Khanh Hoa Province: Effectiveness of policy credit

In 2023, in the context that Khanh Hoa Province focused on implementing solutions to gradually restore and develop socio-economic, policy credit capital continued to be effective as a significant contribution to reducing poverty sustainably, building new rural areas, ensuring social security, political stability and socio-economic development in the province.

Since the implementation of Directive No. 40 of November 22, 2014 of the Party Central Committee Secretariat on strengthening the Party's leadership over social policy credit, Conclusion No. 06 dated June 10, 2021 of the Party Central Committee Secretariat on keeping the implementation of Directive No. 40 in the province, and under the leadership and direction of the Provincial Party Committee, People's Council, Provincial People's Committee, and the synchronous and timely participation of party committees and organizations at all levels, Party officials, local authorities and the entire political system as well as closely following the direction of the Vietnam Bank for Social Policies (VBSP), the Bank for Social Policies of Khanh Hoa Province has actively implemented policy credit programs and achieved many significant results.

Accordingly, the provincial Bank for Social Policies has mobilized large amounts of capital from the Central and local entrustment to meet the loan needs of the poor and other policy beneficiaries in the province, thereby, contributing to implementing social policies, creating livelihoods, jobs, increasing income and improving people's living, realizing the goal of sustainable poverty reduction, ensuring social security, building new rural areas. By December 31, 2023, the total capital managed by the provincial Bank for Social Policies reached nearly 4,247 billion VND, an increase of nearly 451 billion VND compared to the beginning of the year, an increase of 11.9%. Of which, central capital is nearly 3,682 billion VND, an increase of nearly 389.5 billion VND compared to 2022; Locally entrusted capital is more than 565.8 billion VND, an increase of more than 61.5 billion VND compared to the beginning of the year. Loan turnover in 2023 will reach nearly 1,343 billion VND, with 32,842 customer loans. Total outstanding debt of policy credit programs as of December 31, 2023 reached more than 4,230 billion VND (an increase of more than 453 billion VND compared to the beginning of the year, equivalent to an increase of 12%), with 114,836 customers with outstanding debts. Credit quality was guaranteed and improved. Policy credit capital has contributed to promoting local socio-economic development; implement national target programs on socio-economic development in ethnic minority and mountainous areas, sustainable poverty reduction, and new rural development. For the Sustainable Poverty Reduction Program, in 2023, the bank disbursed nearly 49.9 billion VND to 980 poor households; disbursed nearly 113.1 billion VND to 1,896 near-poor households; disbursed more than 44.7 billion VND to 696 new households escaping poverty; the total outstanding debt of 3 loan programs for poor, near-poor, and newly escaped poverty households by December 31, 2023 reached nearly 1,062 billion VND. Regarding the new rural area building program, up to now, the whole province has 63 communes meeting rural area building standards; total loan turnover in 2023 for these communes reached more than 668.7 billion VND; total outstanding debt in new rural communes reached nearly 2,086 billion VND, accounting for 49.2% of total outstanding debt at the bank, with 79,933 customers with outstanding debt. Implementing the Socio-Economic Development Program in ethnic minority and mountainous areas, in 2023, the bank disbursed more than 7 billion VND, lending capital to 205 households. In particular, in 2023, the provincial Bank for Social Policies implemented a new credit policy on lending to people who have completed their prison sentences. Thereby, 15 cases were given loans for production and business development, with an amount of 1.1 billion VND.

Implement Resolution No. 11/2022 of the Government on the Socio-Economic Recovery and Development Program and implement Resolution No. 43/2022/QH15 of the National Assembly on fiscal and monetary policies to support the program, in 2023, the Provincial Bank for Social Policies disbursed more than 229.5 billion VND to 4,622 loan customers. Accumulated to December 31, 2023, total outstanding loans for credit programs under Resolution No. 11 reached nearly 434.4 billion VND, completing 100% of the assigned plan. In addition, the province has also established a Steering Committee and Support Team and issued plans and action programs to effectively implement the VBSP development strategy until 2030 according to Decision No. 05 dated April 4. 1-2023 of the Prime Minister.

General Director of Vietnam Bank for Social Policies Duong Quyet Thang gave a gift to a loan household in Giang Ly commune, Khanh Vinh district.

At a working session with the working delegation of the provincial Bank for Social Policies in November 2023, Le Huu Hoang - Standing Vice Chairman of the Provincial People's Committee, Head of the Board of Directors of the provincial Bank for Social Policies affirmed that the province always prioritized arranging capital from the local budget entrusted through the provincial Bank for Social Policies to implement policy credit programs. In 2024, the province will continue to allocate local budget through the provincial Bank for Social Policies. This is an important source of capital for the Provincial Bank for Social Policies to continue lending to policy beneficiaries this year. In 2024, the provincial Bank for Social Policies strives to reach 100% of the credit growth plan assigned by the Central Government, with outstanding loan growth from 8 to 10% compared to 2023; mobilizing local entrusted capital increases by at least 56 billion VND compared to 2023. To achieve the set goal, the provincial Bank for Social Policies continues to implement the direction of General Director of the Bank for Social Policies Duong Quyet Thang in a working session with the province on November 2023 is to coordinate well with socio-political organizations entrusted with loans, relevant departments, branches and branches to effectively implement social policy credit programs, especially policy credit programs implement national target programs. In addion, the provincial Bank for Social Policy will consult the Provincial Party Committee and Provincial People's Committee to summarize 10 years of implementing Directive No. 40 of the Party Central Committee Secretariat; continue to effectively implement the Bank for Social Policy development strategy until 2030 in the province; continue to focus on synchronously implementing solutions to consolidate and improve the quality of social policy credit, including strengthening inspection and supervision and continuing to consolidate and improve the quality of social policy credit; regularly review poor households, near-poor households, newly escaped poverty households and other policy beneficiaries to ensure that the lending is given to policy beneficiaries; strengthen the propaganda of the Party and State's guidelines and policies on social policy credit; effectively apply information technology and digital transformation in professional operations; organize and effectively implement social policy credit to contribute to socio-economic development and ensure social security in the province.

Ho Dac Thich

Translated by T.T