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Updated: 2019-06-25 16:27:30

Having capital to plant Ginseng, Tu Mo Rong people escape from poverty

(VBSP News) In recent years, VBSP Tu Mo Rong district (Kon Tum) has disbursed loan timely for poor households and policy beneficiaries, contributing positively to  local poverty reduction.

Người dân Tu Mơ Rông sử dụng vốn vay ưu đãi đầu tư phát triển cây sâm Ngọc linh

The people of Tu Mo Rong use preferential loans to develop Ngoc Linh ginseng

Priority is given to poor households

Tu Mo Rong is a poor district, the lives of people are still in difficult conditions. Therefore, the demand for capital to invest in production development of households in the area is very large. To facilitate the households, in recent years, VBSP Tu Mo Rong district actively coordinated with the Commune People's Committees and local mass organizations to implement measures to channel preferential credit policies to the people especially poor households, near poor households, and households in disadvantaged areas to access capital for business development.

Up to now, total outstanding loans of policy credit programs in Tu Mo Rong district have reached more than VND 173 billion, with more than 6,700 active customers in 137 Savings and Credit groups. In particular, lending to poor households accounted for the largest proportion, with over VND 100 billion. The majority of borrowers focus on investing in production, animal husbandry and planting herbals, including ginseng.

Mr. Truong Quang Tri - Director of VBSP in Tu Mo Rong district said that in the past years, VBSP district always follows direction of provincial VBSP, District Party Committee, People's Council, Tu Mo Rong District People's Committee to create favorable conditions for people to access policy credit capital. Through 11 transaction points in the commune, VBSP assigns staff to the commune to organize transactions, propaganda, providing banking services, disbursing, lending, collecting debts etc, which helps saving travel expenses for people and creates solidarity with the borrowers etc.

“Through transaction at the commune, we also get feedback of local governments and aspirations of the people in order to improve our services, meet needs of the people, contribute positively into local poverty reduction. In addition, we cooperate with the mass organizations to regularly monitor loan use of the borrowers to ensure efficiency” Mr. Tri shared.

According to Mr. Truong Quang Tri, in recent years, in addition facilitating people to borrow capital, use capital to develop industrial crops, livestock and business, VBSP Tu Mo Rong district also lend to people to focus on developing medicinal plants suitable with local weather and soil conditions such as ginseng, Ngoc Linh ginseng and Dong Quai ... Policy credit has contributed to increase the number of households escaping from poverty in Tu Mo Rong district every year, in 2016, 365 households escaped from poverty and in 2017 it was 401 households etc.

Getting rich thanks to ginseng cultivation

In order to understand the effectiveness of policy credit, we returned to Ngoc Lay commune - one of the communes with a large number of households borrowed from VBSP.

Following the footsteps of commune officials, we went to the family of Mrs. Y Blút  in Tu Bung village, Ngoc Lay commune, she recalled that in early 2016, she borrowed VND 50 million from VBSP district. She invested in planting 4 acres of Ngoc Linh and Dong Quai ginsengs. After 2 years, in addition to paying off the above loan amount, her family has some savings. Her family now has a more stable source of income, life is less difficult than before.

A Moc family in Mang Rong 1 village, Ngoc Lay commune also borrowed money from VBSP to invest in production and gradually rose to escape poverty. Previously, A Moc's family economy relied only on upland fields, growing cassava with low earnings. Having been granted a loan of VND 50 million through his Savings and Credit group from VBSP Tu Mo Rong district, A Moc family has invested in coffee growing and 700m2 of Ngoc Linh and Dong Quai ginsengs. Each year his family earns tens of millions of dong

"Last year, from Dong Quai only, my family earned VND 30 million, plus tens of million VND from 1,500 coffee, and earnings from Ngoc Linh ginseng. Thanks to the VBSP district's capital, my family's life has changed so much, being more stable and we have escaped from poverty ”, A Moc confided.

Mr. Dang Quoc Dung - Chairman of Ngoc Lay Commune People's Committee said: Up to now, the total loan outstanding in the commune is over VND 10 billion VND with 11 Savings and Credit group and 350 active household borrowers. Loans are used for the right purposes, mainly investing in agricultural production especially growing coffee and medicinal plants. Policy credit has actually brought efficiency, helping people to develop production and thereby contributing to improving income, speeding up the progress of sustainable poverty reduction.

Phuc Nguyen



Poor Households

Lending to poor households 6,6%/year
Lending to poor households in 64 poor districts as stipulated by the Government Resolution No.30a in 2008 3,3%/year

Near Poor Households

Lending to near poor households 7,92%/year


Lending to disadvantaged students 6,6%/year

People in need of loans for job creation

Lending to business establishments owned by war invalids and handicapped persons 3,3%/year


Term Deposit Rate
Overnight 3,04%/year
1 week 3,23%/year
2 week 3,5%/year