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Punakha served as the capital of Bhutan and still is the winter seat of Je Khenpo (the chief abbot). Blessed with temperate climate and owing to its natural drainage from Pho Chhu (male) and Mo Chhu (female) rivers, the Punakha valley produces abundant crops and fruits. There are splendid views of the distant Himalayas at Dochula pas (alt. 3,050m) on Thimphu - Punakha road. Also, in spring and early fall the route is covered in various flowers. Wild animals are often spotted along the road.
The second dzong built by Shabdrung, in 1637, on a strategic junction at the confluence of Pho Chhu and Mo Chhu rivers, Punakha Dzong has played a hallowed role in history of Bhutan. It served as the seat of Shabdrung's government, several foreign delegations were received here in 18th and 19th century, the election and coronation of the first King was observed 1907 and the Third King convened the first National Assembly in the Dzong. The central monastic body continues to reside here in winter. The embalmed bodies of Shabdrung Ngawang Namgyal and Terton Pema Lingpa are kept on the top floor of the main tower.
Damaged by four catastrophic fires and an earthquake, the Dzong has been fully restored by the present King from the latest fire in 1987. The Dzong is open for visitors during Punakha festival and in summer months when the central monastic body moves to Thimphu.
Talo village at 2,800 meters above Punakha valley is scattered along the hill slopes. The village is crowned by Sangachoeling temple on a plateau. The farmhouses are beautiful with most houses having plot of flower gardens.