Lao Cai: Establishment of a Farmers Support Fund to contribute to rural economic development

Recently, the Chairman of the People's Committee of Lao Cai province issued a decision to establish the Provincial Farmers' Support Fund, with the goal of supporting farmer members in building and replicating effective production and business models.

According to the Decision, the Lao Cai Provincial Farmers' Support Fund is a non-budgetary state financial fund, directly under the Lao Cai Provincial Farmers' Association, operating on a non-profit basis, preserving and developing capital; performing functions and tasks as stipulated in Government Decree No. 37/2023/ND-CP dated June 24, 2023, on the establishment, organization, and operation of the Farmers' Support Fund.

The Provincial Farmers' Support Fund has legal personality, charter capital, a seal, and is authorized to open accounts at the State Treasury, the Social Policy Bank, and other legally operating commercial banks in Lao Cai province in accordance with the law.

The operating principles of the Provincial Farmers' Support Fund are: financial autonomy, non-profit orientation, transparency, capital preservation and development; limited liability within the scope of the Fund's equity capital; and fulfilling its assigned functions and duties in accordance with the law.

The operational objective of the Provincial Farmers' Support Fund is to support farmer members in building and replicating effective production and business models, contributing to increased income and improved material and spiritual living standards for farmers. It aims to create resources, conditions, and tools to unite and gather farmers into the Farmers' Association, contributing to building a stronger Association and farmers' movement, and serving as an important political foundation for building a clean and strong Party and government.

Aquaculture farming model of farmers in Lao Cai

The Provincial Farmers' Support Fund has the following functions and tasks: Advising the Executive Committee and Standing Committee of the Lao Cai Provincial Farmers' Association on the establishment, management, and development of the Farmers' Support Fund in the province; Receiving and managing the charter capital allocated from the state budget in accordance with the law; Mobilizing support, sponsorship, and non-refundable aid for the activities of the Provincial Farmers' Support Fund; Providing loans to farmer members to build and expand production and business models; Receiving entrusted loans from domestic and foreign organizations and individuals in accordance with the law; Performing other tasks assigned by competent authorities in accordance with the law.

The Provincial Farmers' Support Fund is responsible for complying with the regulations in Decree No. 37/2023/ND-CP and other relevant laws concerning the operation of the Farmers' Support Fund; implementing regulations on the preparation, execution, settlement, and auditing of the state budget for the state budget capital portion of the Provincial Farmers' Support Fund; being subject to inspection, examination, and auditing by competent state management agencies; and providing data and publicly disclosing financial information as stipulated in Decree No. 37/2023/ND-CP and relevant laws.

Tea cultivation model of the people in Ta Cu Ty commune, Lao Cai province.

Regarding powers, the Fund has the right to organize and operate in accordance with the objectives and scope of the Provincial Farmers' Support Fund; to select loan options that meet the eligibility criteria for lending as stipulated in Decree No. 37/2023/ND-CP; to select, assign, train, and employ labor in accordance with the Charter of Organization and Operation of the Provincial Farmers' Support Fund and relevant legal regulations; to refuse requests for information or the use of resources of the Provincial Farmers' Support Fund if such requests are contrary to the law and the Charter of Organization and Operation of the Provincial Farmers' Support Fund; and to contact and coordinate with relevant agencies, units, and individuals to mobilize legitimate capital to finance the activities of the Provincial Farmers' Support Fund.

In terms of organizational structure, the Provincial Farmers' Support Fund comprises: the Fund Management Council; the Fund Supervisory Board; and the Fund Executive Board, consisting of a Director, Deputy Director, Chief Accountant, and supporting staff.

The fund has a charter capital of VND 66.2 billion, projected to reach VND 126.5 billion by 2030. The establishment of the Lao Cai Provincial Farmers' Support Fund contributes to improving the effectiveness of production support and economic development, helping local farmers stabilize their lives and gradually rise to prosperity.

Source: https://phunuvietnam.vn/lao-cai-thanh-lap-quy-ho-tro-nong-dan-gop-phan-phat-trien-kinh-te-nong-thon-20250822115643223.htm