Bring preferential loans to the people

Thanks to preferential loans from the District Social Policy Bank, the family of Mr. Khoang Van Ninh, Na Pan village, Muong Nhe commune (Muong Nhe district) has had funds to dig a pond to raise fish and develop the family economy.

Determined to leave the fields, in 2017, Ms. Giang Thi My, Muong Toong 1 village, Muong Toong commune (Muong Nhe district) borrowed 50 million VND from the district's Social Policy Bank to find a new way to escape poverty. Ms. My used part of the initial loan to learn a trade and part to buy sewing machines to produce and trade traditional costumes of the Mong ethnic group. Not only ensuring income for her family, Ms. My also continued to borrow capital from the Social Policy Bank to solve employment problems to invest in more machinery and open sewing classes for Mong women. Ms. My not only created jobs and careers for women, but also contributed to preserving and promoting the values and identity of the Mong ethnic group through traditional ethnic costumes.

Ms. My said: “Before, I did not think I would have the business I have today. The real opportunity came when the District Social Policy Bank lent capital to the poor to help them find jobs, then I had the opportunity to learn a trade. From the preferential loan, I had a job and opened a business store. Due to limited investment funds, in 2022, I continued to apply for a loan from the District Social Policy Bank to buy machinery and raw materials to invest in the store. Now, when the economic conditions are better, I also combine business and vocational training for local women to open up job opportunities for local people. To have the results like today, I would like to thank the District Social Policy Bank for creating favorable conditions for loans to help me start a successful business.”

Previously, the family economy of Mr. Lo Van Thuan in Nam Vi commune (Muong Nhe district) relied on corn and rice fields all year round. The lives of all family members depended heavily on agricultural production, so they were quite unstable. In a difficult and deadlocked situation, unable to find a way out of poverty, in 2011, Mr. Thuan was introduced by the Commune Farmers' Association to be entrusted with a loan from the District Social Policy Bank. With an initial loan of 50 million VND, Mr. Thuan invested in buying 3 breeding cows. Thanks to his industrious, hard-working nature and eagerness to learn and apply techniques to breeding, after only 2 years his breeding cows began to reproduce. With the motto "taking short-term to nurture long-term", Mr. Thuan now continues to borrow capital to invest in production development, raising both beef cattle and breeding cows, and has built a farm model with 23 breeding buffaloes and cows.

From the initial loan, up to now, Mr. Lo Van Thuan's family in Nam Vi commune (Muong Nhe district) has always maintained a herd of buffalo and cows, bringing in a stable income.

Mr. Thuan shared: “In 2021, I borrowed 50 million VND from the district CSXH bank and bought 3 breeding cows. Gradually, the herd of cows grew and continued to reproduce. When the previous loan expired, I borrowed again to buy breeding cows. After taking care of them, the herd initially had only 6 cows, but after 3 years, they produced 3 more young cows. To have investment capital, I sold the herd; then when the economy improved, I continued to buy more cows to breed. Up to now, my family has always maintained more than 20 cows and buffaloes. The money from selling buffaloes and cows has helped the family buy supplies, cover living expenses and create conditions for children to go to school…”.

With the role of a "bridge" to help poor and near-poor households develop their economy, the Muong Nhe District Social Policy Bank always accompanies poor households and brings policy credit capital to the people. Currently, the Muong Nhe District Social Policy Bank has been implementing 18 policy credit programs; the most effective of which are the programs for lending to poor households and loans to create jobs for workers. Up to now, the capital of policy credit programs in the district has reached over 370 billion VND; with 6,600 households with outstanding loans, 163 savings and loan groups spread across villages and residential areas in the area. In particular, the program for lending for production and business, creating jobs with an outstanding loan of over 114 billion VND has contributed significantly to the goal of sustainable poverty reduction, social security, and new rural construction in Muong Nhe District.

After receiving capital support for vocational training, Ms. My had additional income, opened a shop and taught vocational training to local women.

Sharing about bringing preferential loans to the poor and ethnic minorities in the district, Mr. Hoang Xuan Quyet, Director of the Social Policy Bank of Muong Nhe district said: Based on households in need of loans for economic development, loans to solve employment, the Social Policy Bank of the district has promptly disbursed capital to those in need of loans in a timely manner. Through disbursement and checking to grasp the actual situation, we found that most of the borrowers used the loan capital for the right purpose and promoted efficiency in production, business, economic activities...

The effective implementation of credit policies for poor households and ethnic minorities in the area has brought practical results to many members as well as the poor, helping them have the opportunity to start a business and escape poverty. This fact has proven the effectiveness of credit programs with preferential interest rates that the district's Social Policy Bank has brought to the poor and ethnic minorities. For the poor in Muong Nhe district in particular and the poor in the whole province in general, preferential loans have become the main resource opening up investment opportunities for production development; increasing income to escape poverty.

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