Corporate Loan

NPPF provides long term and short-term corporate loans to the following:

  1. Royal Government & its Institution, Agencies and Projects,
  2. Government owned, Joint sector corporations and public limited companies incorporated under the companies act of the kingdom of Bhutan.
  3. To projects under taken by private institutions/individuals but only by way of consortium financing with other financial institutions.

In order to avail corporate loan, please find the check list that is required by the client to submit to NPPF for necessary actions. Click here.

Following are the Interest range applicable on corporate loans but the rates may differ for different corporations/projects based on individual corporations/projects association to risks.

Loan Tenor Interest Rate
Up to 3 Years 7.65% to 10.15%
Up to 5 Years 7.73% to 10.23%
Up to 7 years 7.85% to 10.35%
Up to 10 Years 8.10% to 10.60%
Above 10 years 8.85% to 11.35%

Real Estate

Real Estate forms one of the strategic asset class to make long term investments of the Fund. The focus of real estate development is on building commercial and residential spaces that yield return on investments necessary to generate a sustainable rate of returns on the members’ fund. Currently, NPPF has three construction projects in progress at Thimphu, Gelephu and Phuntsholing.

Besides the development of infrastructure, the management of these assets are carried out in house by a team of maintenance staff.

All tenants of the NPPF commercial and residential units are  required to pay rent on or before the 10th day of the following/ensuing month directly to the Bank or its branches indicated in the tenancy agreement using the preprinted/pre-numbered rent invoices supplied by the NPPF or as per the directives or procedures prescribed by the NPPF from time to time. Failure to pay the monthly rent within the stipulated deadline shall attract penalties as per the terms and conditions of the lease agreement.

NPPF Venture Fund

The Venture Capital Fund of NPPF was created to invest in potential and viable early start-up companies in Bhutan. The fund was created with the expectation to create long term value for NPPF, to boost economy and innovate spirit in the country and to provide access to equity capitals. 

The objective or the very purpose of the fund is to inject capitals in exchange for an equity stake in start-up companies that will add value to NPPF in long run. Such investments in potentially viable start-up projects would provide NPPF with an opportunity to make huge investments in the future if found commercially scalable and sustainable. Through this fund, NPPF will be able to diversify, spot new and emerging innovative investment options and business opportunities in the market.

Guiding Principles:

  • Equality
  • Transparent evaluation and selection of ideas
  • Responsibility and accountability
  • Safety of the fund
  • Long term benefits and returns
  • Diversification
  • Growth and expansion