Bhutan is planning to expand its hydropower generation capacity with a $22.5 billion initiative. The goal is to attract foreign investment and revive the struggling economy.

By 2040, Bhutan aims to increase its hydro capacity by an additional 15 gigawatts, building on its existing 2.4 gigawatts and 3.1 gigawatts currently under construction. Hydropower is crucial for Bhutan's electricity supply and export revenues, according to Ujjwal Deep Dahal, CEO of Druk Holding and Investments Ltd.

The government is considering blended finance and green bonds to fund this ambitious project, which is part of a broader strategy to address high unemployment and slow economic growth. Bhutan also plans to create a 1,000-square-kilometer technology and finance hub to attract data center investments and create job opportunities. This comprehensive approach demonstrates Bhutan's commitment to sustainable economic growth while leveraging its natural resources.