd session in 2004. According to the National Assembly Secretariat, the Code of Conduct Act for the Lhengye Zhungtsho and the National Assembly will be submitted to the Assembly for endorsement. The amendment of the Marriage Act of 1980 and 1996 will also be submitted for endorsement and several other acts are also expected to be passed by the Assembly.

DEVELOPMENT

The mid -term review of the geog based Ninth Five Year Plan, beginning Monday, will take stock of the progress of planned development in the past two and half years. Development activities were delayed in the first year of the plan period because funds had not been finalised with donor partners, planning officials said.

The 40MW Basochhu lowerstage in Wangduephodrang will be inaugurated in March this year along with the Rurichhu substation.

The construction of the 74 kilometre Samtse-Phuentsholing highway will begin this year and development of the urban centers of Gelephu, Samtse, Damphu and Gyelpozhing will receive renewed focus according to the ministry of works and human resources.

A national quality control laboratory will be established at Yusipang and the food commodity standards developed. The construction of 20 secondary schools and 50 community schools will begin this year, according to the education division. Social Studies and Bhutan History will be taught in Dzongkha in Class IV and Class VII on a trial basis in 25 schools.

The Ministry of Home and Cultural Affairs will conduct the first comprehensive housing and population census in May.

ECONOMY

Bhutan will, for the first time, achieve or exceed the projected Ninth Plan economic growth rate of 8.3 percent in 2005 because of the 45 percent salary increase, say officials of the National Statistical Bureau.

Consumption patterns are expected to change with increased consumer demand given the greater disposable income among the 16,000 civil servants. The wage raise injects more than Nu. 500 million into the domestic economy.

While the construction sector is expected to grow rapidly, wholesale and retail trade will also see significant growth, according to NSB.

Meanwhile, inflation rate in the first quarter of 2005 will exceed about 6 percent for the first time in the Ninth Plan because of increase in prices of goods and services spurred by the wage increase bureau officials predict.

The Bhutanese economy will continue to be driven by hydropower projects.

This article was contributed by Kuensel, Bhutan's National Newspaper, 2005
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