ADB approves $17.42 million to shield Bhutan's poorest households from Middle East conflict costs
23 October 2026
The Asian Development Bank (ADB) has cleared $17.42 million for Bhutan to cushion poor families against the higher food and fuel prices caused by the Middle East conflict. The money backs the government's $267.88 million Anti-Crisis Action Plan through ADB's Enhancing Resilience with Countercyclical Expenditures Program. It combines a $13.45 million grant from the Asian Development Fund with a $3.97 million loan from ADB's ordinary capital resources. Women in eligible large families will receive up to 10,000 ngultrum a month, and household energy bills in rural areas will be subsidised. School meals will be widened, tax exemptions on basic foods such as rice, butter, salt and refined oil widened, and 45 electric buses bought. ADB President Masato Kanda said the poorest households feel the rise in fuel prices most. Bhutan is exposed because it imports much of its food and fuel and has few domestic revenue sources.
In plain words
ADB Asian Development Bank — Regional development bank founded in 1966 and headquartered in Manila.
Asian Development Fund — ADB's multi-donor-financed fund that supports the member countries most in need, mainly through grants.
Countercyclical expenditure — Government spending raised during a downturn to soften its impact.
Ngultrum — Bhutan's currency, pegged at par to the Indian rupee.