Can an unemployed individual enjoy the HDB subsidies when buying a 2-room BTO?

BTO subsidies or housing grants are not based on whether you take loans (HDB loans or bank loans).

I will add on and say bank loans are attractive due to the current interest rate of 1.89% pa. You can get the loan and then your own cash can probably get better returns than 1.89% in bonds or stock returns.

If you prefer to keep things simple, go ahead with no-loan for your housing, the subsidises are not tied to loans of any sort, if I remember correctly. ;)