Thimphu is the capital and largest city of Bhutan. Thimphu became a town in 1961 and grew as the capital of Bhutan. Before 1960, Thimphu was a small settlement but was developed by the King Jigme Dorje Wangchuk to replace the ancient capital of Punakha. Rapid expansion following the pattern of rural exodus has resulted in considerable rebuilding in the city centre and mushrooming suburban development elsewhere. Bhutan is in Southern Asia, between China and India. The climate varies from tropical in the southern plains, to cool winters and hot summers in central valleys and severe winters and cool summers in the Himalayas. The official language is Dzongkha. It is related to Sikkimese and more distantly to Tibetan. English is taught in schools and is widely spoken. The main religions are Buddhism (official) and Hinduism. The economy of Bhutan is based on agriculture, forestry, tourism and the sale of hydroelectric power to India. Agriculture provides the main livelihood for more than 80 percent of the population. Agrarian practices consist largely of subsistence farming and animal husbandry. Bhutanese society is primarily influenced by Buddhism. Business clothing is typically a lightweight suit in the south, however, Thimphu is more formal. It is advisable to dress modestly and to observe and respect local clothing customs. The security risk for expatriates in Bhutan is low. Risks are mainly those of petty crime, particularly in the border towns. Other risks include those related to the poor road safety and driving conditions. The use of a local driver is recommended. The currency of Bhutan is the Bhutan Ngultrum (BTN). Banking is limited. Medical facilities are basic. Altitude sickness can be a challenge for expatriates and visitors. For serious medical treatment, emergency helicopter evacuation to India is usually required. The population of Thimphu is 104,000 (2019 est.), while the inflation rate (CPI) is 3.9% for Bhutan as at April 2019. Xpatulator Hypothetical Tax for Bhutan is based on the current personal income tax rates which are progressive up to 25%.
Cost Of Living
The cost of living for expatriates / professional migrants in We have collected prices for the same items, world wide, based on Expat spending norms, in or closest to the location, and converted them to $USD so that we can compare the cost of 13 different baskets in 780 global locations. For each basket, compared to New York, the equivalent cost in Thimphu is as follows: Thimphu as at 1 November 2019 is very low in comparison to other places in the world. 1) Alcohol and/or Tobacco: for items such as beer, spirits, wine and tobacco related products such as cigarettes. A basket costing USD$1000 in New York costs USD$820. Average price in a store for a midrange bottle of wine is USD$28.00, domestic/local beer (500ml) USD$1.17, imported/international beer (330ml) USD$0.66 and a pack of 20 cigarettes is USD$5.95. 2) Clothing: for items such as business, casual and children's clothing and footwear. A basket costing USD$1000 in New York costs USD$540. Average price for an international brand of mens jeans is USD$36, a quality international brand of running shoes USD$57, mens leather shoes suitable for office wear USD$44 while a medium size international summer dress from a global chain store is USD$31. 3) Communication: for various communication costs such as home telephone rental, internet subscription, mobile service provider tariff and data costs. A basket costing USD$200 in New York costs USD$70. Average price for a monthly standard plan internet subscription is USD$28, while the benchmark mobile tariff is USD$0.01 per minute. 4) Education: for items such as creche / pre-school fees, primary school fees, high school fees and tertiary study fees. A basket costing USD$30000 in New York costs USD$9900. Average annual private international school fee (excluding extras) USD$6,490 for Primary School, and USD$7,222 for High School. 5) Furniture & Appliances: for items such as dining table and chairs, home entertainment, kitchen appliances, and sofas. A basket costing USD$2500 in New York costs USD$1600. Average price for a 6kg front loader Washing Machine is USD$627, and USD$538 for a 46+'' LED UHD TV. 6) Groceries: for items such as consumables, cleaning products, dairy, fresh fruit & vegetables, general food products, snacks, soft drinks. A basket costing USD$1000 in New York costs USD$490. Average grocery prices in a major international retail store for 1 kg apples is USD$3.50, 1 kg oranges USD$1.75, 1 head lettuce USD$0.45, 1 kg potatos USD$0.47, 1 kg boneless, skinless, chicken breast USD$4.32, 1 kg cheddar cheese USD$4.67, 1 dozen large eggs USD$1.43, 500g loaf white bread USD$0.65, 1 L full cream milk USD$0.91, and 1.5 L water USD$0.47. 7) Healthcare: for general heath care, doctor visits, hospital stays, non-prescription medicine, and medical insurance. A basket costing USD$1000 in New York costs USD$490. Average healthcare cost for a private practice Doctor visit for an uninsured patient is USD$40, and a private hospital stay per day including nursing care, medications, diagnostic tests, food, and related costs is USD$1,225. 8) Household Accommodation: for items such as apartment rent, house rent, property purchase, mortgage rate, and utilities. A basket costing USD$5000 in New York costs USD$850. Average expatriate house / apartment rent for a secure upmarket unfurnished apartment (3 bedrooms) is USD$687 in a central location, and USD$405 in a suburban location, per month, excluding utilities. 9) Miscellaneous: for items such as dry cleaning, linen, magazines, newspapers, office supplies, and postage stamps. A basket costing USD$500 in New York costs USD$350. Average price for dry cleaning (1 mens 2 pc suit) is USD$6.81, while an international newspaper is USD$2.10. 10) Personal Care: for items such as cosmetics, hair care, and toiletries. A basket costing USD$500 in New York costs USD$240. Average cost for a mens haircut and blow dry is USD$19, while a womens hair colour, cut and blow dry - medium length is USD$95. 11) Recreation & Culture: for items such as books, cinema, sport and theatre tickets. A basket costing USD$500 in New York costs USD$355. Average price for a latest release international cinema ticket (average of on and off peak where applicable) for one adult is USD$3.15, and an international fitness, recreation or sports club membership cost for one adult is USD$33 per month. 12) Restaurants Meals Out and Hotels: for items such as hotel daily room rates, meals and beverages in a restaurant, and take away food and beverages. A basket costing USD$1000 in New York costs USD$500. Average cappuccino price (regular, medium) is USD$1.61, coke/pepsi (330ml) USD$0.56, burger meal (international franchise or similar) USD$11.20, and a mid-range international restaurant meal for 2 USD$8.40. 13) Transport: for items such as fuel (petrol/gasoline), car hire, public transport, vehicle purchase and maintenance. A basket costing USD$1000 in New York costs USD$530. Average average price over the last year for highest available octane petrol / gasoline (1L) is USD$0.97, while the benchmark car sedan purchase price including taxes/duties for a compact / small / economy vehicle (1.4 L) is USD$18,197. Thimphu is -24% cheaper than Houston TX for groceries, -59.6% cheaper for household costs than Kuala Lumpur, and -10.5% cheaper for transport costs than Dubai. The hardship premium for Thimphu for an expat from Perth, is for example 20%, i.e. host location (Thimphu) premium of 30% minus home (Perth) location premium of 10%. Thimphu is ranked as a high degree of hardship location. Want to know more about cost of living, hardship (quality of living) or expat salary in Thimphu? Register subscribe to your home location and Thimphu and run your personalised reports.