March.06, 2020
12.75% Bonus Share Tax List
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SME Loan


Small and medium enterprises in Nepal form an integral part of the economy. These sectors have a vast but untapped credit requirement in the banking sector. Such credit requirements are either catered through the personal lending market or tapped by co-operatives. Such businesses are generally managed individuals and family run. They have core understanding of what business they are doing but when it comes to producing financials, written business plans, etc. The accounting and financing records they keep are very simple. Due to these factors, apart from many others, they are shy and reluctant to approach banks and financial institutions to fulfill their credit requirements.

This product is designed in such a way that such borrowers can avail such requirements in SME category in the form of overdrafts and term loan according to their requirements. This  products would be suit for small family businesses including retailers, wholesalers, distributors, cottage and small scale manufacturing/processing units, exporters, importers, contractors, suppliers, workshops, fabricators, educational institutions, medical/health facilities, travel/tour operators and service sectors.

Purpose of the Loan:

To fulfill working capital requirement / capital expenditure as well as local LC and Bank Guarantees.

  1. Facility not exceeding 70% of net working assets (stock + debtors + advance to suppliers- creditors - advance received) and/or 70%o of capital expenditure requirement of the borrowing unit.
  2. Total financing not exceeding 70% of the total fixed assets collateral.

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