Effective promotion of preferential loans
To access and use significant loans from the Bank for Social Policies, many low households, ethnic minority households in Bac Ha district have conditions to invest in building economic development models to improve income and get rich. |
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People in Coc Ly commune raise fish in cages on Bac Ha Hydropower Lake. |
In Tham Phuc village, Mrs. Ban Thi Hoa, Coc Ly commune, is known to be one of the poor households that have gotten rich thanks to the preferential loans from the Bank for Social Policies. In the past, Mrs. Hoa said that her family's economy was entirely dependent on the cultivation of maize and rice. Still, for many consecutive years, the price of maize fell low, leading to inadequate income. With the commune authorities' favorable conditions, she boldly borrowed 50 million VND to invest in raising cattle (breeding buffalos, pigs), purchasing agricultural products, and selling fertilizers and animal feed. Thanks to that, each year, her family has an income of about 60 million VND from breeding and business services.
In Lang Da village, Mr. Ban Van Long's family - Sin Chai, is also a poor household in Coc Ly commune. Mr. Long is encouraged by the mass organizations to access loans from the Bank for Social Policies to invest in product development. Having capital and technical support from the commune's agricultural and forestry staff, he has invested in raising 15 breeding buffaloes, growing more than 3 hectares of cinnamon. Mr. Ban Van Long confided: Thanks to loans from the Bank for Social Policies to invest in production, my family has a stable income and improved life.
Mr. Bong Van Phu, Chairman of Coc Ly Commune People's Committee, said: Currently, associations and unions of the commune mandate policy loans of more than 33 billion VND. From this preferential credit capital, low households and other policy beneficiaries in the area have opportunities to invest in economic development and send their children to school, especially to create conditions for many households to overcome difficulties and rise out of poverty.
According to the Transaction Office of the Bank for Social Policies of Bac Ha district, the loan capital has increased over the years thanks to attention and drastic direction of all levels and sectors. The quality of policy credit is markedly raised. Up to now, the total outstanding loans of loan programs have reached more than 320 billion VND with 6,611 customers with exceptional loans (an increase of 25 billion VND compared to the beginning of 2020); Non-Performing Loans is 205 billion VND (including overdue debts, frozen debts), accounting for 0.06% of the total outstanding loans, an increase of 45.5 million VND compared to December 31, 2019.
Mr. Giang Phi Tien, Director of the Bank for Social Policies of Bac Ha district, said: To ensure effective management of loan capital for policy credit activities, in the coming time, the unit will continue to work closely with departments, branches, associations, unions, and local authorities, most are entrusted organizations to improve credit quality, contribute to reducing the rate of low households in the locality.
