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Borrower Eligibilities (General)

1. Possess a valid Bhutanese citizenship card
2. Must be at least 18 years in age
3. Must not be declared bankrupt under the Bankruptcy Act of Bhutan
4. Must be with good past repayment record

*** Other requirements (addition) specified under respective loan products under borrower eligibility

Required Documents (General)

1. Two recent passport size photograph
2. A copy of Citizenship Identity (CID) of applicant
3. NoC copy
4. 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

1. Must be engaged in agriculture activities

Term period

Maximum term period of Five years

Required Documents

1. Detailed project costing of activities to be carried out/copy of invoice/quotation for machinery to be purchased from an authorized dealer
2. Copy of Land ownership certificate
3. NoC copy

SEASONAL LOAN

This loan is given to individuals for season based agricultural activities.

Borrower Eligibility:

1. Must be engaged in Seasonal activities/business

Term period:

Maximum term period of one year (Non renewable/extendable)

Required Documents

1. Detailed Project costing of work
2. 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

1. Must hold a valid trade license obtained from MoEA
2. Must be with good past repayment record

Term Period:

Maximum term period of Five years

Required Documents

1. Detailed project costing of activities to be carried out.
2. 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

1. Must have a proper source of Income

Term period:

Maximum term period of Five years

Required Documents

1. Copy of invoice/quotation for Vehicle to be purchased from an authorized dealer
2. 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

1. Must have a proper source of Income

Eligibility for corporate entities

1. Must be incorporated under the Companies Act of the Kingdom Of Bhutan
2. Produce a copy of valid Certificate of Incorporation from the relevant agency
3. Must have a clearly defined management structure, roles and responsibilities and
4. Must be creditworthy.

Term Period

Maximum term period of Ten years

Required Documents

For individual

1. Copy of Business plan
2. Provide copies of annual financial reports for the last 3 years for existing business
3. Projected Financial Statements for new business
4. Project costing

For Business entity

1. Copy of Certificate of Incorporation
2. Copy of Business plan
3. Existing companies must provide copies of annual financial reports for the last 2 years
4. Projected Financial Statements for new business
5. 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

1. Must have a proper source of Income
2. Must be creditworthy.

Eligibility for corporate entities

1. Must be incorporated under the Companies Act of the Kingdom Of Bhutan
2. Produce a copy of valid Certificate of Incorporation from the relevant agency
3. Must have a clearly defined management structure, roles and responsibilities and
4. Must be creditworthy.

Term period

Maximum period of one year, renewable based on continuity of the business and repayment status.

Required Documents

For individual

1. Copy of Business plan
2. Provide copies of annual financial reports for the last 3 years for existing business
3. Projected Financial Statements for new business
4. Project costing

For Business entity

1. Copy of Certificate of Incorporation
2. Copy of Business plan
3. Existing companies must provide copies of annual financial reports for the last 2 years
4. Projected Financial Statements for new business
5. 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

1. Must hold a valid trade license obtained from MoEA
2. Must be creditworthy.

Term period

Maximum term period of one year

Required Documents

1. Detailed project costing of activities to be carried out(recurrent expenses)
2. 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

1. Land on which the construction to be carried out should be in the name of the applicant
2. Must be creditworthy.

Term period

Maximum term period of 20 years

Required Documents

1. Architectural drawing of the building to be constructed
2. Copy of Land ownership certificate.
3. 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

1. The cooperative should have valid registration with Department of Agriculture Marketing and cooperatives or relevant registry/regulatory authority.
2. The cooperative should carry out activities permissible as per act/regulation concerned
3. The cooperative should have good track record with other financial institutions including other BDB branch office.
4. The cooperative individual members should have good track record with other financial institutions including other BDB branch offices
5. The existing loan of the cooperatives or its members should be liquidated or regularized

Term period

Maximum term period of 5 years

Required Documents

1. Architectural drawing of the building to be constructed
2. Copy of Land ownership certificate.
3. 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

1. Should be an employee in government or corporate agencies
2. 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

1. Recent pay slip signed by finance department of concern agency
2. 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.