Paro College of Education, one of the constituent colleges of the Royal University of Bhutan is working towards introduction of the first ever PhD programme in Bhutan - PhD in Education and Gross National Happiness (GNH) which is scheduled to launch in 2019. Gross National Happiness is the development philosophy of Bhutan introduced by the Fourth King sometimes in the early 1970s. Since 2010 the Ministry of Education has introduced the ‘Educating for GNH’ programme in the entire schools to transform the education system into one that will be guided by the philosophy of GNH. Currently there are opportunities as well as challenges with regard to this programme. The focus of the PhD programme is Education and GNH and the knowledge generated through this programme is likely to support the Ministry of Education in transforming the education system into one that is more robust and practical to suit the changing needs of the 21st century.