With community support, people escape poverty.

In recent years, preferential credit has become an important "lever" helping people in Kim Boi commune develop production, stabilize their lives, and gradually rise out of poverty sustainably. Thanks to the coordinated efforts of the local government and mass organizations, the management and use of preferential loans in the commune have become increasingly effective.

Thanks to preferential loans from the State, many households in Kim Boi commune have boldly invested in expanding production and transforming their crop and livestock structures to suit local conditions. Ms. Vu Thi Tinh's family in Thai Binh area is one such exemplary household. Having received a preferential loan of 150 million VND, including 100 million VND from the job creation program, she invested in opening a grocery store to serve the local community. To date, the store has developed steadily, providing a regular income. In addition, she also received a 50 million VND loan from the clean water and sanitation program to build a family sanitation facility, improving her quality of life.

Ms. Tinh happily shared: “Previously, our family's finances were just enough to make ends meet, and we lacked capital, so we could only do small-scale business. Thanks to preferential loans with low interest rates for business investment, our lives are now more stable, and our children receive a full education.”

Not only Ms. Tinh's family, but hundreds of households in the commune are also effectively using loan capital to develop economic models such as fruit tree cultivation, livestock farming, and small-scale service businesses. As a result, people's incomes have gradually increased, the poverty rate in the commune has decreased year by year, and is now only 4.1%, while the near-poverty rate is 8.8%.

With loans from the Social Policy Bank, people in Kim Boi commune have invested in building sanitation facilities to improve their quality of life.

Ms. Le Thi Huong, head of the Thai Binh Savings and Credit Group, said: The group has 54 members implementing 4 preferential credit programs with outstanding loans exceeding 4 billion VND. To date, households have used the loan capital effectively, and the group has no outstanding interest or overdue debts. Many households have escaped poverty thanks to these preferential loans.

To ensure that preferential loan funds are used for their intended purpose, the commune government has closely coordinated with the Social Policy Bank branch and entrusted organizations such as the Farmers' Association, Women's Association, Veterans' Association, and Youth Union in reviewing loan applicants, monitoring fund utilization, and urging timely repayment.

Currently, Kim Boi commune implements 15 preferential credit programs with a total outstanding loan balance of over 157 billion VND, providing loans to over 3,400 households. Of these, the job creation loan program has the highest outstanding balance at nearly 40 billion VND; the clean water and sanitation program and the loan program for poor households have outstanding balances of nearly 20 billion VND... The commune has 72 savings and loan groups, with savings deposits through these groups reaching over 5.7 billion VND; the overdue loan rate is low, accounting for 0.02% of the total outstanding loan balance.

Mr. Bui Quang Hoa, Chairman of the Commune People's Committee, emphasized: "The commune has always considered preferential loans as an important resource in poverty reduction and new rural development. Therefore, the locality focuses on disseminating information to help people understand the purpose of using the capital, while strengthening inspection and guidance to help people use the capital effectively, avoiding the situation of borrowing capital but not investing it in the right direction."

Credit officers check how customers are using their loan funds.

Along with support from various funding sources, the commune also proactively organizes training programs in science and technology, transferring suitable production models, creating conditions for people to have both capital and knowledge to do business. As a result, the quality of credit has been increasingly improved, and the rate of overdue debt has been reduced to a low level.

Dinh Thang

Source: https://baophutho.vn/xa-ho-tro-dan-thoat-ngheo-244365.htm