Policy credit contributes to creating momentum for the development of Quang Nam.

Ms. Nguyen Thi Kim Thuan next to a pot of kumquat trees laden with fruit for Tet. Photo: Q. VIET.

Job creation lending is a bright spot.

Ms. Nguyen Thi Kim Thuan's household (Trang Suoi village, Cam Ha commune, Hoi An city) is earning a decent income from selling kumquats for Tet (Lunar New Year). To expand production, Ms. Thuan has recently received support from policy-based credit.

Specifically, in early 2024, she borrowed 100 million VND from the job creation support loan program of the Social Policy Bank branch in Hoi An City, plus additional loans from relatives, to invest in planting 1,000 kumquat trees in pots. Thanks to applying advanced techniques and careful cultivation, the 1,000 kumquat trees bore abundant fruit, ripening to a golden yellow just in time for the Lunar New Year, bringing in a considerable income.

According to Ms. Nguyen Thi My, Director of the Social Policy Bank Branch in Hoi An City, by the end of 2024, the loan program to support job creation in the area had outstanding loans of approximately 195 billion VND with 3,842 customers still having outstanding debts. All poor households and policy beneficiaries who borrowed capital from the loan program to support job creation repaid their loans on time and deposited savings to enrich their policy capital.

Policy credit helps people in Tam Ngoc commune (Tam Ky city) invest effectively in growing flowers for Tet (Lunar New Year). Photo: Q. VIET

Mr. Nguyen Van Lanh, Vice Chairman of the People's Committee of Hoi An City and Head of the Board of Directors' Representative Committee of the Social Policy Bank of Hoi An City, said that the loan program to support job creation has helped poor and policy-beneficiary households in the area to have resources to invest in effective economic activities, promoting socio-economic development.

“Loan capital for job creation has helped people in Hoi An develop production and business, agriculture , services, trade, and tourism effectively. Loans supporting job creation also help the locality prevent usurious lending, ensuring social security and public order,” Mr. Lanh said.

According to Mr. Huynh Van Ho, Deputy Head of the Planning and Credit Operations Department (Vietnam Social Policy Bank , Quang Nam branch), in 2024, the loan volume for the job creation support program reached nearly 756 billion VND, benefiting 12,700 poor and policy-eligible households. The outstanding loan balance for job creation by the end of 2024 was nearly 2 trillion VND, with nearly 37,000 customers still having outstanding loans.

Promoting socio-economic development

According to Mr. Le Hung Lam, Director of the Social Policy Bank branch in Quang Nam, by the end of 2024, the total capital and outstanding balance of policy credit in the province reached over 8 trillion VND with 141,283 customers still having outstanding loans. The quality of policy credit has been strengthened. As of December 31, 2024, the total overdue and non-performing loans in the entire province accounted for only 0.18% of the total outstanding loans.

Vice Chairman of the Provincial People's Committee Tran Anh Tuan - Head of the Board of Directors' Representative Committee of the Social Policy Bank branch in Quang Nam - chaired the Quang Nam policy credit conference. Photo: Q. VIET

In 2024, Quang Nam's policy credit program helped 250 workers go to work abroad. 119 people who had recently completed their prison sentences received loans to create jobs.

Preferential loans have helped more than 2,716 disadvantaged students access funding for their studies. From policy credit sources, households have built 26,822 clean water and sanitation facilities in rural areas; and constructed 183 social housing units.

"Quang Nam's policy credit contributes to economic development, ensures social security, promotes the implementation of sustainable poverty reduction programs, builds new rural areas, and develops the socio-economic conditions of ethnic minority and mountainous regions," Mr. Lam said.

According to Tran Anh Tuan, Vice Chairman of the Provincial People's Committee and Head of the Board of Directors' Representative Committee of the Social Policy Bank branch in Quang Nam, the orientation for developing policy credit in 2025 and subsequent years is to expand the scope, scale, and target groups, increase loan amounts, and extend loan terms in line with the implementation of national target programs and the province's socio-economic development goals.

Quang Nam integrates policy credit with socio-economic development programs and projects. In particular, policy credit is directed towards production along value chains to change production methods and increase the efficiency of capital utilization.

“Quang Nam province has promptly reviewed poor households, near-poor households, and newly-escaped-from-poverty households, and implemented policies to support access to preferential capital for economic development, improving quality of life, and achieving sustainable poverty alleviation. The Social Policy Bank branch in Quang Nam, along with relevant departments, agencies, associations, and organizations, have established a close coordination mechanism to monitor, supervise, and ensure the stable quality of policy credit,” said Vice Chairman of the Provincial People's Committee Tran Anh Tuan.

In 2025, Quang Nam strives to achieve a growth rate of 8-10% in policy credit capital and outstanding loans, promptly meeting the capital needs of the people. It will continue to maintain the quality of policy credit, keeping the non-performing loan ratio below 0.15%. Efforts will be made to achieve 100% interest collection; and to accelerate the mobilization of capital from organizations and individuals, including monthly savings deposits through savings and loan groups.

Source: https://baoquangnam.vn/tin-dung-chinh-sach-gop-phan-tao-dong-luc-phat-trien-quang-nam-3147915.html