It is likely that the unemployed Bhutanese refugee youth in Nepal will shortly become potential recruits for militant forces that currently destabilize Northeast India, Southern Bhutan and Eastern Nepal. Frustration with a legal process between the governments of Bhutan and Nepal that appears to be going nowhere, a splintered refugee leadership, a seemingly uncompromising Bhutanese monarchy, and the lack of future options may push these refugee youth to turn to militancy. The Bhutanese youth are emerging from the refugee camps to a militarized job market. The past decade has seen surge of Maoist insurgency activity in Nepal, and across the border, in Northeastern India, rebel and separatists forces like the United Liberation Front of Assam (ULFA) continue their guerilla activities against the Government of India. Increasing frustration amongst the refugee youth and the existing militarization in the surrounding region could lead to potential matches between the Bhutanese youth and insurgent groups. This paper explores the potential of the Bhutanese refugee youth to turn to militancy.