  We compute the width of the decay $h^0$ (125 GeV) $\to b \bar{b}$ at
next-to-leading order in the general MSSM with quark-flavour violation (QFV).
We study the effect of mixing between the second and the third generation of
squarks, taking into account the constraints on QFV from B-meson data. We
discuss the renormalisation of the process as well as the resummation of the
bottom Yukawa coupling at large $\tan \beta$. We show numerical results on the
decay width $\Gamma(h^0 \to b \bar{b})$ as a function of the involved QFV
parameters and compare them with the corresponding width in the Standard Model.
