"Bridge" to help dreams of escaping poverty

>> Social Policy Bank, Yen Bai Province Branch promotes the effectiveness of savings and loan groups

>> Tran Yen promotes the effectiveness of savings and loan groups

>> Maintain the network of savings and loan groups

>> Yen Bai promotes the implementation of policy credit management applications

The Savings and Credit Group model is a close and dedicated coordination between the Vietnam Bank for Social Policies (VBSP) and four socio-political organizations: the Women's Union, the Farmers' Association, the Veterans' Association, and the Youth Union. This is not simply a capital channel but is truly an "extended arm" that brings policy capital to the right target quickly and effectively in the context of Yen Bai's unique mountainous area.

Through a wide network of mass organizations, preferential credit policies are disseminated in an easy-to-understand and accessible manner to each citizen. They are carefully guided on loan procedures, how to use capital effectively, and how to repay debts and save and accumulate. Moreover, savings and credit groups also play an important role in monitoring, accompanying, and ensuring that capital reaches the right people in need, is used for the right purposes, and brings clear economic efficiency to each household.

The province currently has 2,323 savings and credit groups operating in 629 commune-level associations, managing outstanding debts of 86,871 poor households and policy beneficiaries. By the end of the first quarter of 2025, the network of savings and credit groups in the province had managed a total outstanding entrusted debt through 4 associations of VND 5,625.5 billion, an increase of VND 147.6 billion compared to the beginning of the year.

Post-disbursement inspection and supervision work was strictly implemented, with 30,606 households borrowing capital with a total amount of VND 1,800 billion being periodically or suddenly inspected during the same period.

Professional training for the Management Board of Savings and Credit Groups has always been focused on, with 4,333 people participating in the first quarter of 2025, reaching 93% of the plan. Thereby, the overdue debt ratio is very low (about 0.05% of total outstanding debt). This is a vivid demonstration of sustainable credit quality and effective management of the trust model through socio-political organizations.

TDCS capital has truly become a lever to promote household economic development. A typical example is Mr. Thao A Tru in San Tra village, Ban Cong commune, Tram Tau district. In 2020, with a loan through the Savings and Credit Group of the Commune Veterans Association, Mr. Tru invested in raising buffaloes. Up to now, his family has 4 buffaloes, pigs, and chickens of all kinds; the family income reaches over 70 million VND per year, the house is built spaciously, fully equipped. Mr. Thao A Tru's story is one of thousands of examples of the effectiveness of TDCS capital.

The Savings and Credit Group model also contributes to spreading the awareness of saving in the community. Nearly 100% of group members (86,012 people) participate in making monthly savings through the Savings and Credit Group. This savings amount not only creates a useful "reserve fund" when needed, but also trains people in financial discipline, strengthening their trust in the policies of the Party and the State. The Savings and Credit Group model also connects households doing business, creating conditions for community activities, sharing experiences, and making progress together.

Mr. Do Long Thao - Deputy Director of the Provincial Branch of the Vietnam Bank for Social Policies affirmed: "The model of savings and credit groups through entrustment is a practical innovation, especially effective in mountainous areas and ethnic minority areas. The savings and credit groups not only perform financial tasks but are also community institutions, building trust - responsibility - solidarity among people. With the high determination of functional sectors, socio-political organizations and the Vietnam Bank for Social Policies system, this model is constantly being consolidated and improved".

From the "bridge" called the Savings and Credit Group, the flow of social policy capital continues to spread, deeply penetrating into every dream of change of the poor. The Savings and Credit Group model has gone beyond the role of a simple financial tool, becoming a humane community institution, lighting up faith, helping the poor confidently embark on the journey of sustainable poverty escape, rising up to master a prosperous and happy life.

In the first quarter, Yen Bai Social Policy Bank organized 514 transaction sessions in communes; deploying the commune credit management application helped shorten transaction time significantly (on average 40-60 minutes/session at 100% of savings and credit groups). The staff of the Social Policy Bank, especially the leaders of savings and credit groups and core members of the 4 associations, are always dedicated to staying close to the locality, understanding each situation and each life, helping the poor to confidently rise up to take control of a prosperous and happy life.

Van Thong

Source: https://baoyenbai.com.vn/12/349996/Cau-noi-chap-canh-uoc-mo-thoat-ngheo.aspx