Prioritize resources to expand social policy credit

The family of Mr. Ho Van Hung (second from left), in Truong Hai village, Linh Truong commune, Gio Linh district, in an unfinished house due to lack of capital - Photo: BAO BINH

In March 2024, Mr. Ho Van Hung and his wife, in Truong Hai village, Linh Truong commune, Gio Linh district, received support of 70 million VND from the capital source for implementing national target programs (MTQG) for socio-economic development in ethnic minority and mountainous areas and other sources of support to build a house.

Before that, he and his wife and two children had to live in a makeshift house, facing many difficulties in daily life. With 70 million VND, Mr. Hung said that it was only enough to buy basic materials such as bricks and cement to build the rough part of the house. Not having enough money to hire workers, he and his wife also worked as construction workers, with the support of laborers from the villagers.

“The price of materials has increased, so that amount of money is only enough to build the rough part, not enough to paint the walls and finish the house. My husband and I work as hired laborers peeling cajuput bark, our income is unstable, and we also have a debt of 40 million VND to plant more than 1 hectare of cajuput that has not been paid back, so we cannot borrow more from a commercial bank to build a house. Now we can only rely on loans from policy banks to complete the house,” Mr. Hung shared.

Truong Hai village currently has 43 households borrowing capital from the VBSP. The people mainly work as hired laborers peeling cajuput bark, and their lives are difficult. The village has 99 households, of which 18 are poor and near-poor. Mr. Ho Van Hang, head of the village's savings and loans group, led us to visit some poor and near-poor households in the village who are facing housing difficulties. Right behind the unfinished house built last year with moss covering the four brick walls, Mr. Thang set up a temporary shack to live with his son.

Mr. Thang said that last year, the State supported him with 40 million VND, and he saved up another 20 million VND to build a house, but the amount was not enough to complete it. “My biggest wish is to receive support from the Social Policy Bank for a loan to roof and complete the house so that I can have a decent place to live, without the current situation of a place that is leaky in the rainy season and hot in the dry season,” Mr. Thang confided.

According to statistics from the Provincial Social Policy Bank, as of March 31, 2025, the total policy credit capital in the province has reached an impressive figure of VND 5,403 billion, an increase of 2% (equivalent to VND 107 billion) compared to 2024. Of which, the local budget capital entrusted through the Provincial Social Policy Bank reached VND 259 billion, accounting for 4.8% of the total capital. Although this ratio is not large, the initiative and attention of the local government has created a positive spillover effect, opening up preferential capital flows to the right subjects in need of support.

Implementing Action Program No. 143-CTr/TU dated February 20, 2025 of the Provincial Party Standing Committee on implementing Directive 39-CT/TW of the Central Party Secretariat on improving the effectiveness of social credit in the new period (referred to as Directive 39), in 2025, to achieve the set targets for local budget capital entrusted through the VBSP, the provincial Party Committee and local government need to pay attention to balancing and arranging a minimum amount of VND 150 billion entrusted through the VBSP for lending to poor households and other policy beneficiaries to implement the national target programs and projects that the province is implementing. Up to now, the Provincial and District People's Committees have arranged VND 40 billion out of the total VND 150 billion according to the set targets.

According to Director of the Provincial Social Policy Bank Tran Duc Xuan Huong, the branch currently needs an additional capital of 110 billion VND to implement the preferential credit policy to implement the National Target Program on Socio-Economic Development in Ethnic Minorities and Mountainous Areas from 2021 to 2030. In which, phase 1 from 2021 to 2025 for localities in need of loans is Huong Hoa, Dakrong, Gio Linh with a total capital of 71 billion VND. The credit policy for people who have completed their prison sentences according to Decision No. 22/2023/QD-TTg, dated August 17, 2023 of the Prime Minister needs 4 billion VND from the local budget to support implementation.

In addition, for preferential credit policies to buy social housing, build or renovate and repair houses for local people, including policy households who have contributed to the revolution, relatives of martyrs and families with temporary or dilapidated houses, in addition to the balanced capital from the central government, the branch currently needs local capital to support 35 billion VND to ensure meeting the borrowing needs of the subjects.

In the coming time, local Party committees and authorities will continue to pay attention to diversifying capital mobilization channels to implement social credit programs, ensuring that operating capital is allocated in the medium-term and annual public investment plan for the Vietnam Bank for Social Policies to effectively implement Directive 39 and Action Program No. 143-CTr/TU of the Provincial Party Committee.

The specific goal is to increase resources for the VBSP to effectively implement social policy programs, ensure local budget capital entrusted through the VBSP to lend to poor households and other policy beneficiaries, strive to annually account for about 15% - 20% of the total credit growth of the VBSP and by 2030 account for 15% of total capital, corresponding to the growth of local budget capital entrusted through the VBSP in the period of 2025-2030 reaching 1,200 billion VND.

Strive for local budget capital entrusted through the VBSP to lend to poor households and other policy beneficiaries in the province to approach the national average and be an important resource contributing to rapid and sustainable poverty reduction, ensuring social security.

Aquarius

Source: https://baoquangtri.vn/uu-tien-nguon-luc-mo-rong-tin-dung-chinh-sach-xa-hoi-193202.htm