BRCL will be owned 60% by the Bhutan Hotels Limited which is a fully-owned subsidiary of Silverlink Holdings, a BVI-registered company; 20% by the Bhutan Tourism Corporation Limited, a publicly held company and the third largest tour operator in Bhutan. The remaining 20% will be offered to local financial institutions and the general public at a later stage.

The total project cost is estimated at $18.0 million. The proposed IFC investment is an A loan of up to $6.3 million for IFC’s own account.

10.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	10.0
Equity

* These investment figures are indicative

The six lodges and their associated facilities/access roads will be at the following locations in Bhutan: Paro, Thimphu, Punakha, Gangte, Trongsa and Bhumthang.

Development impact: The project will facilitate future investments and contribute to the development of the tourism sector in the country. The venture will also create direct employment for approximately 200 local staff who will benefit from higher than average salaries and extensive training in all aspects of hospitality services. Furthermore, it is expected that in-country transportation between the six locations, sight-seeing, trekking and other nature activities will provide additional employment. Through the project IFC has a significant opportunity to help develop strong linkages with the local community by enlarging economic opportunities and elaborating on sound environmental management policies. A significant proportion of goods and services required by the resort guests will be sourced locally and IFC will encourage the company to assist the suppliers in raising the quality and standards of local goods and services. IFC role: Bhutan is a frontier economy with limited investment opportunities and very limited private business activity. It has historically been closed to foreign private investment. By participating in one of the first foreign investments in Bhutan, and specifically in the tourism sector, IFC will: - bring confidence to the promoters and to government in undertaking this path breaking investment, - set standards for environmental and social impacts and economic linkages, and - encourage further foreign private investment.

This is a Category B project according to IFC''s Procedure for Environmental and Social Review of Projects, because a limited number of specific environmental and/or social impacts may result, which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria.
Location of environmental documents in locally affected community
The environmental documents will be disclosed at each of the sites located at: - Paro - Tsento Gewog - Paro Dzongkhag - Thimphu - near the Kuengacholing State Guest House, Thimphu - Punakha - Habisa, Punakha - Gangte - Gangte Goemba, Phobjikha - Trongsa - Trongsa Town - Bumthang - Wandichoeling, Bumthang In addition, for the Gangte site there will be a meeting for the local community to disclose and discuss the ERS. The details of such a meeting will be available at the site and in the local newspaper.