Bringing policy capital to disadvantaged areas

Tuyen Quang is a mountainous province with difficult economic conditions, especially in remote areas and ethnic minority areas. The rate of poor and near-poor households is high compared to the national average rate. A part of the poor, near-poor and ethnic minority people are not bold enough to borrow capital, lack knowledge and experience in production.

Officers of the VBSP Son Duong district disburses loans to people at the transaction point of Vinh Loi commune

In recent years, committees, authorities, the Vietnam Fatherland Front and mass organizations have seriously implemented Directive No. 40-CT/TW of the Secretariat on strengthening the Party's leadership over social policy credit, contributing to raising awareness and sense of responsibility of all people in implementing social policy credit.

With the determination and efforts of the entire political system of the province, remote communes have had a new look, in which policy capital plays a key role in poverty reduction and is a lever to help people develop production. Through VBSP, the poor and other policy beneficiaries are created opportunities to access preferential credit to improve their lives.

In the past years, Mrs. Ban Thi Huong's family (in Ban Luc village, Da Vi commune, Na Hang district) had difficulties in lacking of capital for production. With VBSP’s loan of VND 100 million for poor households, Mrs. Huong planted 3 hectares of fat forest combined with livestock farming. Thanks to the loan for labor export from VBSP, her son, who also went abroad to work in August - September 2023, has earned an income of 10 million VND/month. Mrs. Huong said: "Policy credit source is an important resource for my family. My children have jobs and they strive to build a new house and stabilize their lives in the long term".

Currently, Da Vi commune has 735 households borrowing policy capital with a total outstanding loan balance of VND 40.92 billion; In which, outstanding loans for poor households are VND 22.06 billion; near-poor households are VND 6 billion; labor export is VND 1.5 billion; production and business households in disadvantaged areas are VND 4.53 billion... Mr. Tran Ngoc Linh - Chairman of Da Vi Commune People's Committee said: Policy capital helps effective production such as: Ginseng, oranges, grapefruit and develop OCOP products such as traditional dried vermicelli of the Tay people, dried bamboo shoots... Along with that, policy credit capital is also contributing to promoting local labor export, helping to improve people's lives, ensuring a long-term life.

Ms. Duong Thi Luyen (in Na Tang village, Hung Loi commune, Yen Son district) is one of the young H'Mong households with a brocade weaving workshop. Ms. Luyen said that she took a loan of VND 100 million from VBSP Yen Son district. After 2 years, this profession has brought her a stable income of about 20 - 30 million VND/month. She hopes that she could take more VBSP’s loans to expand her production workshop, creating more jobs for local people. According to Mr. Nguyen Phan Vy - Director of VBSP Tuyen Quang Provincial Branch, the unit has disbursed loans to 227,103 poor households and policy beneficiaries with a total amount of more than VND 8,525 billion; policy credit capital has been invested in 100% of communes, wards and towns in the province; helping 72,350 households overcome the poverty line... The awareness of poor households and ethnic minority households has changed positively, effectively using loan capital in production to develop household economy, reducing dependence and waiting for support from the State.

Ms. Pham Thi Nhi Binh - Vice Chairman of Son Duong District People's Committee said: Since implementing Directive No. 40-CT/TW, Son Duong district has transferred more than VND 7.6 billion to VBSP Son Duong district to provide loans to poor households and policy beneficiaries.

Social policy credit programs have been effective, contributing positively to the implementation of the Resolution targets of the Party Congresses at all levels, especially the targets on poverty reduction and new rural construction of the province, contributing to socio-political stability, creating livelihoods for local people, ensuring social security, and creating resources for localities to exploit the potential and strengths of each region.

Hai Chung