Study Tour of Bankers Institute of Rural Development (BIRD) to the Vietnam Bank for Social Policies (VBSP)

As part of the membership collaboration within the Asia-Pacific Rural and Agricultural Credit Association (APRACA), at the end of February 2025, the Bankers Institute of Rural Development (BIRD), Lucknow, India conducted a training cum exposure visit to Vietnam Bank for Social Policies (VBSP) to exchange experiences in value chain financing in agriculture, allied and rural sectors. This visit aims at strengthening bilateral cooperation between the two institutions, with a focus on financial inclusion and supporting vulnerable rural communities. The BIRD delegation, comprising of Ms Anukampa Jha & Mr Amit Kumar Lal, Deputy General Managers and Faculty Members from BIRD Lucknow and other participants from banks, Microfinance institutions, NBFCs, Consultancy firms, NGOs, etc. was warmly welcomed by Mr. Duong Quyet Thang - General Director of VBSP.

The delegation took a commemorative photo at the VBSP’ Headquarters

VBSP’s Role in Financial Inclusion

As a government-owned financial institution operating on a non-profit basis, VBSP is the largest provider of inclusive finance and microcredit for the poor households and policy beneficiaries in Vietnam. Currently, VBSP’s total policy credit capital has reached over USD 15 billion equivalent, total outstanding loans exceeding USD 14.7 billion with more than 6.9 million customers.

Over the past 22 years, VBSP has supported 6.3 million households in getting out of poverty, created jobs for nearly 6 million workers and enabled more than 3.8 million disadvantaged students to access education loans. Additionally, VBSP has financed the construction of over 16.8 million works of safe water and rural sanitation, nearly 729,000 houses for poor households and policy beneficiaries. These efforts have significantly contributed to reducing the national poverty rate over different periods, from 9.88% in 2016 to 4.06% in 2024. Thanks to its remarkable contributions, VBSP has been highly recognized by the Communist Party, the National Assembly, the Government of Vietnam and international organizations.

Strengthening Cooperation Between BIRD and VBSP

Ms. Anukampa Jha - Deputy General Manager of BIRD (center in the photo) delivering her speech at the working session in VBSP’s Headquarters.

Ms. Anukampa Jha expressed her sincere appreciation for VBSP’s warm hospitality. She wished VBSP continued success in implementing preferential credit policies for poverty reduction and rural development. She informed the house about the activities of BIRD, the apex level training institute in India in the realm of agriculture and rural development for the last four decades. BIRD has been promoted and supported by National Bank for Agriculture and Rural Development (NABARD). The activities of BIRD include conduct of capacity building programmes for the stakeholders, conduct of research and studies, policy advocacy, etc. BIRD has so far conducted more than 7000 programmes, with number of participants exceeding 200000. BIRD has been spearheading the capacity building of farmers’ collectives to convert them into a profitable business organization.

Ms Jha emphasized that the visit to VBSP provided a valuable opportunity for the BIRD delegation to learn and exchange experiences, which would serve as a strong foundation for their work upon returning to India. Furthermore, she expressed her hope for a strengthened collaboration between VBSP and BIRD in the coming time.

Field Visits in Vietnam

As part of the study tour, the BIRD delegation also conducted field visits to explore social policy credit, microfinance and rural agricultural development programs in Hanoi City, Thai Binh and Quang Ninh provinces.

Silk village in Hanoi

Noodle making unit in Thai Binh

Rice mill unit in Thai Binh

Aquaculture Farm in Quang Ninh  

Dairy production value chain in Bavi (Hanoi)

The visit was a great chance for both parties to share experiences in rural and agriculture finance. It not only paved the way for deeper collaboration between the two institutions but also provided the BIRD delegation firsthand insights into Vietnam’s social policy credit model, contributing to the advancement of financial inclusion in both countries.