Industrial Loan

Nature Details
Financing Pattern The bank lends equipment loan up to 60% to 75% of the cost of the equipment (CIF, P/ling).
Interest Rate & Fees The interest rate for construction equipment loan is 12% per annum. A sum of Nu. 100 is charged as application fee.
Loan Term 7 years maximum
Eligibility The customer should be a Bhutanese national
Repayment
Particular date for commencement of repayment date is fixed in the loan agreement repayable either in monthly or quarterly installment.
Documentations
Pre-sanctioning: Annual Audited report, trade license, CDB license, ID card copy, 2 past port size photographs, import license and invoice of the equipment, FIS clearances.
Post-sanctioning
Loan Agreement & Hypothecation deed. The customer on the immediate arrival of the equipments is required to submit a copy of blue book and insurance policy certificate.
Application Process
The customer is required to contact the appraisal officer under industrial loan division at Ph # 328578-118/124.
INDUSTRIAL LOAN FINANCING

Nature Details
Financing Pattern
The bank lends industrial loan up to 60% to 75% of the cost of the project and it does not include working capital margin money and working capital loan up to 75% of the total working capital gap. The financing may be in the form of consortium and it is only for the manufacturing concern.
Interest Rate & Fees
The interest rate for industrial loan is 12% and working capital loan 13% per annum. A sum of Nu. 100 is charged as application fee and valuation fee of Nu. 500/- in the minimum and Nu. 5,000/- at the maximum is also charged as per the engineers’ valuation.
Loan Term 10 years maximum (including construction period)
Eligibility The customer should be a Bhutanese national
Repayment
Particular date for commencement of repayment date is fixed in the loan agreement repayable either in monthly or quarterly installment.
Documentations
Pre-sanctioning: Project Report, Project Approval letter by MTI, Trade license, NEC clearance, Land allotment letter along with lease agreement(if it is on the lease land), certificate of incorporation & article of in corporation (if it is a registered company under the Companies Act of Kingdom of Bhutan), FIS clearances
Post-sanctioning
Loan Agreement & Hypothecation deed. A copy of insurance policy certificate has to be submitted. The company is required to submit stock statement report every quarter if not monthly and annual audited report every year.
Application Process The customer is required to contact the appraisal officer under industrial loan division at Ph # 328578-118/124.

SERVICE & TOURISM LOAN

Nature Details
Financing Pattern
The bank lends industrial loan up to 60% to 75% of the cost of the project and it does not include working capital margin money and working capital loan up to 75% of the total working capital gap. The financing purpose should be for the establishment of schools, hotels, resorts, for purchasing passenger buses and equipment for tour operating companies.
Interest Rate & Fees
The interest rate service & tourism loan is 10% excepting public passenger buses which is 12%per annum. A sum of Nu. 100 is charged as application fee and valuation fee of Nu. 500/- in the minimum and Nu. 5,000/- at the maximum is also charged as per the engineers’ valuation.
Loan Term
10 years maximum (including construction period) and 5 years for public passenger buses.
Eligibility
The customer should be a Bhutanese national
Repayment
Particular date for commencement of repayment date is fixed in the loan agreement repayable either in monthly or quarterly installment.
Documentations
Pre-sanctioning: Project Report, Trade license, ownership Certificate, approval drawings from the city corporation, (if it is for the establishment of hotels, resorts & schools), invoice from the STCL & RSTA’s route approval (if it is for the purchase of passenger buses) FIS clearances, ID card of the promoter.
Post-sanctioning Loan Agreement & Hypothecation deed. A copy of insurance policy certificate has to be submitted. On the immediate arrival of the buses, the customer is required to submit a copy of blue book and insurance policy certificate of the bus.
Application Process The customer is required to contact the appraisal officer under industrial loan division at Ph # 328578-118/124.

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