Preferential capital helps Dak Nong people escape poverty

A commune has nearly 3,000 households receiving preferential loans.

Quang Truc Commune, Tuy Duc District is a locality with a large ethnic minority population. In previous years, people's lives faced many difficulties. The rate of poor and near-poor households was quite high.

Tuy Duc District Social Policy Bank went to the area to check people's loan needs

Since accessing preferential capital sources deployed by the district’s Social Policy Bank (SPB), people’s lives have changed a lot. Up to now, preferential credit balance in the whole commune is more than 140 billion VND. Nearly 3,000 households in the locality have received preferential loans.

Mr. Nguyen Van Tuan's family in Bu P'rang 1 hamlet, Quang Truc commune has a stable income thanks to preferential loans. According to Mr. Tuan, in previous years, the family's economy was very difficult. Due to lack of investment capital, the fields were not effective.

The two children are still in school age. Every year, the family often borrows money from outside, at high interest rates, to invest. When harvest time comes, the income from the garden mainly covers the debt, with no money left over.

Staff of the Social Policy Bank of Tuy Duc district (Dak Nong) guide the services of the Social Policy Bank to people of Quang Truc commune.

In mid-2023, his family was evaluated by the locality, and the district People's Credit Fund lent 50 million VND from the loan program for production and business households in difficult areas.

With capital, his family focused on buying equipment and fertilizer to invest in more than 2 hectares of coffee. The garden was invested in and developed well. Last season, his family harvested 8 tons of coffee beans, many times higher than before.

“The procedure is simple, the capital is disbursed very quickly. The loan amount is suitable for my family's investment conditions, so the pressure of paying principal and interest is reduced,” Mr. Tuan shared.

Dak Nong Social Policy Bank disburses loans to people

According to the People's Committee of Quang Truc commune, the preferential capital from the Vietnam Bank for Social Policies has really made a significant contribution to the development of the locality. From a commune with a high poverty rate, by the end of 2024, it had decreased significantly.

To effectively utilize capital, during the loan consideration process, the local authorities carefully screen the borrowers. The organizations and heads of the savings and loan groups regularly visit and understand the process of using capital of the borrowers. The local authorities promptly record difficulties and problems in the process of borrowing and using capital to support the people.

Fast disbursement

According to the Dak Nong Social Policy Bank Branch, as of March 31, 2025, the outstanding balance of preferential programs in the area was nearly VND 4,797 billion, with nearly 70,671 households borrowing capital.

Deputy Director of the Dak Nong Social Policy Bank, Vu Anh Duc, said that the unit's motto is to not let any household in need of a loan be unable to access policy capital.

Many ethnic minority households in Dak Nong receive preferential loans from the Vietnam Bank for Social Policies to develop their economy and escape poverty.

Every year, the Social Policy Bank actively coordinates with local authorities and entrusted organizations to review all loan needs at the grassroots level. For households in difficulty, with entrepreneurial spirit and production materials, the bank is ready to provide timely capital support.

All procedures and loan documents are simplified as much as possible by the transaction office. The unit always speeds up the disbursement of capital so that people have the conditions to invest in time for the crop season.

“Once the application is completed, we prioritize disbursing the capital within the day. We want to ensure that people have capital to serve production in a timely manner, avoiding the situation of borrowing from outside at high interest rates,” Mr. Duc emphasized.

Thanks to timely loan support, many households have escaped poverty. By the end of 2024, the poverty rate in Dak Nong was only 5,163 poor households, accounting for 2.99% of the province's population.

According to Mr. Duc, currently, the demand for investment capital is quite high. The provincial Social Policy Bank continues to coordinate with localities to synthesize loan capital needs. On this basis, the unit allocates capital to transaction offices.

For households whose principal debt is due, the unit actively collects it. With the collected capital, the Social Policy Bank continues to supplement the loan capital, promptly supporting people in difficult areas to invest in production.

By the end of 2024, the poverty rate in Dak Nong will be only 5,163 poor households, accounting for 2.99% of the province's population.

In the journey of poverty reduction and new rural development, policy capital plays a particularly important role. This is not only a preferential credit channel, but also a lever to help poor and near-poor households and policy beneficiaries have the opportunity to rise up.

Through programs such as loans for poor households, near-poor households, households that have just escaped poverty, students in difficult circumstances, clean water and environmental sanitation in rural areas, social housing, etc., tens of thousands of households in Dak Nong have accessed preferential credit capital.

In particular, policy loans not only help people develop production and create sustainable livelihoods, but also raise their awareness of self-reliance and reduce dependence on state subsidies.

By the end of 2024, the total outstanding debt of the Social Policy Bank, Dak Nong branch, will reach thousands of billions of VND, with the overdue debt ratio always being controlled at a low level. The efficiency of using policy capital is increasingly high, many households have escaped poverty and become typical production models.

Policy capital therefore has profound humanitarian significance, contributing to narrowing the development gap between regions, promoting social security, maintaining political stability and creating a solid foundation for Dak Nong to achieve the goal of sustainable poverty reduction and comprehensive development in the new period.

In the first 3 months of 2025, Dak Nong had 445 poor households; 1,300 near-poor households; 749 newly escaped poverty households receiving preferential loans. The whole province had 2,841 production and business households in difficult areas accessing capital to develop production. Dak Nong had 550 households receiving loans to create jobs; 2,488 households receiving loans to build new and repair clean water works...

Source: https://baodaknong.vn/von-uu-dai-giup-nguoi-dan-dak-nong-thoat-ngheo-250055.html