Policy credit - a driving force for sustainable poverty reduction in Son La.

With its flexible and effective approach, the Son La Provincial Branch of the Social Policy Bank has leveraged the strength of the entire political system, delivering preferential capital to the right target groups, creating sustainable livelihoods, and affirming its important role in poverty reduction, ensuring social security, and building new rural areas in the locality.

Mr. Hoang Xuan Truong, Director of the Social Policy Bank (SPB) branch in Son La province, said: After nearly three years of implementing Decision No. 05/QD-TTg dated January 4, 2023, of the Prime Minister approving the Development Strategy of the SPB until 2030, the branch has implemented many comprehensive solutions, focusing on improving credit quality and consolidating the operational network down to the grassroots level. Currently, 75 communes and wards in the province maintain 200 transaction points that operate regularly every month, becoming a "bridge" helping people access capital quickly, conveniently, openly, and transparently.

According to statistics, in the first nine months of 2025, the total loan volume of the branch reached over 1,580 billion VND, with over 22,200 customers receiving loans; the total outstanding debt reached over 7,244 billion VND, with 119,412 households still having outstanding debt. Specifically, from 2021 to the present, nearly 158,000 poor and near-poor households and policy beneficiaries have received loans totaling nearly 7,900 billion VND, helping 39,000 households escape poverty and contributing to reducing the poverty rate in the province from 18.3% in 2020 to 10.8% at the end of 2024.

Focusing on maximizing the effectiveness of loan capital, the Branch collaborates with local authorities and socio- political organizations to conduct inspections, supervision, and guidance on capital utilization. During the 2021-2025 period, members of the Board of Representatives of the Social Policy Bank at all levels in Son La province conducted nearly 2,000 inspections and supervisions at the district, commune, savings and loan group levels, as well as directly at borrower households. As a result, credit quality has been continuously strengthened, and overdue debt has remained low.

Currently, Son La province has 3,731 savings and loan groups, of which 3,672 are rated good or fair (accounting for 98%). These savings and loan groups help the Social Policy Bank stay close to the grassroots, promptly support and guide borrowers, contributing to ensuring credit quality and improving the efficiency of capital utilization.

The goat farming model adopted by people in Son La province has yielded good economic results.

Ms. Quang Thi Van, Vice President of the Son La Provincial Women's Union, shared: The Union has successfully implemented the agreements signed in the joint document with the Provincial Branch of the Social Policy Bank. To date, the Union at all levels has established 951 savings and loan groups, with a total outstanding loan balance of nearly 1,900 billion VND, helping nearly 32,000 poor women members access loans. Thanks to these preferential loans, many women have risen out of poverty and become key drivers of local economic development.

In line with the digital transformation trend, the Son La Provincial Branch of the Vietnam Social Policy Bank is promoting the application of information technology in management, operation, and transactions. Mobile applications for managing credit policies and cashless payments are being gradually implemented, helping people in remote areas access financial services conveniently and safely. To date, 100% of commune-level transaction points are equipped with online data-connected business software systems, ensuring strict and transparent management and quickly serving the needs of the people.

Mr. Hoang Xuan Truong, Director of the Social Policy Bank Branch in Son La province, provided further information: The unit continues to closely follow the directions of the Central Government and the province, focusing on improving credit quality, expanding the scope of beneficiaries, and ensuring that all poor and near-poor households and policy beneficiaries with needs and eligibility criteria can access preferential capital. Along with that, it closely links with key socio-economic development programs of Son La province such as: the sustainable poverty reduction program, building new rural areas, developing ethnic minority areas, job creation, and transforming the agricultural economic structure.

The synchronized involvement of the entire political system and policy-based credit in Son La is becoming an important driving force for socio-economic development, improving people's lives, and contributing to building a more prosperous, beautiful, and civilized province.

Source: https://bvhttdl.gov.vn/tin-dung-chinh-sach-dong-luc-giam-ngheo-ben-vung-o-son-la-20251109155817758.htm