Gelephu Special Administrative Region

Gelephu Special Administrative Region
Country	Bhutan
Region	Gelephu
Government
• Type	Special Administrative Region with its own Basic Law
Area
• Total	2,500 km2 (1,000 sq mi)

Gelephu Special Administrative Region (stylized as GeSAR), also known as Gelephu Mindfulness City, is a planned special administrative region and economic hub in Gelephu, Bhutan, that covers an area of 2,500 square kilometers. It will also serve as a connectivity between South Asia and South East Asia.

The plan for SAR was addressed to the public by King Jigme Khesar Namgyel Wangchuck of Bhutan on his Royal Address coinciding with the 116th National Day celebration on December 17, 2023.

Background

It was the planned project of the King of Bhutan for several years. The SAR or the Gelephu Mindfulness City will have its own laws and systems and the development will start through Foreign Direct Investment. The Monarch of Bhutan has held a talk with the Prime Minister Narendra Modi of India on the project and a possible 58 km railway connection between Gelephu of Bhutan and Kokrajhar of Assam, India, was discussed. The development will start with the expansion of Gelephu Domestic Airport to international airport from the monsoon of 2024. It will be the part of Sarpang district Special Economic Zone.

Development Model for GMC

Gelephu Mindfulness City aims to foster innovation and economic development while maintaining Bhutan’s commitment to mindfulness and environmental sustainability. It is organized around seven key economic clusters: Spirituality, Health and Wellness, Education and Knowledge, Green Energy and Technology, Finance and Digital Assets, Agri-Tech and Forestry, Aviation and Logistics.

The city seeks to address critical challenges like youth unemployment and urban migration, while promoting renewable energy, ethical investments, and mindful living.

Historical Context

GMC was unveiled as part of Bhutan’s broader efforts to diversify its economy and create opportunities for its youth. The project emphasizes Bhutan’s cultural identity while leveraging modern technologies and sustainable practices. Its development was highlighted at the Bhutan Innovation Forum in 2024, where global leaders like Nobel laureates Joseph Stiglitz and Michael Spence, architect Bjarke Ingels, and Snap Inc. CEO Evan Spiegel endorsed its transformative potential.

Governance and Structure

GMC operates as an autonomous administrative region with independent executive, legislative, and judicial systems. The governance framework prioritizes transparency and accountability, ensuring a business-friendly environment while promoting mindfulness and sustainability. The project is led by prominent figures, including Mun Leong Liew as CEO and Dasho Dr. Lotay Tshering as Governor. The Board of Directors comprises experts in investment, infrastructure, education, and technology, guided by His Majesty the King as Chairman.

Economic Clusters and Development

The city’s development revolves around seven economic clusters:

Spirituality: Promoting mindfulness and Bhutanese cultural heritage. Health and Wellness: Establishing GMC as a global destination for holistic health. Education and Knowledge: Creating a “City of Mindful Learning” with world-class educational institutions. Green Energy and Tech: Leveraging Bhutan’s renewable energy potential to foster innovation. Finance and Digital Assets: Launching the blockchain-backed digital currency TER, aimed at promoting transparent and secure financial transactions. Agri-Tech and Forestry: Enhancing food security and sustainable agriculture practices. Aviation and Logistics: Developing the Gelephu International Airport as a regional hub. Investment and Financing The GMC Nation Building Bond is a key financial instrument for the project, offering Bhutanese citizens and expatriates an opportunity to invest in their nation’s growth. The bond features a 10-year term with attractive returns, making it accessible through small monthly investments.

The city’s financial ecosystem will be modeled on international best practices, incorporating stringent KYC (Know Your Customer) regulations and anti-corruption protocols.

Environmental Sustainability

GMC exemplifies Bhutan’s philosophy of “Building with Nature.” The city integrates renewable energy sources, preserves biodiversity, and promotes low-impact urban living. Infrastructure projects, including the airport and advanced digital networks, will be powered entirely by green energy.

Global Collaborations

GMC benefits from expertise provided by international partners, including:

Bjarke Ingels Group (BIG): Urban design and architecture. Changi Airport Group: Logistics and airport planning. Magnolia Quality Development Corporation Limited (MQDC): Project management. NACO: Feasibility studies for aviation infrastructure. ERM: Ecological preservation. These collaborations reinforce Bhutan’s commitment to global standards in sustainable development.

Significance

GMC represents a bold step in Bhutan’s journey toward becoming a model for sustainable urban development. By blending cultural preservation with economic growth, it offers a unique blueprint for cities worldwide.