| Year | Date | Event |
|---|
| 1903 | | The last reigning Shabdrung dies, and a successor is not found until 1906. In the meantime, the civil administration comes under the power of the Ugyen Wangchuck as Druk Desi. |
| Ugyen Wangchuck volunteers to accompany a British mission to Lhasa as a mediator in the British expedition to Tibet and resulting Anglo-Tibetan Convention. In return, Ugyen is knighted and thereafter continues to accrue greater power in Bhutan. (to 1904) |
| 1907 | 17 December | Ugyen Wangchuck is elected Bhutan's first hereditary ruler (Druk Gyalpo) after having politically unified the country. |
| 1910 | 8 January | The Treaty of Punakha amends two articles of the 1865 Treaty of Sinchula: the British agree to double the annual stipend to 100,000 rupees and "to exercise no interference in the internal administration of Bhutan." In turn, Bhutan agrees "to be guided by the advice of the British Government in regard to its external relations." |
| 1926 | 21 August | King Ugyen Wangchuck dies; his son Jigme Wangchuck begins to reign. |
| 1927 | 16 March | Coronation of Jigme Wangchuck. |
| 1931 | | The 7th Shabdrung Jigme Dorji dies at Talo monastery. Jigme Dorji is the last Shabdrung recognized by the government of Bhutan, though subsequent claimants to the incarnation continue today. |
| 1947 | | The British Empire leaves India, and direct political by the British ends. Bhutan remains relatively isolated from international affairs. |
| 1949 | 8 August | India and Bhutan sign the Treaty of Peace and Friendship, which provided that India would not interfere in Bhutan's internal affairs but that Bhutan would be guided by India in its foreign policy. The same year, India cedes to Bhutan some territories lost to the British in the 1865 Treaty of Sinchula. |
| 1952 | 24 March | King Jigme Wangchuck dies; his son Jigme Dorji Wangchuck begins to reign. Bhutan begins a program of planned development and democratization. The same year, the National Assembly is established, and the post of Chief Minister (Gongzim) is abolished. |
| 1957 | | Major glacial lake outburst flood from glacial lakes. |
| 1958 | | Slavery is abolished. |
| The first Nationality Act is enacted, defining Bhutanese citizenship and introducing a compulsory registration process. |
| 1959 | | Bhutanese enclaves in western Tibet are seized by the Chinese. |
| 1960 | | Major glacial lake outburst flood from glacial lakes. |
| 1961 | | First Five-Year Plan is introduced. |
| 1964 | 5 April | Prime Minister Jigme Palden Dorji is assassinated in a dispute among competing political factions. The King's own uncle, a military cadre, was among those executed for their role in the attempted coup. After a brief tenure by acting Prime Minister Lhendup Dorji, the post of Prime Minister is abolished until 1998. |
| 1965 | | Unsuccessful attempt to assassinate King Jigme Dorji Wangchuck. |
| 1966 | | The capital is moved from Punakha to Thimphu through a transition period when Punakha was the winter capital and Thimphu the summer capital. |
| 1968 | | King Jigme Dorji Wangchuck establishes the first Council of Ministers, or executive cabinet. At the same time, the king renounces his power of veto, which had never been used. The king also creates the High Court (the Thimkhang Gongma) and empowers it to review the king's decisions. The Bank of Bhutan is also founded as a central bank, charged with supervising the transition from a barter economy to a monetary economy. |
| Major glacial lake outburst flood from glacial lakes. |
| 1969 | | Jigme Dorji Wangchuck called for a triennial vote of confidence by the National Assembly to renew the Druk Gyalpo's mandate to rule. This vote was later abolished by his successor. |
| 1970 | | Bhutan's population reaches an estimated 300,000. |
| 1971 | | Bhutan joins the United Nations. |
| 1972 | 21 July | King Jigme Dorji Wangchuck dies; his son Jigme Singye Wangchuck begins to reign. |
| 1974 | March | Strains between the Wangchucks and Dorjis were relieved with the return that year of the exiled members of the latter family. The reconciliation, however, was preceded by reports of a plot to assassinate the new Druk Gyalpo before his coronation could take place and to set fire to the Tashichho Dzong, the seat of government in Thimphu. Yangki, the Druk Gyalpo's Tibetan mistress, was the alleged force behind the plot. Thirty persons were arrested, including high government and police officials. (to April) |
| 2 June | Coronation of Jigme Singye Wangchuck. The same year, the first foreign tourists are allowed to enter Bhutan. |
| 1978 | | Bhutan's population reaches an estimated 400,000. |
| 1982 | | The Royal Government establishes the Royal Monetary Authority, the central bank of Bhutan. |
| 1985 | 10 June | The Bhutanese Citizenship Act 1985 is enacted. |
| 1986 | | Bhutan's population reaches an estimated 500,000. |
| One thousand illegal Lhotshampa laborers are expelled. |
| 1987 | | Gasa District is split up among Punakha and Thimphu Districts; Chhukha District is carved out from parts of Samtse, Paro, and Thimphu Districts. |
| 1988 | | Bhutan conducts its first census. As a result, many Lhotshampa (ethnic Nepalis) are branded as illegal immigrants. |
| After a census, the government begins evicting those it identifies as illegal immigrants among the Nepali-speaking population in southern Bhutan. Over two decades, the population of Bhutanese refugees in refugee camps in neighboring Nepal climbed to 107,000 by 2008 according to UNHCR. |
| 1989 | | The driglam namzha, the official behaviour and dress code, is elevated from recommended to mandatory in public and educational settings. Nepali ceases to be a language of instruction in schools, escalating tensions between Ngalops and Lhotshampas. |
| Tek Nath Rizal, leader of the Bhutan Peoples' Party, is arrested and imprisoned. |
| 1990 | | Violent ethnic unrest and anti-government protests in southern Bhutan pressing for greater democracy and respect for minority rights. The Bhutan Peoples' Party, whose members are mostly Lhotshampa, begin a campaign of violence against the government. Pro-government citizen militias form in response to rising crime and violence including clashes between Lhotshampa demonstrators and the Royal Bhutan Army. The Bhutan Peoples' Party is subsequently banned. |
| 1991 | | Jigme Singye Wangchuck threatens to abdicate in face of hardline opposition in the National Assembly to his efforts to resolve ethnic unrest, leaving an international summit to attend to unrest. |
| 1992 | | Tek Nath Rizal, leader of the illegal Bhutan Peoples' Party, is sentenced to life imprisonment. |
| Gasa District is carved out from Punakha District; Tashi Yangtse District is split from Trashigang District. Other district boundaries are also changed |
| 2 November | The National Security Act is enacted. The Act defines treason and speech crimes, as well as unlawful assembly, rioting, and states of emergency, providing for lengthy prison sentences, capital punishment, and the use of deadly force by the government to stop unlawful demonstrations. |
| 1994 | | Major glacial lake outburst flood from glacial lakes, devastating Punakha. |
| 1998 | | The Council of Ministers (Lhengye Zhungtshog) replaces the cabinet, and King Jigme Singye Wangchuck withdraws from his role in the decision-making of the cabinet. The post of Prime Minister (Lonchen) is restored. (to 1999) |
| 1999 | | Television is introduced. |
| 18 December | Tek Nath Rizal, leader of the illegal Bhutan Peoples' Party, is pardoned and released from prison along with some 40 other political prisoners. He goes into exile in Nepal, a common condition of release among Lhotshampa political dissidents. |
| 2000 | | Bhutan and Nepal reach an agreement regarding the repatriation of certain classes of Bhutanese refugees living in camps in Nepal, subject to joint government verification. Points of contention included that some camp inhabitants were never citizens – or some even residents – of Bhutan before attaining refugee status. Also, the Bhutanese government regarded many political groups among the Nepalese Lhotshampa community, such as the Bhutan Peoples' Party (BPP) and Bhutan National Democratic Party (BNDP), as terrorist or anti-national groups. |