Credit capital supports students

For many years, policy credit capital has supported thousands of students from difficult circumstances to have better conditions to pursue their dreams of studying and creating jobs for the future. Entering the new school year, the number of students continues to increase this capital source.

According to the provincial Bank of Social Policies, from the beginning of the year to July 31, the disbursement revenue of the loan program for students was more than VND25 billion with 457 borrowers. The total outstanding debt of the program as of July 31 was nearly VND73.3 billion with 1,800 borrowers. The subjects of poor and near-poor households, households facing sudden financial difficulties, orphaned students, rural workers going to vocational training, households with a maximum income level equal to 150% of poor households, and households with an average standard of living when in need were all able to access timely capital sources.

According to the leaders of the transaction offices of the Bank of Social Policies, through the actual development of the loan program for students, it shows that the number of high school graduates and students entering universities and colleges is currently quite high. However, the rate of households accessing capital sources is still limited and not commensurate. In addition to the reason that the economic conditions of the people are getting better and better, families with fewer children are able to take care of their children, the propaganda and policy guidance work in some places and at some times is not extensive. Therefore, local political and social organizations need to strengthen coordination with the Bank of Social Policies to propagate policies more widely among the people, especially households that are beneficiaries.

In 2022, the Prime Minister issued Decision No. 05 amending and supplementing a number of articles of Decision No. 157/2007 on credit for students. Accordingly, in addition to poor and near-poor households, households with an average standard of living will be eligible for student loans. However, according to Decree No. 07 dated January 27, 2021 of the Government on multidimensional poverty standards for the period 2021 - 2025, student families belonging to agricultural - forestry - fishery - salt production households are eligible for support with an average standard of living, thereby being able to access preferential loans. Meanwhile, currently, the urbanization process is increasingly expanding, people in some localities have changed their jobs but their income level is still not high. Phan Phuoc Thao - Director of the Transaction Office of Cam Ranh City People's Credit Fund said: “People in some communes and wards have changed their occupations from agriculture and fishing to small-scale industry and services, but their family economic conditions are still very difficult. In particular, there are households that work as bricklayers or small traders but cannot be assessed for student loans even though they have a need for loans. This is a surprise that has been proposed by localities and the Vietnam Bank for Social Policies to competent authorities for consideration.”

MAI HOANG

Translated by T.T