More credit for poor and beneficiaries

Also this year, credit policies will continue to focus on areas with high proportions of poverty and disaster recovery loans. This is one of the key tasks that the government has assigned to the Vietnam Bank for Social Policies to implement in 2017.

According to the Vietnam Bank for Social Policies, total credit this year for poor households and policy beneficiaries will be over 2.6 billion USD.

The Vice Director of Vietnam Bank for Social Policies Nguyen Van Ly pointed out that in addition to the 8% credit growth which the government has allocated for the Bank for Social Policies, the bank will perform better debt collection work, and form a loan fund nearly 2.6 billion dollars. So this is the largest increase in potential funding for the poor and beneficiaries.

In 2016, more than 2.2 billion US dollars were disbursed to poor households and beneficiaries. More than 2.2 million poor households and beneficiaries, and nearly 500 thousand households exceeded the poverty threshold. Along with that, tens of thousands of civil works such as clean water supply and temporary housing for the poor has been completed.

“We reduced multidimensional poverty by 9.34% in 2016. There is an additional boost in resources and loans increased from 1.5 to 2.5 thousand USD, through which people get funds to develop the local economy and reduce poverty in the district”, said the Vice Chairman of Mu Cang Chai People's Committee, Yen Bai Province Luong Thi Xuyen.

Identified as one important tool in poverty reduction policy system, policy funds are expected to account for the largest preferential credit source of government funding. Over the years, this fund has given credits to thousands of households.