Bhutan, the small Himalayan country known for its stunning landscapes, happy citizens, and costly tourism, has now introduced a silver lining to its expensive tours – cheap gold. Bhutan has started allowing tourists to buy 20 grams of duty-free gold, in a move aimed at attracting high-end Indian tourists to the country.

The Bhutan Tourism Department, in partnership with Bhutan Duty-Free (BDF), launched the duty-free gold program to coincide with the birth anniversary of King Jigme Khesar Namgyel Wangchuck and the Bhutanese New Year Losar in February. While the official statement suggests that it is a celebratory move, multiple sources in the travel industry have revealed that the initiative is aimed at shoring up revenues from tourism, which is the highest foreign exchange earner for the country.

Starting March 1st, tourists fulfilling some basic criteria can purchase 20 grams of gold from two duty-free shops – one in the capital, Thimphu, and the other at Phuentsholing, the largest town in Bhutan located across the border from Jaigaon in Alipurduar district of Bengal. Although the purchase of duty-free gold is allowed for all travelers from across the world, the move is particularly aimed at attracting high-end Indian tourists.

Before the COVID-19 pandemic, 19 lakh Indians used to visit Bhutan annually, accounting for 69% of total tourists. However, after the country introduced the sustainable development fee (SDF) of Rs 1,200 per Indian tourist per night following a 30-month-long COVID-induced isolation, the flow has now slowed down to a trickle. Therefore, the move to offer duty-free gold to tourists may be a bid to increase the number of high-end Indian tourists who can offset the loss of revenue from other tourists.