Bhutan follows a five-year socio-economic development planning cycle starting with the 1st Five Year Plan (FYP) in 1961. The FYPs articulate the socio-economic development priorities and programmes to be implemented over a five-year period.The purpose of the guideline is to guide the central agencies and local governments in formulation of their 12th FYP plans and programmes based on the overall national priorities. The national priorities articulated by the Plan Objective and the NKRAs shall be the basis for central and local government plans and programmes. The Guideline is also expected to serve as a central reference document for all actors in nation building, including the various political parties and institutions, development partners, CSOs, as well as the private sectors. Furthermore, it has identified lead agency and relevant stakeholders for each of the 16 NKRAs to facilitate better coordination, consolidation and collaboration among central agencies and local governments. All central and local government agencies are required to coordinate with the lead agency and the stakeholders while formulating their key results areas, KPIs and programmes.