Policy credit capital accompanies the poor

Thanks to access to policy credit capital from the Binh Thuan branch of the Social Policy Bank (SPB), thousands of households in the area have invested in production and business, gradually escaping poverty and becoming well-off.

Thousands of poor households are "supported"

The family of Ms. Nguyen Thi Ngoc Lin in Quarter 3, Ham Tien Ward (Phan Thiet City) makes a living by fishing, going to sea in the morning and doing whatever job anyone hires them to do in the afternoon to make ends meet. Despite the difficulties, the couple still encouraged each other to work hard to raise their children. But then misfortune struck, her husband was diagnosed with late-stage colon cancer, and she alone had to shoulder the burden of raising her sick husband and three young children, pushing the family into a deadlock. After her husband passed away, the burden of raising young children and paying for medical expenses, considering her difficult circumstances, Ham Tien Ward considered her as a poor household. At the most difficult time, Ms. Lin was considered by the Women's Union of the ward and the neighborhood to borrow 50 million VND from the poor household loan program of the Vietnam Bank for Social Policies. The capital was like a "lifebuoy" that helped Ms. Lin rise up and change her job from working for hire to selling breakfast and lunch, with a stable number of customers. Now her current life is much better than a few years ago. Ms. Lin could not hide her emotion, saying: “Although it is hard, my greatest joy and happiness is that my children are very obedient and studious. Through all levels of education, they have received certificates of merit from the school. What we have today is thanks to the preferential interest rate loans from the State that helped me overcome difficulties in time, so that my children can continue to go to school.”

Thanks to preferential loans, poor households can rise up.

Ms. Lin is one of thousands of difficult cases in the province that have been promptly "supported" with preferential capital from the State. In 2023 alone, the provincial People's Credit Fund has disbursed VND 1,576 billion to over 39,000 poor households and policy beneficiaries, an increase of 8% compared to 2022. From the policy credit capital, it has timely supported production investment capital to improve the family economy for over 7,200 poor ethnic minority households, poor households, near-poor households, and newly escaped poverty households; created jobs for over 12,000 workers, helped more than 5,000 students in difficult circumstances to borrow capital to study, and built over 31,000 clean water and sanitation works in rural areas. Policy credit capital also helped 137 poor ethnic minority households build new houses; 175 low-income people buy social housing. In particular, the very humane credit policy for those who have completed their prison sentences has just been issued, helping 22 people who have made mistakes and reformed to have more capital to produce and do business, stabilizing the economy. The credit policy capital has been effective, contributing to stabilizing and developing the economy, ensuring social security, and implementing well the targets and tasks of national target programs.

Mobilizing savings deposits to join hands for the poor.

Mobilizing savings, proactively sourcing loans

With capital allocated from the Central Government and local support, in recent years, the provincial branch of the Vietnam Bank for Social Policies has gradually improved the quality of policy credit, performed well the task of lending capital, supported many poor households, families in difficult circumstances and other policy beneficiaries with capital to invest in production development, increase income, and escape poverty. In addition, the provincial branch of the Vietnam Bank for Social Policies has also promoted capital mobilization through savings deposits from organizations and individuals, mobilized savings from people through savings and loan groups, contributing to supplementing capital sources to expand preferential credit lending in the area, implementing the national target program on sustainable poverty reduction.

Ms. Vo Thi Minh Thao - Director of the Provincial People's Credit Fund said: "By the end of 2023, the total outstanding debt of 23 policy credit programs reached 4,669 billion VND with 114,000 poor households, near-poor households and policy beneficiaries still having outstanding debt, an increase of 757 billion VND. Of the total capital implemented in 2023 reaching 4,678 billion VND, the capital mobilized locally was 538 billion VND, accounting for 11.51% of the total capital. The People's Credit Fund in coordination with socio -political organizations mobilized savings deposits for the Joining Hands for the Poor program of over 75 billion VND, helping to increase the loan capital for beneficiaries.

Mobilizing savings deposits from organizations and individuals has helped the provincial branch of the Vietnam Bank for Social Policies be more proactive in capital sources to lend for policy credit programs, helping many poor households in the province have the opportunity to access capital and escape poverty.

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