ESP EDUCATION LOAN SCHEME 2025
To be eligible for loan, applicants must be:
Household Income is computed as the total combined income earned by both parents (or legal guardians) in a year. For salaried parents verified through PIT (Total Adjusted Gross Income) and for business through BIT (Net Taxable Income).
The maximum loan amount available under this scheme is Nu. 1,500,000 (One Million Five Hundred Thousand).
The interest rate is 4% per annum (fixed interest)
The loan tenure is 10 years (excluding the gestation period)
The loan will cover both tuition fee for the course and living expenses.
The Bank will release the tuition fee directly to the colleges/institute and living expenses will be disbursed to clients’ CASA account.
Yes, but only within India.
No. You must be below 25 years of age at the time of application.
Yes. You are eligible for the loan as long as you fulfill other terms and conditions.
Yes! Even if you already started your course in July 2025, you could apply if you fulfill the eligibility criteria.
If your loan application is approved, the Bank will reimburse the tuition fees if you have already paid for the first semester, provided you submit the official receipt or proof of payment along with your application.
If your loan gets approved but decide to defer the start of your course, you must immediately inform the Bank.
Yes, the ESP Education Loan Scheme will still be available for courses starting in 2026. The scheme is being implemented from July 2025 to June 2028, with two application cycles every year.
The total fund allocated for this scheme under ESP is Nu. 600.00 million.
The scheme will discontinue as soon as the fund allocated for the scheme is exhausted.
Yes, Annual financing under the scheme shall not exceed Nu. 150 million.
The loan application will be processed within 3 working days after the submission of the complete set of documents.
You can apply either through the Digital Lending Platform of Bank of Bhutan or visit any nearest Branches. https://bobloan.bob.bt/dlp/#/dashboard
Yes, guarantor for this scheme is mandatory. Applicant’s parents or legal guardian will act as your guarantor.
No, you are ineligible for the loan.
Yes, you will be eligible for the loan subject to fulfilment served some cooling period. Please visit the nearest branch for more information and clarification.
The gestation period is Course Duration plus 1 year.
Repayment begins after graduation plus 1 additional year to allow for job search. For example, if you’re pursuing a 4-year course, your repayment starts in the 6th year. This gestation period ensures that you are not burdened while studying or immediately after graduation.
If you discontinue the course midway through a semester, you will be required to repay the loan amount disbursed for the entire semester immediately.
If you fail a semester, the bank will not finance that particular semester. However, the loan will be available for the following semesters once you continue your studies.
No, only enrollment from July 2025 and hereafter will be eligible for the loan.
No. If you fail one or two subjects and need to take back papers, the bank will not cover the back paper fees. You will need to pay those fees yourself.