Introduction of Incentives for the Tourism Sector (SDF Discount)

SDF for Bhutan Tourism

Dear Travel Partners,

The Royal Government of Bhutan is pleased to announce additional incentives and policy measures to boost the tourism sector. This is in view of the important role of the tourism sector in generating employment; earning foreign exchange; realizing the potential for spillover benefits for ancillary industries; and in boosting overall economic growth.

The incentives and measures shall consist of the following:

1. A fifty percent discount shall be granted on the prevailing SDF of USD 200 for US Dollar paying tourists visiting Bhutan. The effective SDF with the discount shall be USD 100 per person per night for US Dollar paying tourists.

2. In addition, a fifty percent discount on the SDF shall be granted on the rates applied to children aged between 6 to 12 years for US Dollar paying children visiting as tourists.

3. The 24-hour SDF waiver for tourists staying in the border towns shall continue.

The above incentives will come into effect from 1 September 2023 and shall remain effective for four years till 31 August 2027.

The Royal Government shall conduct periodic assessments of the domestic and international tourism scenarios and may discontinue the above incentives to uphold and promote the High Value Low Volume Tourism Policy of Bhutan after 31 August 2027.

Please find a Q&A attached here that answers some commonly asked questions regarding the new incentives.

Please let us know if you have any questions.

Sincerely,

Source: Department of Tourism

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