Tiny, landlocked Bhutan detailed plans on Tuesday for a "Mindfulness City" to lure foreign investment and international travellers to the Himalayan kingdom which has otherwise sought to discourage outside visitors.

Bhutan, with a population of less than 800,000, is nestled between China and India and is known for its policy of prioritising "Gross National Happiness" over growth.

Despite striving for the contentment of its citizens, the government has struggled with widespread unemployment that has prompted thousands of youngsters to emigrate abroad.

Authorities hope the new project will reverse the trend by attracting foreign capital to a new special economic zone on the country's border with India at Gelephu -- currently a small town home to less than 10,000 people.

Press materials describe the project as a future repository for businesses utilising the kingdom's cheap and abundant hydropower resources, including for data centres and artificial intelligence companies.

"The city will be a haven for creativity and knowledge-sharing, with public spaces designed for communal learning and collaboration," the project's lead architect Bjarke Ingels said.

Ingels was speaking at a forum in the city of Paro held to publicise the Gelephu Mindfulness City project.

The forum's start coincided with an announcement from King Jigme Khesar Namgyel Wangchuck that a board had been appointed to steer the project's development, led by Mun Leong Liew of Singapore.

Liew's infrastructure experience includes stints with Singapore's airport authority and state-owned urban development consultancy Surbana Jurong.

Bhutan's government has given scant other details of the project since it was announced by the king last December.

There has been no official confirmation of when construction will break ground or its total estimated budget.

What plans have been released outline an airport to service the special economic zone which will handle up to five million passengers per year when fully operational.

Bhutan saw around 100,000 foreign arrivals last year, part of the kingdom's efforts to protect its environment and culture from overtourism by levying a $100 daily charge to most visitors.