Promoting credit resources to support the poor and policy beneficiaries

On July 22, the Da Nang City Party Committee held a Conference to review 10 years of implementing Directive No. 40-CT/TW dated November 22, 2014 of the Central Party Secretariat on strengthening the Party's leadership over social policy credit.

View of the Conference summarizing 10 years of implementing Directive No. 40-CT/TW dated November 22, 2014 of the Central Party Secretariat on strengthening the Party's leadership over social policy credit.

According to the Report of the Da Nang City Party Committee, over the past 10 years, implementing the policy of mobilizing resources for social policy credit, all levels and sectors in Da Nang have concentrated social policy credit capital sources from the state budget into one focal point, the Da Nang City Social Policy Bank Branch; increased the addition of local capital sources to entrust loans to the poor and other policy beneficiaries in the city. As of June 30, 2024, the total mobilized capital reached more than 5,000 billion VND, an increase of 3,800 billion VND compared to 2014. Of which, the central capital source was 2,817 billion VND; the capital source received for investment entrustment at the local level reached 2,204 billion VND. The People's Committees at all levels in Da Nang have prioritized balancing state budget capital sources to implement social policy credit programs. The local budget source entrusted to the Social Policy Bank Branch from the date of Directive No. 40-CT/TW to June 30, 2024 reached VND 2,113 billion, bringing the total capital source entrusted by the locality to June 30, 2024 to VND 2,204 billion.

Credit capital from the Social Policy Bank contributes effectively to the construction of modern agriculture.

Mobilizing contributions from social organizations, enterprises and individuals to supplement capital for social policy credit is mainly through the form of savings deposits of organizations and individuals. The balance of mobilized deposits of organizations and individuals as of June 30, 2024 reached more than 202 billion VND, an increase of 194.78 billion VND compared to 2014; creating conditions for members of the Savings and Loan Group to practice savings and gradually access banking services. Currently, the city is implementing 26 credit programs, with a total loan turnover from the beginning of 2014 to date reaching 11,090 billion VND, lending to 247,164 poor households, near-poor households and policy beneficiaries; debt collection turnover reached 7,718 billion VND. Total outstanding loans of policy credit programs to date have reached over VND5,011 billion, an increase of VND3,794 billion compared to 2014. There are 85,919 poor households and policy beneficiaries with outstanding loans, with an average outstanding loan per household reaching VND58.33 million, an increase of VND43.18 million compared to 2014; poor people and other policy beneficiaries with needs and conditions are all able to access products and services provided by the Social Policy Bank. Of which, the Women's Union manages outstanding loans of VND1,706 billion, the Farmers' Association VND1,097 billion, the Veterans' Association VND1,166 billion, and the Youth Union VND969 billion. The quality of operations of Savings and Loan Groups has been strengthened and improved; the city has 1,913 Savings and Loan Groups. Capital mobilization through Savings and Loan Groups is VND273 billion. However, in the process of mobilizing credit resources and supporting the poor and policy beneficiaries, there are still many limitations, difficulties and obstacles. Specifically, members of the Board of Directors of the Social Policy Bank at all levels work part-time, so the time for inspection and supervision at the grassroots level is limited, and the staff of political and social organizations at all levels change frequently, leading to inconsistent monitoring and management, causing difficulties in management and implementation of entrusted contents.

Awarding Certificates of Merit to outstanding collectives and individuals in implementing Directive No. 40-CT/TW dated November 22, 2014 of the Central Party Secretariat.

The integration of project programs, consulting, and guidance for borrowers to apply science and technology to production and business is still limited. The loan level for households and individuals to repair and build new houses according to Decree No. 100/2015/ND-CP dated October 20, 2015 of the Government on the development and management of social housing and Decree No. 49/2021/ND-CP dated April 1, 2021 of the Government on amending and supplementing Decree No. 100/2015/ND-CP with the level of 500 million VND is no longer suitable because the prices of construction materials, labor costs, etc. have all increased compared to the time the decrees were issued. Speaking at the Conference, Comrade Le Trung Chinh, Deputy Secretary of the City Party Committee, Chairman of the People's Committee of Da Nang City affirmed that after 10 years of implementing Directive No. 40-CT/TW, the correct policies of the Party and State have met the people's aspirations, strengthened the people's trust in the Party and State, contributed to achieving the goal of rapid and sustainable poverty reduction; building new rural areas; ensuring social security; political stability, security and defense; narrowing the gap between rich and poor. Regarding the tasks in the coming time, Comrade Le Trung Chinh requested that Party committees and local authorities at all levels need to have many solutions to improve the quality of social policy credit activities, in order to support the poor and low-income groups to have conditions to rise up. The city will arrange and mobilize resources to implement social policy credit, 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. Balance and prioritize the allocation of local budgets entrusted to the Social Policy Bank in the direction of matching with the central capital to supplement capital sources for the poor and other policy subjects to borrow social policy credit. Review, amend and supplement the policy mechanism related to social policy credit to mobilize, manage and effectively use resources for social policy credit, identify the right borrowers, determine lending interest rates and loan limits in accordance with practical conditions. Focus resources to effectively implement social policy credit programs, overcome resource shortages when implementing the programs, and remove difficulties and obstacles in the mobilization of capital sources of the Social Policy Bank. People's Councils and People's Committees at all levels continue to allocate a part of the capital from the local budget to supplement capital sources for lending to social policy subjects in the locality according to regulations; support facilities and working conditions for the Social Policy Bank; Support in terms of facilities, locations, equipment, and working means to improve the operational capacity of the Social Policy Bank. Strengthen inspection and supervision of social policy credit activities and activities of socio-political organizations receiving entrusted services, the situation of capital use by borrowers; internal inspection and control of the City Social Policy Bank. Improve credit quality to best serve the needs of the poor and other policy beneficiaries, contributing to the city's effective implementation of poverty reduction, job creation, and social security.

Source: https://nhandan.vn/phat-huy-nguon-luc-tin-dung-ho-tro-nguoi-ngheo-doi-tuong-chinh-sach-post820460.html