We calculate the decay width of h0 -> b bbar in the Minimal Supersymmetric Standard Model (MSSM) with quark flavour violation (QFV) at full one-loop level. We study the effect of scharm-stop mixing and sstrange-sbottom mixing taking into account the constraints from the B meson data. We discuss and compare in detail the decays h0 -> c cbar and h0 -> b bbar within the framework of the perturbative mass insertion technique using the Flavour Expansion Theorem. The deviation of both decay widths from the Standard Model values can be quite large. Whereas in h0 -> c cbar it is almost entirely due to the flavour violating part of the MSSM, in h0 -> b bbar it is mainly due to the flavour conserving part. Nevertheless, the QFV contribution to Gamma(h0 -> b bbar) due to scharm-stop mixing and chargino exchange can go up to about 8%.