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 Bhutan: Round Table Meeting (November 7-9,2000)

   |Statement of the Austrian Delegation | Co-Chairperson's Statement| Statement by Kingdom of Denmark | Statement by Dutch | Statement by Japan| Statement by Lynpo Yeshey Zimba |



Round Table Meeting for Bhutan
Thimphu, 7-8 November 2000
Statement by the Kingdom of Denmark



Your Excellencies, Madame Co-chairman, distinguished delegates


First of all I would like to express my appreciation of the great hospitality of the
Royal Government of Bhutan and the excellent arrangements made for the Round Table Meeting. The Meeting provides an excellent opportunity for a policy dialogue between the Royal Government of Bhutan and its development partners and for review of Bhutan’s development strategies. Through open and constructive discussions, we can together address important challenges facing your country and the role of development partners in tackling these challenges.

Denmark believes that there are five main challenges facing Bhutan.

First, the presence in South Eastern Bhutan of armed Bodo and ULFA groups from Assam. This is probably the most serious problem facing Bhutan. We are aware that a peaceful solution is His Majesty’s and the Government top priority, but that Bhutan has not ruled out a military intervention.. We know that the Government has well understood the very serious implication a military intervention may have for Bhutan. We also know that His Majesty has entered into an open and frank discussion with the people of Bhutan on this important issue. We urge the Government continue the dialogue with all concerned parties to find a peaceful solution to this problem, if at all possible.

Second, the people in the refugee camps in Nepal Denmark welcomes the initiatives taken by Bhutan as well as Nepal in the past two years. We also welcome the initiative taken by UNHCR and urge Bhutan to positively consider the UNHCR proposal for verification. When an agreement - hopefully soon- has been reached on field verification, Bhutan and Nepal should continue their efforts on harmonisation of positions regarding the four categories. In this connection I would like to reconfirm Denmark’s offer of humanitarian assistance to relieve the refugee problem once the parties have reached a negotiated settlement.

Third, the challenges of good governance, democratisation and respect for human rights.

Bhutan has seen good progress in these areas in recent years. In particular, we have noted the significant steps taken towards the devolution of power initiated by His Majesty the King in 1993. We also note with satisfaction the positive developments in the judiciary. At the same time, this is a process that should be taken further towards introduction of modern democracy in Bhutan, with the legislative, the executive and judiciary systems each playing their proper role. We are convinced that the coming years will see further progress in these areas. In this connection, Denmark would like to urge Bhutan to accede to the main international human rights instruments in order to strengthen Bhutan as a full member of the international community.

The fourth challenge has to do with the difficult and sensitive issue of minorities. I
trust that the Royal Government of Bhutan will appreciate that I make these
comments as a true friend of Bhutan - after all a true friend sometimes tells you what you might not want to hear.


There is a growing perception among Bhutanese of Nepalese decent — so-called
Lhotshampas - that they are treated as second-class citizens. We hear complaints that Lhotshampas were retrenched from government service only because they were relatives of so-called Ngolops or anti-nationals. There are also complaints that in recent years young Lhotshampas are not being issued citizenship ID card, that others are denied education, government employment or trade licenses because of the lack of security-clearance. Several other instances of alleged discrimination are being mentioned. This gives rise to concern.

Please note that I have referred to perceptions and complaints. I would be happy if the Government could confirm that these are indeed only perceptions, not facts.

Bhutan is a multi-ethnic society. It is important that the National Assembly and the Government eliminate discriminatory laws and practices, if any, so that all permanent residents of Bhutan can be fully integrated — also psychologically - into Bhutanese society. If this does not happen, there is a real danger of Bhutan one-day being torn apart. We know that these are difficult issues. In my own country we struggle to integrate the growing number of immigrants from other ethnic groups into our society.

Buddhism plays an important role in Bhutanese society. One of the cornerstones of Buddhism is compassion. Compassion and tolerance — in words as well as in practice - should be the guiding star in dealing with minorities. Not only in Bhutan, but in all societies and countries.

Challenge no. five concerns Bhutan becoming a sustainable, independent economy. Bhutan has achieved impressive results in the past 25 years and the welfare of most Bhutanese people has improved dramatically. However, the dependence of foreign assistance continues to be very high and needs to be reduced. Taking into account the very low level of taxation in Bhutan, a significant increase in revenues from higher personal taxes and from charges for electricity, water, sanitation and other public services could diminish dependency on foreign assistance and ensure a more equal distribution in society of the wealth generated from Bhutan’s continued period of economic growth. Redistribution of wealth can be a dynamic element in the development process, as a means towards growth with equity.

In this connection, Denmark regrets the continued delay in the introduction of
Personal Income Tax, including tax on incomes from leasing out of houses. If the
National Assembly and the Government do not very soon take steps in this area it may be difficult to justify the continuation of the high level of Danish assistance to Bhutan. It becomes a political problem for us.

Denmark has increased the volume of its assistance to Bhutan in recent years and last year our disbursements exceeded USD 14 million. Denmark has been a partner of Bhutan in the past. So it is at present. And so it will be in future.

Finally I would like to invite the Government together with the UNDP and other
partners to seek ways to strengthen aid co-ordination. At the policy level more regular Round Table Meetings with shorter intervals would seem like a good idea. Also at the local level more should be done to bring about a transparent and efficient co-ordination of efforts, ideally with the Government in the leading role.


Thank you



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