Maximizing the effectiveness of policy credit funds.

With the advantages of preferential loan capital, low interest rates, and long loan terms, preferential credit policies have proven effective in recent years, becoming a "support" helping people in the communes of Cao Phong, Thung Nai, and Muong Thang access loans to develop production, create jobs, improve and enhance the quality of life, and contribute to ensuring social security.

Officials from the Cao Phong branch of the Social Policy Bank are checking the effectiveness of the loan at the home of Mr. Phuc and Mrs. Hang in Zone 1.

Standing on the hilltop of Mr. Dao Duy Phuc's orange orchard in Zone 1, Cao Phong commune, we gazed into the distance and saw only an endless expanse of green interspersed with the yellow of oranges laden with fruit. This year, Mr. Phuc's family expects to harvest about 13 tons of Canh oranges and C36 yellow-fleshed oranges. This is the third harvest since the orchard was renovated to plant the new crop. While inviting guests to enjoy fresh, sweet, and fragrant oranges from his orchard, Mr. Phuc shared: "Each orange crop only lasts for about 10 years. After that, the trees get old, the quality of the fruit decreases, and they have to be cut down to plant other crops to improve the soil. This is our family's newly replanted orange orchard, now in its third harvest, and the yield is quite high. When we started planting the new crop, we lacked capital. Therefore, three years ago, my family applied for a loan of 50 million VND from the Social Policy Bank's employment creation fund to invest in improving the protective fence around our 5,000 m2 orange orchard. Thanks to that, the oranges are growing and developing well, producing plump, fragrant, and delicious fruit." He estimates that with this year's orange prices, after deducting expenses, his family will earn a profit of nearly 200 million VND.

It's not just Mr. Phuc's family that has access to preferential loans and risen to prosperity. According to Mr. Tran Van Sach, head of the Savings and Loan Group in Zone 1, "Currently, there are 53 households borrowing from the Social Policy Bank with a total outstanding loan balance of approximately 4 billion VND. These households mainly borrow capital to create jobs and develop production and business. Thanks to the support of preferential loans, the percentage of well-off households in the zone is increasing, while the number of poor and near-poor households is decreasing, with only 1 poor household and 2 near-poor households remaining."

Immediately after the administrative reorganization, the Cao Phong Branch of the Vietnam Bank for Social Policies (VBSP) continued to maintain 10 transaction points in 3 communes: Cao Phong, Muong Thang, and Thung Nai. Overcoming some difficulties in the early days of the merger, the Branch continues to maintain stable operations and constantly improve the quality of its services. The Branch is currently implementing 14 policy credit programs, meeting the borrowing needs of the people. These preferential credit programs have been enthusiastically received by the people and have become a tool for sustainable poverty reduction in the locality. From these preferential capital sources, thousands of poor, near-poor, and newly-escaped-poverty households have had the opportunity to invest, expand production, develop livestock farming, crop cultivation, and business, contributing to job creation and improving their lives.

As of October 30, 2025, the total outstanding debt of policy credit programs in the area reached over VND 511.6 billion with nearly 7,200 customers still having outstanding debt. To achieve this result, the Cao Phong branch of the Vietnam Bank for Social Policies (VBSP) maintained 10 transaction points in communes, fully equipped with the necessary operating conditions of a bank, ensuring security and safety for transaction sessions. At these commune transaction points, the bank publicly displays the State's preferential credit policies and programs, the bank's procedures, the list of loan recipients, the outstanding debt, the repayment terms for each loan recipient, and transaction regulations so that local authorities, socio- political organizations, and the people are well-informed. In addition, socio-political organizations have actively participated in managing 187 savings and loan groups under the VBSP's entrustment. Thanks to the participation and oversight of socio-political organizations in ensuring transparency in the use of state resources for poverty reduction, the quality of policy credit has been improved, contributing to the achievement of poverty reduction and social stability goals.

Comrade Phi Cong Thanh - Director of the Cao Phong branch of the Vietnam Bank for Social Policies - said: Among the 14 credit programs currently being implemented in the area, the loan program for job creation has the highest outstanding loan balance. Borrowers mainly invest in livestock farming and fruit tree cultivation. Assessment shows that most borrowers use the capital for its intended purpose. The majority of people are conscientious in their work and repay loans and interest on time. For poor and disadvantaged households and policy beneficiaries, preferential credit has truly become the "key" to economic development and escaping poverty.

Hong Nhung

Source: https://baophutho.vn/phat-huy-hieu-qua-tu-nguon-von-tin-dung-chinh-sach-243380.htm