Borrower Eligibilities (General)
- Possess a valid Bhutanese citizenship card
- Must be at least 18 years in age
- Must not be declared bankrupt under the Bankruptcy Act of Bhutan
- Must be with good past repayment record
*** Other requirements (addition) specified under respective loan products under borrower eligibility
Required Documents (General)
- Two recent passport size photograph
- A copy of Citizenship Identity (CID) of applicant
- NoC copy
- Loan application form (product wise)
*** Other required requirements (addition) specified under respective loan products under required documents
AGRICULTURE LOAN
BDB being the only development bank in the country with a mandate to serve the rural community in improving the livelihood of the rural people provides loans in agriculture sector which includes loans for land development, purchase of farm machinery or any agricultural activities.
Borrower Eligibility
- Must be engaged in agriculture activities
Term period
Maximum term period of Five years
Required Documents
- Detailed project costing of activities to be carried out/copy of invoice/quotation for machinery to be purchased from an authorized dealer
- Copy of Land ownership certificate
- NoC copy
SEASONAL LOAN
This loan is given to individuals for season based agricultural activities.
Borrower Eligibility:
- Must be engaged in Seasonal activities/business
Term period:
Maximum term period of one year (Non renewable/extendable)
Required Documents
- Detailed Project costing of work
- Copy of Land ownership certificate
GENERAL TRADE LOAN
General Trade Loan is given to Business Entrepreneurs holding trade license under his/her name. The nature of cost to be finance should be non-recurrent.
Borrower Eligibility
- Must hold a valid trade license obtained from MoEA
- Must be with good past repayment record
Term Period:
Maximum term period of Five years
Required Documents
- Detailed project costing of activities to be carried out.
- Copy of Land ownership certificate/Insurance copy of assets to be mortgaged.
TRANSPORT LOAN
This loan is given to individuals or business entity wishing to purchase vehicle from authorized dealer.
Borrower Eligibility
- Must have a proper source of Income
Term period:
Maximum term period of Five years
Required Documents
- Copy of invoice/quotation for Vehicle to be purchased from an authorized dealer
- Proof of sources of Income
MANUFACTURING/INDUSTRIAL LOAN
BDB provides loan for individual wishing to start up business in manufacturing or mining sector or to expand existing ones.
Borrower Eligibility
Eligibility for individual
- Must have a proper source of Income
Eligibility for corporate entities
- Must be incorporated under the Companies Act of the Kingdom Of Bhutan
- Produce a copy of valid Certificate of Incorporation from the relevant agency
- Must have a clearly defined management structure, roles and responsibilities and
- Must be creditworthy.
Term Period
Maximum term period of Ten years
Required Documents
For individual
- Copy of Business plan
- Provide copies of annual financial reports for the last 3 years for existing business
- Projected Financial Statements for new business
- Project costing
For Business entity
- Copy of Certificate of Incorporation
- Copy of Business plan
- Existing companies must provide copies of annual financial reports for the last 2 years
- Projected Financial Statements for new business
- Project costing
WORKING CAPITAL LOAN
Loan given for day to day operations of business entities particularly in the manufacturing, mining and service sectors with maximum term period of 1 year, renewable based on continuity of the business and repayment status.
Borrower Eligibility
Eligibility for individual
- Must have a proper source of Income
- Must be creditworthy.
Eligibility for corporate entities
- Must be incorporated under the Companies Act of the Kingdom Of Bhutan
- Produce a copy of valid Certificate of Incorporation from the relevant agency
- Must have a clearly defined management structure, roles and responsibilities and
- Must be creditworthy.
Term period
Maximum period of one year, renewable based on continuity of the business and repayment status.
Required Documents
For individual
- Copy of Business plan
- Provide copies of annual financial reports for the last 3 years for existing business
- Projected Financial Statements for new business
- Project costing
For Business entity
- Copy of Certificate of Incorporation
- Copy of Business plan
- Existing companies must provide copies of annual financial reports for the last 2 years
- Projected Financial Statements for new business
- Project costing
OVER DRAFT LOAN
The Bank shall extend credit facility to the extent of overdraft limit (sanction limit) against which account holder can withdraw. The loan amount for overdraft shall be determined by contract value of work, supply orders and stocks, etc.
Borrower Eligibility
- Must hold a valid trade license obtained from MoEA
- Must be creditworthy.
Term period
Maximum term period of one year
Required Documents
- Detailed project costing of activities to be carried out(recurrent expenses)
- Copy of Land ownership certificate/Insurance copy of assets to be mortgaged.
HOUSING LOAN
Housing loan is provided to the Bhutanese citizen public for the following purposes:
- Construction of new house/Purchase of house or flat.
- For the repair/renovation/reconstruction of the existing house.
Borrower Eligibility
- Land on which the construction to be carried out should be in the name of the applicant
- Must be creditworthy.
Term period
Maximum term period of 20 years
Required Documents
- Architectural drawing of the building to be constructed
- Copy of Land ownership certificate.
- Estimated rental income for the building.
CO-OPERATIVE LOAN
The cooperative loan is to cater to the credit requirements of registered cooperatives/groups to take up higher levels of income generating activities. The cooperative loans are wholesale lending to the cooperatives that decides how the loans are to be distributed among the members.
Borrower Eligibility
- The cooperative should have valid registration with Department of Agriculture Marketing and cooperatives or relevant registry/regulatory authority.
- The cooperative should carry out activities permissible as per act/regulation concerned
- The cooperative should have good track record with other financial institutions including other BDB branch office.
- The cooperative individual members should have good track record with other financial institutions including other BDB branch offices
- The existing loan of the cooperatives or its members should be liquidated or regularized
Term period
Maximum term period of 5 years
Required Documents
- Architectural drawing of the building to be constructed
- Copy of Land ownership certificate.
- Estimated rental income for the
EMPLOYEE LOAN
The employee loan is given to government and corporate employee who are entitled for post-retirement benefits
Borrower Eligibility
- Should be an employee in government or corporate agencies
- Should be in service for more than 2 years or provide guarantor if employed for less than 2 year.
Term Period
Maximum term period of 5 years
Required documents
- Recent pay slip signed by finance department of concern agency
- Appointment order
BRIDGE LOAN
A very short-term loan that provides interim financing until permanent financing can be arranged. This loan is for a maximum term of one year and cannot be renewed or the term be extended.
MICRO ENTERPRISES AND VEGETABLE VENDOR LOAN
This loan scheme is for those petty businesses in urban areas registered with the Bhutan Chamber of Commerce and Industry that are facing difficulty in accessing formal credit services from banks due to non availability of acceptable collateral. The loans are given as per joint liability model.
EDUCATION LOAN
Loans to meet the educational expenses.
COMMUNITY DEVELOPMENT LOAN
Community Development Loan (CDL) is a Micro Loan product designed to facilitate financial inclusion of the rural farmers and other populace, particularly those who are currently limited to credit services due to non – availability of collaterals.
Objects
- Promote and support the establishment of micro projects in the communities
- Fill up the gaps in accessing financing support in the rural areas
- Reduce income inequality and support rural development
- Improve livelihood of rural communities and e) Promote financial inclusion of people
Borrower Eligibility
- Should be within the age range of 18- 60 years
- The cost of project to be undertaken should not exceed Nu.500,000.
- Has genuine project/interest to take up the business.
- One CDL for one household (as per family tree) at a time, provided no existing loan for same activity from BDBL as well as from other financial service provider.
Term Period
Maximum term period of 10 years excluding gestation period
Required Document
- Duly filled loan application form (Can be downloaded from BDB website)
- Valid CID copy
- Two recent passport size photographs
- Latest family tree
- Local Governance to certify that borrower is permanent resident of Gewog
- Insurance policy (To be insured prior to disbursement by the bank)
- Performa invoice where applicable
- Recommendation letter from relevant agencies where applicable