The Ministry of Foreign Affairs and External Trade (MoFAET) has proposed a significant realignment of its institutional mandate, along with a possible renaming of the ministry, citing persistent ambiguities in its roles following recent government reforms. The proposal was presented during the ministry’s Mid-Term Review of the 13th Five-Year Plan, where officials acknowledged structural inconsistencies that have affected clarity, coordination, and overall effectiveness.
Despite its expanded title, MoFAET officials noted that the ministry currently lacks clearly defined responsibilities in several key areas, particularly those related to trade, investment promotion, and tourism engagement. These gaps have become more apparent since the restructuring of government functions, leading to overlapping mandates with other institutions, most notably the Ministry of Industry, Commerce and Employment (MoICE).
MoFAET was renamed in December 2022 after the enactment of the Civil Service Reform Act of Bhutan 2022. The change was intended to reflect an expanded role that incorporated external trade functions into the ministry’s portfolio. However, subsequent administrative adjustments, particularly the reassignment of core trade responsibilities to MoICE have created confusion regarding institutional boundaries. As a result, both ministries now operate in areas that are not always clearly delineated, leading to duplication of efforts and inefficiencies in policy execution.
Officials emphasized that the current arrangement has made it difficult to establish accountability and coordination, especially in cross-sectoral initiatives that involve foreign engagement. For instance, areas such as investment facilitation and economic diplomacy often require collaboration between multiple agencies, yet the absence of clearly defined leadership roles has complicated implementation. This has underscored the need for a more streamlined and coherent institutional framework.
In response, MoFAET has proposed repositioning itself primarily as a facilitative and coordinating body, with a renewed focus on its core mandate of foreign policy. Under this approach, the ministry would concentrate on diplomatic engagement, international relations, and strategic partnerships, while supporting other sectors through coordination rather than direct implementation. This shift is intended to reduce overlap and allow specialized agencies to take the lead in their respective domains.
As part of the reform process, the ministry is also reviewing the mandate and structure of the Department of Economic and Tech Diplomacy (DETD). The department, which was established to strengthen Bhutan’s engagement in emerging economic and technological domains, is being assessed to ensure its functions align with the broader institutional vision. Officials indicated that refining DETD’s role will be critical in avoiding redundancy while still enabling Bhutan to effectively navigate global economic and technological trends.
One of the key recommendations emerging from the review is to rename MoFAET back to the Ministry of Foreign Affairs. According to officials, this would better reflect the ministry’s primary responsibilities and eliminate confusion associated with its current title. The proposed renaming is not merely symbolic but is intended to signal a clearer strategic direction, reinforcing the ministry’s central role in shaping and executing Bhutan’s foreign policy.
The ministry’s evolution over time highlights the broader trajectory of Bhutan’s administrative reforms. Originally established as the Development Ministry in 1968, it transitioned into the Department of Foreign Affairs in 1970 before being elevated to a full Ministry in 1972. Each phase reflected changing national priorities and the growing complexity of Bhutan’s engagement with the international community.
Officials stressed that the latest proposal is part of an ongoing effort to modernize governance structures in line with current needs. By clarifying mandates, reducing duplication, and strengthening coordination mechanisms, the government aims to enhance institutional efficiency and responsiveness. The reforms are also expected to support a more coherent foreign policy framework, ensuring that Bhutan can effectively pursue its national interests in an increasingly interconnected world.
It is expected that if the implementation comes through, the proposed changes would mark another important step in Bhutan’s administrative evolution, aligning institutional structures with strategic priorities while reinforcing the effectiveness of public service delivery.
Sangay Rabten, Thimphu
