Shifting capital flows to the right targets.

Banking activities in the province have recorded remarkable growth in recent times. The effective collaboration of commercial banks and policy banks has not only boosted key economic sectors and enabled businesses to thrive, but has also become a solid foundation for social welfare and sustainable agricultural development.

As of the end of April 2026, the total outstanding loan balance across the province reached VND 132,000 billion, fairly balanced with short-term loans of VND 69,000 billion to meet the immediate working capital needs of businesses; and medium- and long-term loans of VND 63,000 billion, providing capital for large infrastructure projects, factory construction, and the purchase of machinery and equipment.

The allocation accurately reflects the economic strengths of border gates and key tourism areas of the locality, with the trade and service sector leading the capital flow with the largest outstanding loan balance of up to 74,200 billion VND, followed by the industry and construction sector with 35,800 billion VND, and the remainder belonging to the agriculture, forestry, and fisheries sector.

Continuing the growth of commercial capital flows, the vigorous implementation of preferential credit policies is a bright spot that helps unlock the potential of the local economy. Most notably, the loan capital under Government Decree No. 55 dated June 9, 2015, on credit policies serving agricultural and rural development, reached VND 39,750 billion to promote rural infrastructure and farm economic models; alongside this are credit packages supporting small and medium-sized enterprises (SMEs) totaling VND 20,500 billion, export loans reaching VND 950 billion, and loans for supporting industries reaching VND 345 billion. Access to capital through simplified procedures and the application of technology has helped businesses reduce cost pressures, enhance competitiveness, and strongly promote trade activities.

As one of the key units investing in agriculture, rural areas, and farmers, as of April 30, 2026, the total outstanding loan balance of the Agricultural Bank of Vietnam ( Agribank ) Yen Bai Branch reached VND 12,818 billion, an increase of VND 118 billion compared to the beginning of the year, serving 20,617 customers. Of this, short-term loans amounted to VND 6,675 billion and medium- and long-term loans amounted to VND 6,143 billion. Recognizing agriculture and rural areas as a central focus, the branch allocated VND 8,716 billion (accounting for 68% of the total outstanding loan balance) to households and individuals borrowing for agricultural and livestock development, and to support ethnic minority communities in remote areas.

Through process improvements and coordinated implementation of over 900 loan groups, Agribank Yen Bai Branch has brought capital closer to the people, contributing to combating illegal lending and promoting sustainable rural economic development.

Mr. Nguyen Huu Hong, Director of Agribank Yen Bai Branch, stated: “Over 70% of the province's population lives in rural areas, with livelihoods primarily linked to agriculture, forestry, and traditional crafts. Therefore, credit activities must be properly directed and closely aligned with the local reality. The branch proactively balances capital sources, promptly implements preferential credit programs, simplifies procedures, improves processes, and promotes the application of technology, creating favorable conditions for rural people and businesses to access capital.”

Besides commercial banks, the Social Policy Bank's Lao Cai Provincial Branch also affirmed its role in social welfare by mobilizing capital totaling VND 12,418 billion, an increase of 5.86% compared to the beginning of the year. The capital structure demonstrates close coordination, with central government funds reaching VND 9,987 billion and entrusted funds from the local budget surging to VND 1,282 billion, an increase of 20.7%. From these resources, policy loan disbursements from the beginning of the year to date reached VND 1,366 billion, supporting 17,869 customers, while debt collection reached VND 697 billion, demonstrating a safe capital turnover cycle.

By the end of April 2026, the total outstanding policy loans reached VND 12,385 billion, with 21 programs being simultaneously implemented, supporting 158,673 customers with outstanding loans to achieve sustainable poverty reduction. Mr. Le Kim Cuong from Nga Ba Kim village, Pung Luong commune, said: “With VND 100 million from the loan program for traders in disadvantaged areas, I have expanded my food and beverage services to serve local people and tourists. That capital is very important for business owners in remote areas like us. I hope the Government will provide me with larger preferential loans so that I can develop my family's economy and create more jobs for local workers.”

The comprehensive results in credit operations are evidence of the proactive and decisive approach of the banking sector in realizing development goals. By channeling capital to the right recipients, the banking system has been creating a solid foundation to help Lao Cai continue its economic development and ensure social welfare in the coming period.

Source: https://baolaocai.vn/dich-chuyen-dong-von-trung-dich-post900709.html