The estimated population of the country is 6,50,000 with the growth rate of 3.1% per year. The country is still predominantly rural and about 85% of the people live in villages.

Three main ethnic groups constitute its population :

Sharchops : Live in eastern part of country are recognized as the original inhabitants of Bhutan and are Indo Mongoloid origin.

Ngalops : Are descendants of Tibetan immigrants who arrived in Bhutan from 9th century and settled in the west of country.

Lhotshampas : This Nepalese group, began settling in the south of Bhutan in the late 19th century. The Lhotshampa represents different Nepali speaking ethnic groups primarily – Brahman, Chettri, Gurung, Rai and Limbu.