March 30, 2026
THIMPHU – Bhutan’s much-discussed youth outmigration is often framed as an economic story – of higher wages, opportunities, and the lure of life abroad. But beneath the surface lies a more troubling diagnosis – a quiet erosion of institutional trust and professional fulfilment that is pushing some of the country’s most capable young people to leave.
In recent years, Bhutan has found itself at a crossroads. An increasing number of young graduates and professionals are choosing to migrate, not out of desperation but disillusionment. Many are neither unemployed nor unskilled. They are, rather, the very cohort the country can least afford to lose: educated, experienced, and ambitious.
Kuensel talked to several members of the Bhutanese diaspora, who point out that the drivers of migration extend beyond economics. For some, the decision is rooted in what they describe as “systemic dysfunction” – rigid bureaucracies, limited career mobility, and a perceived lack of meritocracy.
For 35-year-old Wangmo, a former civil servant currently living and working in Canberra, Australia, the move was forced by a “sick system” that eroded trust in institutions.
“I had everything I needed in Bhutan, but I moved because I felt dull and wasted. It had nothing to do with financial freedom or peer pressure,” she said.
“We join a job with stars in our eyes, only to soon confront a rigid and redundant system,” she added. “Many of our good friends had left five or six years ago, and gradually it became clear that the real issues were the undemocratic practices of the administration.”
Institutional distrust, entrenched policy corruption, and nepotism lead young people to believe that merit is secondary to personal connections. This marginalisation makes migration appear to be the only place where hard work is more likely to pay off.
Wangmo believes that sycophantic and individualistic practices often outweigh broader, long-term interests. “Only a very special kind of person survives the system, and they have no complaints,” she added.
The outcome is a culture in which speaking the truth is risky, and remaining silent becomes a means of survival. “There was no safe space to express myself, and speaking out carried huge consequences,” she said.
Her story is one of many young people who feel compelled to leave to build a better future, even as host countries such as the United States, Australia, the United Kingdom, and Canada have tightened immigration and visa rules in recent years.
Skilled worker outflow
The data reinforce the anecdotal. Between 2023 and 2025, the most economically productive age group of civil servants, aged 27 to 35 years with four to 12 years of experience, accounted for the highest number of voluntary resignations, with nearly 10 percent leaving within the first year and about 32 percent at the entry level.
Voluntary resignations are higher in specialised technical fields such as ICT, nursing, and engineering, where local and global demand and incentives are high, according to the Royal Civil Service Commission. In 2024 and 2025, about 1,500 civil servants resigned voluntarily.
High turnover continues to strain the talent pool and raise costs, even though attrition has fallen to nearly 6 percent from 16 percent in 2022, with the civil service returning to its pre-Covid level of 31,000 employees.
A recent World Bank report on “Migration Dynamics in Bhutan” shows that higher education is strongly linked to migration, with 53 percent of young, highly skilled Bhutanese, many of them civil servants, holding university degrees compared to 7 percent of the working-age population.
The report reveals that more than 65,000 Bhutanese live or work abroad, which represents about 9 percent of the country’s population, while 10 percent of youth not in employment, education, or training express a desire to migrate.
In the first six months of fiscal year 2025–26, some 5,916 Bhutanese were granted Australian visas, including 3,381 for applicants already in Australia to extend their stay.
A growing number of Bhutanese are obtaining permanent residency (PR) to live and work abroad. Data shows that 2,293 Bhutanese had been granted PR status in Australia as of June 2023, including 1,218 grants between July 2021 and June 2023.
PR is mainly driven by loan obligations at home, as part-time earnings during studies are not enough to cover tuition and living costs. Many students choose high-demand trade skills such as carpentry, tiling, and welding.
Early last year, a young Bhutanese woman renounced her Bhutanese citizenship to obtain Australian citizenship, as Bhutan does not allow dual citizenship. “My whole family is here and I choose to be with them, but in my heart and blood, I will always be a Bhutanese,” said Latso, who shared her decision on social media.
Many entrepreneurs are building successful businesses across industries like hospitality, consultancy, entertainment, and automotive in Australia, as anyone with full work rights can become self-employed or start a business.
Thinley Wangchuk, a former eco-tour guide in Australia, said Bhutanese integrity has built a strong reputation that contributes to business success. “The Bhutanese community supports its own businesses, and Australians are also open to trying new things,” he said.
A high prevalence of low-paying jobs in the country, along with housing and cost-of-living challenges, leaves youth with no social protections or long-term career prospects, leading to a ‘full-nest’ situation, where they are forced to live with their parents well into their twenties or even thirties.
With many young people seeking opportunities to move to Australia, the private and business sectors struggle to retain and recruit staff, as lower-level employees are underpaid and salaries remain stagnant for years.
“We are forced to take low-salary jobs because we cannot afford to leave. Our earnings go toward rent and basic needs, which makes it impossible to save or invest,” said a private employee planning to move to Australia.
Even banks in Bhutan offer higher interest rates on remittance-linked deposits, with returns of up to 9–9.5 percent, compared to lower rates on domestic savings. Some institutions also offer premium rates on overseas deposits to attract foreign currency inflows.
Weak institutional confidence
This current emigration wave is not due to individual shortcomings, and many believe that young people will continue to look for better opportunities elsewhere unless the ongoing transformation produces the next generation of leaders.
Phuntsho, a former civil servant now working in Australia, said ordinary people feel excluded from the system. “Even if people have jobs, there is little room to grow,” he added. “I am sure it is just a matter of time before the new generation does better.”
More medical doctors are taking entry exams to work in Australia, with some already having left and more expected to follow, especially mid-level doctors.
The country’s apex medical hospital, Jigme Dorji Wangchuck National Referral Hospital, recorded 92 resignations of medical professionals in 2025, with 45 more submitting six-month resignation notices, while 31 staff have applied for extraordinary leave (EOL), on top of 67 already on EOL.
A specialist medical doctor said the recurring issues are extended double and triple service bonds, limited career progression opportunities, and rigid human resource management that disregards work-life balance.
“There cannot be a better reason than the vast difference in financial perks of working abroad and working at home, with doctors, like other professionals, quitting and leaving the system,” he added.
Another medical doctor said that some leaders are acting without due respect for civil servants. “Everything is demotivated. We should go by the system, but we are not following it. They are choking all the information and speaking off the cuff,” said the doctor.
Many are leaving the system, but limited replacement is putting pressure on those who remain. “Some work long hours and even on weekends, while others play games and watch YouTube during office hours. The slogan is: if you do a good job, the reward is more work,” said a public-sector employee.
There are instances where civil servants on EoL have reportedly been rated as ‘needs improvement’ in performance assessments (IWP) by the parent office. Such practices have also forced some to submit their resignations, even when they had planned to return.
“In the past, contract staff faced pressure to volunteer for ‘needs improvement’, and now the same practice applies to those resigning or going abroad for studies,” said Dechen, a former civil servant now in Australia. “The IWP doesn’t serve its purpose in practice.”
Despite years of efforts as part of the transformation to bring forth leaders capable of managing challenges, adapting to change, and driving positive shifts, no real impact has been seen on individuals, organisations, or public service delivery.
Many argue that real transformation is not progressing, even with a series of leadership forums and talk shows, which are failing to produce effective leaders and improve the quality of public services, often described as “old wine in a new bottle.”
“For me, transformation is not about training or talk shows, which only waste time and resources, but about self-accountability and changing the mindset to focus on responsibility rather than power,” said a civil servant on condition of anonymity.
From recruitment and transfers to accessing critical public services, it is a customary practice for many to rely on social connections, bypassing the system. This has raised concerns about the existence of a dual system of laws – one for the elite and those in positions of power, and another for ordinary people.
Those who feel on the receiving end turn to social media to share their grievances and frustrations, mostly through anonymous or fictitious accounts for fear of retaliation or being targeted.
“Misuse of power, position, or public resources for personal gain weakens trust, undermines fairness, and harms ordinary people. Many Bhutanese worry that powerful individuals or key institutions could be influenced by corruption,” reads one anonymous post.
Flipside and upsides
Analysts say as young people leave for distant countries in large numbers, the exodus will have far-reaching consequences for both migrants and the country.
A senior corporate employee said that the migration of young people reduces national productivity, weakens institutions, and erodes development potential. “The side effect will emerge when those between 35 and 45 reach the end of their most energetic years and struggle to find their replacements,” he said.
Another emerging concern is incidents involving members of the Bhutanese diaspora in criminal activity, including violent crime, drug cases, and sexual offences, as many young Bhutanese go abroad after Class XII for higher studies.
A Bhutanese diaspora member said nightlife is popular in Australia and is sometimes linked to crime. “When they go to parties, they get influenced by the local lifestyle. What they earn during the weekdays, they spend during the weekends,” he said.
In a recent case of youth involved in violent crime in Perth, a 24-year-old Bhutanese man and his 23-year-old brother were arrested over an alleged machete chase in February this year.
While the government has designed national reintegration programmes to encourage Bhutanese to return, it remains uncertain whether these measures will suffice. Since its launch in 2023, only 170 had returned as of May last year, while 570 registered in the 2024–25 financial year and another 53 in the 2025–26 financial year.
“Opportunities to apply our skills in Bhutan are limited, and even where employment is available, salaries are not paid according to the work,” said Thinley Wangchuk.
According to the Royal Monetary Authority, diaspora-linked investment products accounted for about 10 percent of inward remittances in 2024.
Remittances from Bhutanese abroad support foreign currency inflows and strengthen external reserves, while also improving banking liquidity and enabling greater lending for domestic economic activity.
In 2025, inward remittances more than doubled to USD 342.9 million from USD 164.4 million in 2024, with the largest share coming from Australia at USD 253.3 million, followed by the United States with USD 23.5 million and Kuwait with USD 19.3 million. Remittances increased from USD 108.74 million in 2021 to USD 241.8 million in 2024–25, up from USD 143 million in 2023–24.
Many Bhutanese have also invested in real estate or partnered in businesses in Bhutan while financially supporting their parents and siblings in their villages.