Support for the poor in the Central Highlands (Part 1)

The Central Highlands region includes the provinces of Dak Lak, Dak Nong, Gia Lai, Kon Tum and Lam Dong. This is an important area with a population of about 6 million people, with 54 ethnic groups living together, of which 2.2 million are ethnic minorities. Recently, Directive No. 40-CT/TW, dated November 22, 2014 of the Central Party Secretariat (Directive No. 40) on strengthening the Party's leadership over social policy credit (CSXH) has created motivation for ethnic minorities to rise up, helping villages overcome the darkness of poverty and brighten the future of tens of thousands of students.

Reality shows that, thanks to Directive No. 40, Party committees and authorities at all levels in the Central Highlands provinces have understood and paid more attention to social credit work. Since then, localities have mobilized the entire political system to implement social credit for the good goal: "so that no one is left behind".

Saving resources for social policy credit

In recent times, the Standing Committee of Lam Dong Provincial Party Committee has directed Party committees and authorities at all levels to thoroughly grasp the contents of Directive No. 40 and identify the task of leadership and direction of policy credit as one of the tasks in the regular programs and action plans of Party committees, sectors and localities. The province identifies social policy credit as a resource to support poor households, near-poor households and other policy beneficiaries to develop production, eliminate temporary housing, improve living environment; at the same time, help children of poor households and households in difficult circumstances to study with peace of mind, thereby improving the quality of human resources in the locality.

For Dak Lak province, local authorities at all levels have directed well the work of reviewing, identifying loan subjects, and evaluating loan subjects in accordance with regulations. Coordinate technical training, vocational training and technology transfer activities with lending activities of the Vietnam Bank for Social Policies, helping borrowers use capital effectively. Build and integrate models, programs and projects for socio-economic development and sustainable poverty reduction of the locality with the use of social policy credit capital. In addition, the province has directed districts, towns, cities and departments to strengthen training, guidance and transfer of scientific and technical advances to borrowers in the area. The above activities have created a spread, attracting poor households and other policy subjects to participate in the transformation of crop and livestock structure, the transformation of crop season structure, gradually getting used to commodity production, using capital for the right purpose, many households with high income have escaped poverty, gradually rising to become rich.

Leaders of the Bank for Social Policies, Dak Lak branch, visited borrowers in Ea Nam commune, Ea H'leo district.

Or in Dak Nong, the implementation of screening, assessment and classification of poor and near-poor households has been carried out in 100% of commune-level areas, from the village level, directly to each household, to ensure fairness, transparency, democracy, and participation of relevant agencies, units and people. The Department of Finance has coordinated with relevant departments and branches to advise the Provincial People's Committee to submit to the Provincial People's Council to issue a local specific mechanism to expand the loan recipients to households and individuals facing risks due to the following reasons: Accidents, illnesses, natural disasters, fires, epidemics leading to financial difficulties, households with financial difficulties, young workers completing military service, police service, households with economic difficulties are allowed to borrow capital to work abroad under contracts. This is very practical, spreading policy credit capital to the people, and is supported and welcomed by the people.

According to statistics up to June 2024, the total capital for social credit in the 5 Central Highlands provinces has reached more than 30 trillion VND, of which Dak Lak is the locality with the highest outstanding debt in the region. In particular, although conditions and resources are still very difficult, since Directive 40 came into effect, Party committees at all levels in the Central Highlands region have paid attention to allocating a part of the capital from the local budget entrusted through the Bank for Social Policies to supplement the capital for lending to the poor and policy beneficiaries in the area. After 10 years of implementing Directive 40, Lam Dong province has allocated 624 billion VND from local budgets at all levels to the Bank for Social Policies (an increase of 571 billion VND compared to before Directive 40); Dak Nong province allocated 355 billion VND (an increase of 305 billion VND), Kon Tum province allocated 229.3 billion VND (an increase of 220.8 billion VND), Dak Lak province allocated more than 502.3 billion VND (an increase of 382 billion VND) and Gia Lai allocated 470 billion VND (an increase of 440 billion VND).

Promoting the role of the entire political system

In addition to the role of Party committees and authorities in social credit work, the Vietnam Fatherland Front and socio-political organizations are the bridge to bring preferential capital to poor households and policy beneficiaries. In this area, almost all associations and organizations at the village level have savings and loan groups. Associations and organizations at all levels have closely coordinated with the VBSP in the area and local authorities in consolidating and improving the quality of policy credit; doing a good job of loan evaluation; strengthening inspection, supervision, urging debt collection, interest collection, guiding borrowers to use capital effectively; consulting, guiding the construction and replication of typical production and business models, helping each other to escape poverty and get rich... bringing preferential credit capital to poor households and policy beneficiaries in a timely, targeted and effective manner.

The Dak Lak Women's Union currently manages 53,581 households with loans with a total outstanding loan balance of over VND2,478 billion, an increase of over VND1,406 billion compared to 2014, with an average loan growth rate of 10% per year. In addition, savings and loan groups have mobilized over VND130 billion to create a habit of saving in daily spending, helping poor women and women in difficult circumstances to rise up.

To help women use loans for the right purposes and effectively, the Women's Unions at all levels in the province have coordinated with relevant sectors to organize 902 training courses and technology transfer seminars on cultivation and livestock techniques, attracting 119,314 women borrowers to participate. At the same time, the Department of Labor, War Invalids and Social Affairs has coordinated with the Department of Labor, War Invalids and Social Affairs to organize 426 vocational training classes for 15,024 rural women. In addition, the work of training and capacity building for the Union's staff and the Credit Support Group has also been focused on. Specifically, in the past time, the Women's Unions at all levels have coordinated with the Bank for Social Policies to organize 130 training courses to improve capacity in professional expertise, disbursement procedures, capital management; provide guidance on new procedures and regulations in entrustment activities... for 12,765 Union staff and Credit Support Group leaders.

Transaction office of the Social Policy Bank of Tuy Duc district, Dak Nong province checks the actual use of capital of borrowers

Or for the Cu Jut District Youth Union, Dak Nong Province, in order to establish a high-quality Savings and Loan Group (TKVVV), the District Youth Union considers the selection of the Group Management Board as the top priority. The District Youth Union selects and introduces prestigious cadres and union members with experience in credit and savings activities... to be elected to the Group Management Board. The District Youth Union has coordinated with the Bank to train management skills for more than 50 youth union cadres and leaders of TKVVV Groups. The lending evaluation always ensures democracy, publicity, correct procedures, and correct subjects, focusing on prioritizing loans to poor households headed by union members. From 2014-2024, more than 650 poor, near-poor, and disadvantaged union members have access to preferential capital sources. Cu Jut District Youth Union is managing 56 TKVVV Groups, with over 3,451 poor, near-poor, and newly escaped-poverty households, students in difficult circumstances, job creation, loans, a balance of over 138 billion VND and no overdue debt.

Mr. Y Bin Eban, Head of the TKVV Group in Tam Thang Commune, always strives to fulfill his duties, wholeheartedly for the members. He said that at first, he encountered many difficulties due to limited awareness of people about borrowing capital, many poor households did not dare to borrow capital because they were worried about not being able to repay the debt. Understanding the thoughts and aspirations of the members, he actively went to each household to encourage members to join the TKVV Group, guiding them on how to do business, use capital for the right purpose, and promote efficiency. Thereby, members gradually understood the benefits of preferential capital, actively participated in the group's activities, helped each other develop the economy, and rose up to escape poverty sustainably. Through the activities of the TKVV Group, it has contributed to raising awareness of members, helping them to be more confident in participating in social activities, and at the same time, strengthening solidarity, mutual support and assistance. Union members increasingly trust and are more attached to the Union organization, trust in the leadership of the Party and the management and administration of the State.

Mr. Nguyen Minh Huong - Director of Dak Nong Social Policy Bank Branch said: "Although the socio-economic situation of Dak Nong province still faces many difficulties, every year, the Branch always receives capital entrusted by the province, district, and city transferred very early to join the Central Government's capital to expand lending, meeting the production and business needs of poor households and policy beneficiaries".

Source: https://thoibaonganhang.vn/diem-tua-cho-nguoi-ngheo-noi-dai-ngan-tay-nguyen-bai-1-158820.html