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{{Country
|official name= Kingdom of Bhutan
|local name= འབྲུག་རྒྱལ་ཁབ་<br/>''Brug Rgyal-khab<br/>Dru Gäkhap''
|flag= [[File:Flag of Bhutan.svg|120px]]
|COA= [[File:Bhutan emblem.svg|80px]]
|COA-text= Emblem
|map= [[File:Bhutan (orthographic projection).svg|250px]]
|capital= {{wp|en|Thimphu}}
|languages= {{wp|en|Dzongkha}}
|demonym= Bhutanese
|currency= *[[Bhutanese ngultrum]] {{4217|BTN}}
*[[Indian rupee]] {{4217|INR}}
|estab1name= Formation
|estab1time= early [[17th century]]
|estab2name= {{wp|en|House of Wangchuk|Wangchuk Dynasty}}
|estab2time= [[December 17]], [[1907]]
|estab3name= {{wp|en|Constitutional monarchy}}
|estab3time= [[2007]]
|GDP-PPP-total= $4.287 billion (2011)
|GDP-PPP-pc= $6,112 (2011)
|GDP-nomin-total= $1.488 billion (2011)
|GDP-nomin-pc= $2121 (2011)
}}
'''Bhutan''' ({{wp|en|Dzongkha}}: འབྲུག་ཡུལ་; {{wp|en|Wylie transliteration}}: ''ʼbrug-yul''), officially the '''Kingdom of Bhutan''' (Dzongkha: འབྲུག་རྒྱལ་ཁབ; Wylie: ''Brug Rgyal-khab''), is a landlocked state located in {{wp|en|Southern Asia}} at the eastern edge of the {{wp|en|Himalayas}}. It is bordered by the [[China|People's Republic of China]] to the north, and [[India]] to the east, south, and west. Along with nearby [[Nepal]], it is one of the only few countries that has been independent throughout its history.

==History==
[[File:Shabdrung rubin.png|thumb|left|175px|Shabdrung Ngawang Namgyal]]
Bhutan's early history is imbued in {{wp|en|mythology}} and remains obscure. Knowledge of prehistoric Bhutan has not yet emerged from archaeological study, but ancient artifacts such as stone tools, weapons, structures, and megaliths provide evidence that civilization may have thrived in the country's boundaries as early as 2000 BC. Not much is known about the country until the introduction of {{wp|en|Buddhism}} in the [[9th century]], when religious persecution in [[Tibetan Empire|Tibet]] forced many {{wp|en|Monk|monks}} to flee. There is some speculation that Bhutan was part of the [[Kamarupa]] Kingdom and Tibetan Empire from the 7th to 9th centuries, but not much evidence has been discovered that supports this belief. A central government did not exist in Bhutan around the arrival of Buddhism, but instead, small independent kingdoms ruled by debs (kings) began to develop during this time period, the most prominent of which being the {{wp|en|Kingdom of Bumthang}}. A {{wp|en|theocratic government}} consolidating the many kingdoms was established by an expatriate monk, {{wp|en|Shabdrung Ngawang Namgyal|Ngawang Namgyal}} (1594&ndash;1651), who came to Bhutan in 1616 for freedom from the domination of the {{wp|en|Gelug}} {{wp|en|School of thought|school}} in Lhasa. Armies from Tibet attacked multiple times during Ngawang Namgyal's lifetime in hopes of suppressing his popularity before it spread too far. Each invasion was thwarted, and the Drukpa subsect developed a strong presence in Bhutan, leaving Ngawang Namgyal supreme. In recognition of his acquired power, missions were sent to the area from [[Cooch Behar]], Nepal, and [[Ladakh]]. However, Bhutan's troubles were not yet over. A joint [[Mongolia|Mongol]]-Tibetan force intent on eliminating {{wp|en|Nyingmapa}} refugees who fled to Bhutan, Nepal, and [[Sikkim]] invaded the area in 1643. However, this and another invasion by the Tibetans in 1647 were both unsuccessful.

[[File:UgyenWangchuck.jpg|150px|thumb|right|Ugyen Wangchuck, the first King of Bhutan]]
The Bhutanese invaded and conquered the neighboring kingdom of Cooch Behar in the 18th century. In 1772, the kingdom prompted the [[British East India Company]] to aid in ousting the Bhutanese rule and later attacking Bhutan itself in 1774. A peace treaty was signed that called for Bhutan to retreat to its pre-1730 borders, but border skirmishes with the [[United Kingdom|British]] continued for the next hundred years. Such skirmishes eventually led to the {{wp|en|Duar War}} (1864&ndash;1865), a confrontation for control of the Bengal Duars. After Bhutan's defeat, the {{wp|en|Treaty of Sinchula}} (1865) was signed by the British East India Company and Bhutan, thus ending all hostilities between British India and the country. Several years later, in [[1907]], {{wp|en|Ugyen Wangchuck}} (1862&ndash;1926) was unanimously chosen as the hereditary king of Bhutan by an assembly consisting of Buddhist monks, government officials, and the heads of important families. The government of Britain immediately recognized the new monarchy, and in 1910 Bhutan signed the {{wp|en|Treaty of Punakha}} (1910), which allowed the British to control Bhutanese foreign affairs and meant Bhutan was treated as an [[India - Princely States|Indian princely state]]. After the [[Dominion of India]] became independent from the United Kingdom in 1947, Bhutan was one of the first to recognize India's independence. On August 8, 1949, Bhutan signed a treaty similar to the Treaty of Punakha granting India control of Bhutan's foreign affairs. King {{wp|en|Jigme Dorji Wangchuck}} (1929&ndash;1972) established his country's legislature, a 130-member {{wp|en|National Assembly}}, in 1953 to introduce a more democratic form of government. This was followed by the founding of a Royal Advisory Council in 1965 and a Cabinet in 1968. Bhutan was admitted to the [[United Nations]] in 1971, having held observer status for three years. Several political reforms and modernization attempts were then made in the country under {{wp|en|Jigme Singye Wangchuck}} (1955&ndash;), Jigme Dorji Wangchuck's successor. A new {{wp|en|constitution}} was recently adopted in [[2006]], and {{wp|en|Jigme Khesar Namgyel Wangchuck}} (1980&ndash;) was crowned King in [[2008]]. The country is currently a {{wp|en|constitutional monarchy}} led by the king and {{wp|en|Prime Minister of Bhutan|Prime Minister}} {{wp|en|Tshering Tobgay}} (1965&ndash;).

==Economy==
{{Main|Economy of Bhutan}}
[[File:Bhutan - Flickr - babasteve (63).jpg|thumb|left|220px|Bhutanese people harvesting crops]]
Although the economy of Bhutan is one of the world's smallest, it has grown quickly in recent years, having increased by eight percent in 2005 and fourteen percent in 2006. Bhutan had the second fastest growing economy in the world in 2007, with an economic growth rate of 22.4 percent annually. This rate was largely attributable to the establishment of the gigantic {{wp|en|Tala Hydroelectricity Project|hydroelectricity joint project}} between India and Bhutan in the town of {{wp|en|Tala, Bhutan|Tala}}. As of March 2006, the [[per capita income]] in the country was [[United States dollar|US$]]1,321.

Bhutan's economy is heavily based on {{wp|en|agriculture}}, {{wp|en|forestry}}, {{wp|en|tourism}}, and the sale of hydroelectric power to its neighbor India. Over 80 percent of the population works in agriculture. {{wp|en|Agrarianism|Agrarian}} practices consist primarily of [[subsistence economy|subsistence]] {{wp|en|Subsistence agriculture|agriculture}} and {{wp|en|animal husbandry}}. Weaving and the production of religious art for home altars, as well as other handicrafts, make up a small {{wp|en|cottage industry}}. Due to Bhutan's hilly to mountainous landscape, the construction of roads and other {{wp|en|infrastructure}} is difficult and many times expensive. This, and a lack of access to the sea, have meant that Bhutan has been unable to participate in very much international trade. Bhutan does not currently have any railways, though {{wp|en|Indian Railways}} intends to link the southern part of the country to its network per an agreement signed in January 2005. Bhutan and India signed a free trade agreement in 2008, which, among other provisions, allowed Bhutanese imports and exports from markets to be sold in India without [[tariff]]s. The country did have trade relations with the [[Tibet Autonomous Region]] until it closed its border with China in 1960 due to an influx of refugees from the region.

Industry is an emerging sector of Bhutan's economy, and even though most manufacturing is done in the cottage industry, the establishment of larger industries is being encouraged and some industries such as {{wp|en|cement}}, [[steel]], and {{wp|en|ferroalloy}} have been set up. The country is often reliant on Indian contract labor for development projects such as road construction. Agricultural products from Bhutan include {{wp|en|Apple|apples}}, {{wp|en|barley}}, {{wp|en|buckwheat}}, {{wp|en|Chili pepper|chilies}}, {{wp|en|citrus}}, {{wp|en|dairy}} products, {{wp|en|maize}}, {{wp|en|rice}}, and root crops at lower elevations. Products from the industry sector include alcoholic beverages, {{wp|en|calcium carbide}}, cement, processed fruits, and [[wood]].

Each year, incomes of over 100,000 ngultrums are taxed, but only a small number of wage and salary earners qualify. In 2003 Bhutan's [[inflation rate]] was estimated at about 3 percent. The country has a [[gross domestic product]] (GDP) [[purchasing power parity]] of around US$2.913 billion, making it the 162nd largest economy in the world. Per capita income is about US$1400, ranked 124th in the world. Government revenues amount to about $272 million, though expenditures make up $350 million. However, approximately 60 percent of the budget expenditure is financed by the Indian {{wp|en|Ministry of External Affairs (India)|Ministry of External Affairs}}. The country's exports, mainly {{wp|en|cardamom}}, cement, electricity, fruit, {{wp|en|gypsum}}, handicrafts, precious stones, spices, and {{wp|en|timber}}, estimated €128 million in 2000. Imports, however, were about €164 million, causing [[trade deficit]]. Many of the items imported by Bhutan include fabrics, {{wp|en|fuel}} and {{wp|en|Lubricant|lubricants}}, {{wp|en|grain}}, {{wp|en|machinery}}, and vehicles. India is Bhutan's main export partner, accounting for nearly 58.6 percent of its exported goods. [[Hong Kong]] and [[Bangladesh]] are other top export partners, respectively accounting for 30.1 and 7.3 percent of Bhutanese exports. As its border with Tibet is closed, trade between Bhutan and China is now nearly non-existent. Bhutan's import partners include India, [[Japan]], and [[Sweden]].

==Numismatics==
[[File:Bhutan ngultrum note 1986 obv.jpg|thumb|220px|A Bhutanese ngultrum note from 1986]]
In spite of its situation near India and China, two countries with long histories of coin production, Bhutan does not have much of a numismatic history. Bhutan did not start to use precious metals as currency until the late [[16th century]]. At some point, coins from neighboring countries, including [[Ahom Kingdom|Assam]], [[Koch Kingdom|Cooch Behar]], Nepal, and Tibet began circulating in the country, especially those of Cooch Behar. These coins, denominated in [[rupee]]s, were used until the mint's closure in [[1789]]. In [[1790]], Bhutan introduced [[Bhutanese rupee|its own rupee]], initially divided into 64 [[paisa]]. Earlier coins of the currency were very similar in design to those of Cooch Behar. The [[Indian rupee]], at the time divided into 16 [[anna]], began to circulate alongside Bhutan's currency in [[1907]], sharing a [[fixed exchange rate]] with it. The Indian currency was [[decimalization|decimalized]] into 100 naye paise in [[1957]], and Bhutan's currency eventually followed suit in [[1966]]. The Bhutanese rupee continued to circulate until the [[Bhutanese ngultrum|ngultrum]], the current currency of Bhutan, was introduced in [[1974]]. The first [[banknote]]s attributable to the country were printed in 1974 by the Royal Government of Bhutan. Since its creation, the ngultrum has been subdivided into 100 [[chhertum]] (or chetrums) and has maintained its fixed exchange rate to the Indian rupee, which also continues to circulate in Bhutan.
{{CountryCurrencyTable|
{{CountryCurrencyTableRow
|code=
|currency= Bhutanese rupee
|dates= [[1790]]-[[1974]]
|conversion= &nbsp;
|divisions= Initially: 64 [[Paisa]] = 1 [[Rupee]]; After 1966: 100 [[Paisa]] = 1 [[Rupee]] }}
{{CountryCurrencyTableRow
|code= INR
|currency= Indian rupee
|dates= [[1907]]-
|conversion= &nbsp;
|divisions= Initially: 16 [[Anna]] = 1 [[Rupee]]; After 1957: 100 [[Paisa]] = 1 [[Rupee]] }}
{{CountryCurrencyTableRow
|code= BTN
|currency= Bhutanese ngultrum
|dates= [[1974]]-
|conversion= 1 Bhutanese rupee = 1 BTN
|divisions= 100 [[Chhertum]] = 1 [[Ngultrum]] }}
}}

==References==
{{Imagecat|Images of Bhutan}}
*{{Wikipedia-link|en|Bhutan}}
*{{Wikipedia-link|en|Bhutanese rupee}}
*{{Wikipedia-link|en|History of Bhutan}}
*[http://www.bhutanstudies.org.bt/pubFiles/V22-2.pdf Coinage in Bhutan During the 19th and 20th Centuries]
{{Bhutan}}
{{Asia}}
[[Category:Asian countries]]
[[Category:Bhutan| ]]
[[Category:Countries]]