Over the past years, Khanh Son District Bank for Social Policies has targeted at poor families and beneficiaries of social welfare, contributing to promoting economic development and social welfare in rural areas...
Over the past years, Khanh Son District Bank for Social Policies has targeted at poor families and beneficiaries of social welfare, contributing to promoting economic development and social welfare in rural areas.
Cao Van Lieu, Chi Chay Village, Son Trung Commune says lack of capital, he used to grow just some short-term crops of corns and wheat and earn little money. In 2013, he got a loan of VND8 million from the bank to invest in the cultivation of coffee trees and fruit trees such as banana, durian, rambutan, mangosteen, etc. Besides, he also grew 5ha of Acacia trees. Thanks to the income from the farming, in 2017, he paid off the loan and got an additional VND30 million loan to buy fertilizer and machines and got student loans for his two children. One of them has got a job and paid off the loan and the other is still studying at a college.
The loan from the bank has empowered Cao Ngoc Tuan, Ta Luong Village, To Hap Town to lift himself out of poverty. His farming used to be hard work but not very profitable due to lack of funds and limited scientific technical agricultural knowledge. “Thanks to support of Khanh Son Town Veterans’ Association, I am offered a loan from the bank to invest in purple sugarcanes and fruit trees as well as provided farming techniques. My family’s income has increased to VND15 million/ pole of purple sugarcanes alone. I am able to pay my monthly principle and interest as scheduled. Our living standard has improved and we have got out of poverty,” he says.
Khanh Son District Bank for Social Policies has offered 181 loans with a total balance of VND4.46 billion to its members, providing economic opportunities for many needy people to work effectively and escape from poverty, according to Dinh Thi Thuy Xoan, Chairperson of To Hap Town Veterans’ Association.
Pham Thi Yen, Deputy Director of Khanh Son District Bank for Social Policies says the bank has expanded the eligibility for preferential loans by developing credit programs in the region 2 and 3. In 2017, disbursement has been made for job creation in communes in the region 1, namely Son Trung and To Hap Town to facilitate economic growth and raise incomes.
 Loans offered by the Bank for Social Policies empower Khanh Son residents to lift themselves out of poverty with high-value crops.
|
Khanh Son District Bank for Social Policies has cooperated with local authorities and political and social organizations to boost preferential loan offer propaganda. After 15 years of operation, since 2003, from only VND1.7 billion disbursement in the first 2 credit programs for poverty alleviation and job creation, Khanh Son District Bank for Social Policies has disbursed nearly VND210 billion worth of more than 19,000 loans offered to the needy (95% of poor households are offered loans at Khanh Son District Bank for Social Policies) with a debt collection turnover of VND96 billion so far.
At present, the bank is providing loans through 9 credit channels with a total balance of over VND134 billion, rising 130 times compared with its inception figure. More than 4,860 households have been provided loan offers through 129 saving groups. Most of the funds have been disbursed through political and social organizations such as Farmers’ Association, Women’s Association, Veterans’ Association and Youth’s Union to make sure preferential loans are properly and effectively offered. In order to improve the credit program quality, farming training classes have been held for business and production efficiency, helping to improve local residents’ living standard as well as assure amortization schedules and reduce bad debts currently reported at 0.31%.
D.L
Translated by N.T
