Bhutan Lowers Daily Tourist Tax For Visitors, But There Is A Catch

Under the new rule, the incentive applies only to tourists who pay in dollars, rather than in rupees, according to Bhutan's Department of Tourism.

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The new rules are coming into effect this month, as per Bhutan authorities.

Bhutan is lowering a fees it charges tourists who stay for more than four nights. According to a report in Independent, the move is an attempt to boost the number of visitors after the pandemic. Bhutan had increased the nightly charge, called Sustainable Development Fee (SDF), to $200 in September last year, as it opened its borders after more than two years of closure forced by Covid-19. This was a substantial hike from the $65 it had charged for about three decades.

The SDF is designed to discourage budget travellers who spoil the environment and attract wealth tourists. The funds are used to maintain Bhutan's natural landscape and off-set the carbon footprints left by visitors.

Under the new rules, tourists who choose to stay longer will pay less. Independent said that visitors who are there for four days can stay for additional four days without paying any daily fees. Those who opt to stay for 12 days can remain for a full month without paying any extra SDF.

The new rules are coming into effect this month and will remain in force till the end of 2024, the outlet further said.

"If more tourists stay longer in Bhutan tourism can help our economy to grow faster," Independent quoted Dorji Dhradhul, director-general of the Department of Tourism, as saying.

Reuters said that the incentive applies only to tourists who pay in dollars, rather than in rupees.

Mr Dhradhul said Bhutan wants to gradually raise the contribution of tourism to 20% to its $3 billion economy from about 5% now.

He also said that the country is on track to achieve its goal of welcoming 86,000 visitors by the end of the year, having already hosted more than 47,000 tourists since January.

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