Creating "leverage" for economic development from policy credit

With nearly 160 Savings and Loan Groups (SLCs) and 100% of the Social Policy Bank (SPB) transaction points in communes and wards, the policy credit system in Phuc Yen city is constantly expanding its scale and loan recipients, helping thousands of policy beneficiaries have stable jobs, escape poverty, develop the economy, and contribute to ensuring social security in the locality.

Thanks to preferential loans from the Social Policy Bank, Mr. Hoang Van Luong's family in Cao Quang village, Cao Minh commune (Phuc Yen) has the conditions to develop livestock farming, creating a stable source of income to escape poverty.

Implementing the social policy credit program, the Transaction Office of the Social Policy Bank of Phuc Yen City is currently implementing 14 policy credit programs with a total outstanding loan balance of over VND 444 billion by the end of May 2025. Of which, outstanding loans for poor households, near-poor households, and loans for job creation account for 74% of the total outstanding loans.

To effectively implement policy credit programs and promote capital efficiency, the City's Social Policy Bank actively coordinates with localities and socio -political organizations to promote the dissemination of the purposes, meanings, guidelines and policies of the Party, State and province on social policy credit.

Improve the efficiency of Savings and Credit Groups, focus on reviewing subjects of lending programs for poor households, near-poor households, newly escaped poverty households, households in difficult circumstances... contributing to creating job opportunities, shifting labor structure, production and business sectors, improving income and living standards for people, ensuring social security.

Once a poor household with difficult circumstances, Mr. Hoang Van Luong, Cao Quang village, Cao Minh commune (Phuc Yen), had congenitally disabled legs since childhood. Mr. Luong could not find a job and could only stay at home to help his wife with farming, causing his family to be a poor household in the commune for many years.

Recognizing the difficult circumstances of Mr. Luong's family, the Transaction Office of the People's Credit Fund of Phuc Yen city created conditions for the family to borrow 80 million VND to invest in production, and at the same time, guided Mr. Luong's family to develop livestock economy , increasing income.

Currently, with a flock of 300 - 400 ducks, Mr. Luong's family earns an average profit of 70 - 80 million VND per year, officially escaping poverty.

Not only creating jobs for policy beneficiaries, the Transaction Office of the People's Credit Fund of Phuc Yen city also actively supports production and business households to overcome difficulties.

In 2020, due to the impact of the Covid-19 pandemic, the food business of Mr. Doan Tran Kien's family in Hai Ba Trung ward (Phuc Yen) encountered many difficulties. A loan of 100 million VND from the Vietnam Bank for Social Policies helped Mr. Kien's family maintain their business.

Mr. Kien said: “The preferential loan from the Social Policy Bank has helped my family overcome immediate difficulties, stabilize business operations, and at the same time, have the conditions to equip more modern payment devices to meet customer needs. In the coming time, my family will expand the business of some products, increasing income.”

Director of the Transaction Office of the Social Policy Bank of Phuc Yen City, Dao Anh Van, said: "Thanks to preferential loans from the Social Policy Bank, thousands of customers who are poor households and policy beneficiaries in the city have stable jobs, conditions for economic development, contributing to poverty reduction and ensuring social security in the locality."

In order to promptly and effectively implement policy credit programs, the City's Social Policy Bank actively coordinates with local authorities, entrusted socio-political organizations, and Savings and Credit Groups to promote disbursement of credit programs, meeting the borrowing needs of poor households and policy beneficiaries; promptly remove difficulties for production and business, especially urging to accelerate disbursement of credit programs according to Resolution No. 181 of the Government .

Currently, the system of transaction points under the Transaction Office of the Social Policy Bank of Phuc Yen city is present in 100% of communes and wards in the city; in addition, there are nearly 160 Savings and Credit Groups operating widely in residential areas, serving as a "bridge" for the poor and policy beneficiaries to access the fastest and most complete information on policy credit programs.

According to the Transaction Office of the People's Credit Fund of Phuc Yen city, based on business performance results up to the end of the first quarter of 2025, 98.7% of Savings and Credit Groups were assessed to have good operational quality.

The Social Policy Bank of Phuc Yen city is continuing to coordinate with local authorities, entrusted socio-political organizations, and the Savings and Credit Group to focus on deploying and implementing effectively and qualitatively policy credit programs in the area, organizing timely disbursement of recovered capital and newly supplemented capital, striving to complete 100% of the annual assigned credit plan; at the same time, focusing on urging and thoroughly recovering due and overdue debts.

Continue to improve the quality of lending trust activities, the quality of Savings and Credit Groups, and transaction points of the Vietnam Bank for Social Policies in localities, ensuring that policy credit capital is transferred promptly, to the right beneficiaries, used for the right purposes and fully repaid when due, contributing to poverty reduction, job creation and ensuring social security in the area.

Article and photos: Hoang Son

Source: http://baovinhphuc.com.vn/Multimedia/Images/Id/129341/Tao-“don-bay”-phat-trien-kinh-te-tu-tin-dung-chinh-sach