Bhutan was the first country in the world to pursue happiness as a state policy.

The country recognized early that good health is the most critical determinant of happiness. With 5.73 billion Bhutanese ngultrum (approximately $80 million) budgeted for the health sector, it has received the third-largest allocation this year.

The provision of quality health services has long been Bhutan's key development priority. As far back as 1978, Bhutan signed the Alma Ata Declaration and adopted a primary health care approach a year later. However, early on, the system faced several challenges, including the overcrowding of hospitals and lack of drugs and vaccinations.

Rising expectations in the delivery of health services, including keeping pace with rapid technological advancements, resulted in escalating costs. Compounding the situation was the increasing burden of non-communicable diseases which required prolonged treatment. Thus the expenditure on curative services has dominated the total health spending. - blog.adb.org/blogs

A version of this article appears in the print on May 27, 2022, of The Himalayan Times.