Hanoi (VNA) – The Vietnam Bank for Social Policies (VBSP) announced that capital that local government budgets entrusted to the bank for implementing social credit programmes so far this year has surpassed 5 trillion VND (196.96 million 🍨USD), exceeding the 2024 annual target.

Since the implementation of Directive No. 40-CT/TW by the Central Party Committee’s Secretariat on strengthening Party leadership over social credit, provinces and cities across the country have channelled over 40 trillion VND from their budgets to the VBSP, helping bolster poverty alleviation and ensure social security. Notable localities leading in entrusted capital include Hanoi with over 7.92 trillion VND, Ho Chi Minh City 7.25 trillion VND, Da Nang 2.15 trillion VND, Binh Duong over 1.94 trillion VND, Ba Ria-Vung Tau nearly 1.79 trillion VND, and Dong Nai more than 1.39 trillion VND. As of December 31, 2023, the total policy credit capital nationwide surpassed 346 trillion VND. This enabled the VBSP to extend loans to over 2.2 million poor, near-poor households and other eligible groups, with a total disbursed value of over 108.04 trillion VND for the year. By the end of last year, outstanding loans amounted to nearly 332 trillion VND, benefiting 6.8 million borrowers. Loan quality remains stable, with only 0.57% of total outstanding loans being overdue. Policy credit has made substantial contributions, including creating employment for over 790,000 workers, including nearly 8,600 in overseas jobs and 2,600 former prisoners. This source of credit has also funded educational loans for nearly 97,000 disadvantaged students, and financed over 4,000 households to purchase computers and devices for online education. It has also supported the construction of over 1.4 million rural water and sanitation projects along with 1,383 houses for impoverished families and over 15,000 social housing units for low-income earners. In 2024, the VBSP aims to build on these achievements, aligning with the Government's directives and its long-term development strategy through 2030. The bank is committed to ensuring 100% access to financial products and services for eligible low-income individuals and policy beneficiaries, furthering its role as a critical tool for poverty reduction, rural development, and inclusive growth. At the bank’s annual meeting, VBSP General Director Duong Quyet Thang pointed out several priorities, including promoting increased local budget allocations for entrusted funds, executing the government-approved credit growth plans promptly, enhancing credit quality, and implementing digital transformation initiatives./.