Policy capital, the "support" of the poor (Part 2)

With the characteristics of a purely agricultural district, policy credit capital has long become a fulcrum to help the poor and policy beneficiaries in Luong Tai district have more capital for production, improve and enhance the quality of life, contributing positively to the goal of ensuring social security, sustainable poverty reduction, and promoting local socio-economic development.

Lesson 2: A fulcrum to help the poor and policy beneficiaries overcome difficulties

The job creation loan program of the Vietnam Bank for Social Policies helps households have more resources to invest in production development.

Implementing Directive No. 40-CT/TW dated November 22, 2014 of the Secretariat on "Strengthening the Party's leadership over social policy credit (CSXH)", every year, the District CSXH Bank has proactively advised the Party Committee and authorities to effectively direct the implementation of CSXH credit; at the same time, concretizing the content of the Directive with plans and instructions so that the Party's policies reach the people in a timely manner and are implemented in accordance with the law.

In order to help poor households and policy beneficiaries organize production and business effectively, and escape poverty sustainably, the District Social Policy Bank and entrusted socio-political organizations have coordinated with functional sectors to organize vocational training, training, and transfer of scientific and technical advances in cultivation, animal husbandry, production, etc.; integrate the Social Policy Bank loan program with local socio-economic development programs and goals, build and expand models for poor households, production and business households to borrow capital according to projects.

Currently, Luong Tai district is implementing 12 policy credit programs and programs entrusted by the locality. Total lending turnover from the beginning of 2014 to present has reached 983 billion VND, with nearly 33,000 poor households, near-poor households and other policy beneficiaries receiving loans; debt collection turnover has reached nearly 675 billion VND, equivalent to 68.6% of lending turnover. By May 31, 2024, the total outstanding debt of policy credit programs reached 533 billion VND, an increase of 308 billion VND compared to 2014, with nearly 9,736 poor households and policy beneficiaries still having outstanding debt, an average outstanding debt per household reaching 54.4 million VND, an increase of 22.6 million VND compared to 2014.

Luong Tai is also a bright spot and the leading locality in the province in providing credit loans to people who have completed their prison sentences. Immediately after Prime Minister Pham Minh Chinh signed Decision No. 22/2023/QD-TTg, the district's Social Policy Bank proactively advised the leaders of Luong Tai district to issue a document directing the implementation and removal of difficulties when implementing the credit program for people who have completed their prison sentences. At the same time, coordinate with the police force and local authorities to strengthen guidance, propaganda, grasp the needs, and disburse loans to the right subjects.

From policy loans, Mr. Doan Van Thanh's family, Trung Chinh commune, Luong Tai district invested in developing farm economy.

As of May 31, 2024, the entire district has disbursed loans to 38 customers with an amount of more than 3.5 billion VND. Through inspection, all customers have used the loan capital to invest in production and business plans for the right purposes.

After completing his 19-month prison sentence, with the determination to rebuild his life, develop the economy, and get rich in his homeland, Mr. Doan Van Thanh, Trung Chinh commune, shared: Thanks to accessing social security capital, it has motivated him to develop his own economy and stay away from social evils. From a loan of 100 million VND, he boldly expanded his barn, bought more livestock breeds, and now, with a scale of 3 rows of barns, 2,900 commercial chickens, more than 2,000m2 of fish ponds and a grapefruit garden, his farm earns a profit of 150 million VND each year. Mr. Thanh also hopes that agencies and departments will create conditions for him to borrow more so that he can build modern, closed barns to avoid risks when raising livestock.

In addition, Luong Tai district has always paid attention to directing the mobilization of financial resources, meeting the borrowing needs of the poor and other policy beneficiaries, contributing to the implementation of the goal of multidimensional poverty reduction, ensuring social security and building new rural areas. By the end of 2019, Luong Tai district and 13/13 communes met the new rural standards; by the end of 2023, the rate of poor households according to the new standards will decrease to 1.03%, and near-poor households to 1.63%.

The structure of social credit capital sources has changed in the direction of increasing the capital sources of the Social Policy Bank, which can mobilize the State budget to subsidize interest rates and local resources, clearly demonstrating the policy of "diversifying resources" with the motto "State, enterprises and people work together". Thanks to that, the social credit capital sources have basically met the borrowing needs of the poor and other policy subjects in a timely manner.

Mr. Dang Van Trong, Director of the Transaction Office of the Social Policy Bank of Luong Tai district, said: In order for policy capital to continue to be effective, creating leverage to help people develop the economy and improve the quality of life, in the coming time, the District Social Policy Bank will continue to focus on credit quality, transaction quality in communes and towns, and the quality of operations of Savings and Credit Groups; deploy and apply support products and services that bring convenience to the poor and other policy beneficiaries. Organize and implement well the policy of mobilizing resources for social policy credit associated with agricultural and rural development, education development, vocational training, employment, and social security; direct the review of poor and near-poor households and other policy beneficiaries who have the need and are eligible to borrow capital as a basis for the District Social Policy Bank to lend capital. At the same time, well implement support programs such as: Agricultural and industrial promotion, finding markets for products; Orientation of production, crops, livestock, trade, services, etc. to help the poor and other policy beneficiaries use loans effectively and escape poverty sustainably.

Source: https://thoibaonganhang.vn/nguon-von-chinh-sach-diem-tua-cua-nguoi-ngheo-bai-2-158896.html