Bhutan tries mindful capitalism to make citizens happy and prosperous

Driving into Gelephu, the breathtaking Himalayan vistas that Bhutan is known for gradually give way to mundane patches of farmland peppered with the occasional cement house with traditional Bhutanese wood carvings. Yet, in the years to come, this little-known corner of Bhutan might well determine the country’s future.

Here, along its southern border with India, Bhutan is building Gelephu Mindfulness City (GMC), a sprawling metropolis expected to be roughly twice the size of Los Angeles. It’s an ambitious, $100 billion endeavor to turbocharge Bhutan’s economy while upholding the values of holistic well-being and sustainable development that the country holds dear.

For decades, the tiny Buddhist kingdom has relied on a Gross National Happiness (GNH) index to guide its development, rather than focusing on the size of its economy. This approach has earned Bhutan global recognition, but it has not translated into enough jobs. Young Bhutanese are moving abroad in large numbers to seek better opportunities.

Why We Wrote This

Bhutan has long relied on a Gross National Happiness index to guide its development, but that is not creating enough jobs. Can the tiny Himalayan kingdom hang on to its non-materialist Buddhist values and boost economic growth at the same time?

To bring them back, Bhutan’s leaders have envisioned a new economic hub to provide what they call “mindful prosperity.”

It’s a subtle acknowledgment that the path to happiness, in the modern world, cannot bypass material wealth – but neither does it have to be all about money.

Bhutanese are known for eschewing materialism, and for “how much value we give to social harmony and well-being,” says Lotay Tshering, the governor of GMC and Bhutan’s former prime minister. But a common misconception, he says, is that Bhutanese are happy to be poor. “We also want to be rich, but how?”

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