Commercial Agriculture and Livestock Loan

Commercial Agriculture and Livestock Loan (CAL) is interest-subsidized loan sanctioned in favor of business entities involved in agriculture and livestock to finance their requirement of fund as defined in "Unified Guidelines, 2075 for Interest Subsidy on Subsidized Loan".

Loan Limit: Upto 100 M

Purpose: To extend various funded and non-funded credit facilities to firms/business entities involved in commercial agriculture and livestock farming.

Tenor: Revolving Facilities: Maximum up to one year, renewable every year subject to satisfactory performance review; repayable on demand.

Fixed Term Loan: Maximum up to 15 years for land and building as well as other Fixed Assets (inclusive of livestock/cattle/plantation etc.) including Moratorium period. However, interest subsidy shall be considered for tenure up to 5 years only.

Pricing:

 Interest Rate: Base Rate + 2% Premium

 Loan Processing/Renewal Fee: Nil

Interest subsidy of 5% shall be provided i.e. Base Rate + 2.00% Premium; Less Interest Subsidy 5% shall be applicable to the borrower.

Note: However, in case of loan limit greater than NPR. 50 Million, then on first Rs.50   M borrower shall get subsidy of 5% and for loan limit above NPR. 50 M, borrower shall get subsidy of 2% only.

Eligibility:

• Age of proprietor/partner/promoter/shareholder/business operators should be above 18 years.
• For loan amount upto 10 M, borrower must be Firm or Company and for loan amount greater than 10 M, borrower must be Company under Companies Act, 2073.
• 100% shareholding must be of Nepali Citizens.
• Borrower should not have been enjoying any other facility under “Unified Guidelines, 2075 for interest Subsidy on Subsidized Loan” except Earthquake Victims Housing Loan (if availing).