The Bhutan Health Trust Fund Review of the Norwegian contribution

Bhutan Health Trust Fund (BHTF) was initiated in 1997 and formally launched at WHO Headquarters in Geneva on 12 May 1998. According to a Royal Charter signed by His Royal Highness King Jigme Singye Wangchuck in 2000, a target was set of US$ 24 million for BHTF. It was specified that it should be used for selected areas, particularly procure priority needs to the health sector like vaccines and essential drugs. Various partners (Bill and Melinda Gates Foundation, The Summit Foundation, Govt. of New Zealand, Govt. of Australia, Govt. of Norway as well as private individuals and organizations from Bhutan have contributed to the Trust Fund (TF). The Government of Bhutan contributes on a one to one basis, and has received a soft loan from Asian Development Bank which is used for this purpose. However, still in 2009 the BHTF had not met the target. At that time the TF had reached a level of US$ 23.7 million, thus being only US$ 300 000 off target. Norway decided to contribute the needed amount and through signing an Addendum to the Agreement an additional amount of US$ 300 000 was disbursed, thereby making it possible for Bhutan to start using from the TF. According to estimates made by Bhutanese Ministry of Health (MoH) it was expected that the TF would generate sufficient funds to cover all expenditure on vaccines and essential drugs. The TF is managed by the Royal Government of Bhutan (RGOB), with a Secretariat with a Project Director and Management Board of seven members, all from RGOB.

The total contribution to the Bhutan Health Trust Fund from Norway is approximately US$ 1.3 million, with US$ 1 million (US$ 988,392) disbursed in 2000 and NOK 1,800,000 (US$ 312,193) in 2009.