Policy capital helps people on Ly Son island escape poverty

Ly Son Special Economic Zone makes its mark in the journey of poverty reduction thanks to effectively utilizing preferential credit capital from the Social Policy Bank.

Mr. Le Van Chau (Dong An Vinh village) borrowed capital from Ly Son Policy Bank to grow purple onions and garlic, developing a stable economy .

Ly Son Island (Quang Ngai province), a strategic outpost located 15 nautical miles (approximately 30 km) from the mainland, not only plays a vital role as a "barrier" in protecting maritime sovereignty , but today the Ly Son Special Economic Zone is transforming with its synchronized infrastructure and tourism as its leading economic sector. The "Garlic Kingdom" of Ly Son has also made its mark in poverty reduction by effectively utilizing preferential policy credit from the Social Policy Bank.

Solid support

As a native of the island, seasoned by the sea and winds, Mr. Le Van Chau from Dong An Vinh village vowed to dedicate his life to his homeland's sea and islands. However, in his twilight years, he no longer has the strength to venture out to sea. Consequently, his economic situation has deteriorated, leading to hardship, especially during the complicated COVID-19 pandemic.

Amidst the struggles of making a living, in 2022, Mr. Chau and his wife accessed a preferential loan of 100 million VND from the Ly Son branch of the Social Policy Bank under the Job Creation Loan Program. Utilizing their family's 3,500 m² of agricultural land, he decided to plant onions and garlic. With this initial policy capital, after just over two years, Mr. Chau's agricultural production model has begun to yield clear results, providing him with a stable income.

Mr. Le Van Chau shared that onions and garlic are unique crops on the island, but the initial investment in seeds is very high. Previously, my wife and I only planted one crop of garlic and then left the land fallow. Since accessing preferential loans from the Social Policy Bank, I have reinvested and improved the land to plant two more crops of purple onions per year. This year, the stable weather has resulted in high yields of onions and garlic, bringing a good income to my family. My family, like many households in Ly Son, hopes to continue receiving loans from the Social Policy Bank to invest in production and achieve sustainable poverty reduction.

Also in Dong An Vinh village, despite being born with a disability in both legs, Mr. Nguyen Huu Tho (born in 1988) has always harbied the ambition to overcome poverty. In 2022, with the support of the Social Policy Bank, he and his wife boldly borrowed 50 million VND from the poverty alleviation loan program to invest in planting and caring for garlic. Thanks to their diligent care, the first garlic harvest provided the family with a stable income to support their lives.

That same year, Mr. Tho was guided to access a 50 million VND loan from the Employment Creation Loan Program. He purchased additional equipment, opened a small motorbike repair shop, and utilized his free time to increase his income. By the end of September 2025, Mr. Tho and his wife had repaid 20 million VND of the principal. Each month, he diligently paid 482,000 VND in interest on time, and also saved 800,000 VND through the loan group to proactively pay interest during difficult times, especially during the rainy season when business was unstable. From a poor household with no clear livelihood, thanks to preferential loans and a spirit of overcoming difficulties, Mr. Tho's family is gradually stabilizing their lives and achieving sustainable poverty alleviation.

Staff of the Ly Son Policy Bank Transaction Office check finances and guide people through loan procedures.

Standing alongside the people of the island

Accompanying the people of Ly Son island over the past 22 years, capital from the Ly Son Social Policy Bank has helped thousands of households on the island escape poverty, expand their livelihoods, and improve their quality of life.

Ms. Le Thi Phuc, Head of the Savings and Loan Group of Dong An Vinh village, said that in 2024, the group had 63 members. The total outstanding loan capital of the group was more than 4 billion VND for loans to poor and near-poor households, clean water sanitation programs, job creation, and housing construction.

In the first nine months of 2025, three members of the group, all poor households, who borrowed capital for production, have escaped poverty. To avoid overdue debts, the Savings and Loan Group not only needs to be close to the people, but we also encourage members to develop a habit of saving, creating a source of capital to repay interest when facing economic difficulties.

According to Tran Van Nam, Director of the Ly Son Branch of the Social Policy Bank, preferential loan capital has been effective in recent years, fully meeting the borrowing needs of the people in the Ly Son Special Economic Zone. Loans have not only improved the lives of poor and near-poor households and helped students attend school with peace of mind, but have also contributed to expanding production, increasing income, and improving living standards.

To improve the quality of credit capital, the Ly Son branch of the Social Policy Bank always clearly implements three objectives: conducting selection and evaluation of eligible households; promptly and fully providing loan capital to households in need; and mobilizing the participation of associations, organizations, and savings and loan groups to work alongside the Social Policy Bank to better serve the people.

According to Tran Van Nam, Director of the Ly Son Branch of the Social Policy Bank, the Ly Son Branch currently maintains 54 savings and loan groups, operates 3 transaction points at the village cultural centers in the special zone on the 12th, 15th, and 18th of each month; conducts transactions, adheres to the posted schedule, and publicly displays all signs, transaction information, suggestion boxes, and hotlines as required.

“In the coming period, the Ly Son branch of the Vietnam Social Policy Bank will continue to effectively implement Directive No. 39-CT/TW of the Party Central Committee on improving the effectiveness of social policy credit in the new phase. In addition, we will comprehensively implement policy credit at the grassroots level, widely disseminate policy information so that people understand the role of social policy credit in contributing to poverty reduction and socio-economic development,” said the Director of the Ly Son branch of the Vietnam Social Policy Bank.

Ly Son islanders borrow policy credit to grow onions and garlic to improve their lives.

According to Nguyen Van Huy, Chairman of the Ly Son Special Economic Zone, the capital from the Social Policy Bank has made a significant contribution to poverty reduction in the Ly Son Special Economic Zone. Currently, the poverty rate in Ly Son is 5.02% (311 households), a decrease of 1-1.5% per year on average. In the future, the People's Committee of the Ly Son Special Economic Zone will continue to cooperate with the Social Policy Bank, supporting access to this capital through entrusted loans to ensure the most convenient access for the people.

According to the Ly Son branch of the Social Policy Bank, the total outstanding loan balance in the Ly Son Special Economic Zone is currently nearly 172 billion VND, with 2,214 households still having outstanding loans. In the first nine months of 2025, 1,123 households borrowed policy loans with an outstanding balance of 68.5 billion VND. There have been no overdue loans in the Ly Son Special Economic Zone.

Source: https://baotintuc.vn/tai-chinh-ngan-hang/von-chinh-sach-giup-nguoi-dan-dao-tien-tieu-ly-son-thoat-ngheo-20251015142859725.htm