Nghe An Social Policy Bank: Ensuring effective policy credit

Viet Phuong• DNUM_ABZACZCACA 18:36

(Baonghean) - In 2020, the Social Policy Bank (SPB) Branch in Nghe An province implemented many synchronous solutions to ensure the effectiveness of policy capital allocated by the Government and entrusted capital.

Maximize capital mobilization

In 2019, the Nghe An Provincial Branch of the Bank for Social Policies successfully completed the plans and tasks set out: Successfully organized the conference to review the implementation of Directive No. 40-CT/TW of the Secretariat; exceeded the assigned capital target.

By December 31, 2019, the entrusted capital reached 157.2 billion VND, an increase of 30,847 million VND, completing 100% of the yearly plan. Of which: Provincial level mobilized an increase of 16,368 million VND (accounting for 53.06%), transaction office level mobilized an increase of 14,479 million VND (accounting for 46.93%). Some transaction offices completed the plan at a high level such as: Nam Dan, Anh Son, Dien Chau, Con Cuong, Que Phong, Quy Chau, Quy Hop, Tuong Duong... Of which, the two units Nam Dan and Anh Son made great efforts, creating a breakthrough in capital mobilization results from enterprises inside and outside the province.

Phòng giao dịch ngân hàng chính sách Nghi Lộc giải ngân nguồn vốn. Ảnh: Việt Phương

Nghi Loc Policy Bank transaction office disburses capital. Photo: Viet Phuong

Actively make the most of central and local capital resources, attach importance to capital mobilization solutions in the area. Capital growth rate is quite good, up 8.05% compared to the previous year, total capital reached 8,376 billion VND. Capital mobilized in the area reached 1,562 billion VND, up nearly 245 billion compared to the beginning of the year; in which: Local budget capital increased by 30.8 billion VND, savings through groups increased by 93.6 billion VND, deposits through other organizations and individuals increased by 120.3 billion VND.

Mr. Tran Khac Hung - Director of the Provincial Social Policy Bank Branch said: In 2020, the Branch set the goal: Continue to advise on the effective implementation of the content of Directive No. 29-CT/TU of the Provincial Party Committee, surpassing the growth target of 25 billion VND of capital entrusted from the local budget assigned by the Central Government. Capital growth and outstanding debt will be at least 8% compared to 2019, equivalent to an increase of about 700 billion VND, outstanding debt by the end of 2020 is estimated to reach over 9,000 billion VND.

Graphics: Lam Tung

Complete the capital mobilization growth plan assigned by superiors (expected: 60 billion VND in savings deposits through groups; 100 billion VND in deposits from organizations and individuals); complete the minimum outstanding loan growth target of 99% or more. Continue to comprehensively improve credit quality, achieving the following goals: Overdue debt does not increase compared to 2019; increase debt collection by installments, especially lending to poor households for housing and ethnic minority programs; debt collection by the end of the term reaches at least 85%.

Proactively increase loan levels

The leader of the Nghe An Provincial Bank for Social Policies Branch said: To achieve the set goals, the Branch focuses on closely following the contents of Directive No. 40-CT/TW of the Secretariat, Directive No. 29-CT/TU of the Provincial Party Committee, and directive documents of the Provincial People's Committee to promptly and effectively advise Party committees, authorities, and Board of Directors at all levels to maximize their roles and responsibilities in leading and directing policy credit; pay attention to arranging sufficient assigned capital targets; actively mobilize non-budgetary capital sources entrusted through the Bank for Social Policies, striving to exceed assigned targets.

Maximize the central capital and local budget to ensure the borrowing needs of subjects in the area; strive to complete the target of capital mobilization from organizations and individuals in the area; direct the debt collection work well, focusing on debt collection in stages to proactively source capital while limiting the pressure of debt settlement at the end of the period and stabilizing credit quality; actively coordinate to review and inspect the use of capital to proactively increase the lending level to achieve good results.

The Bank for Social Policies inspects the production loan model in Ky Son. Photo: Viet Phuong

It is known that recently, in the official dispatch directing the implementation of the 2020 credit plan targets, Deputy General Director of the Bank for Social Policies Bui Quang Vinh proposed: To ensure that the 2020 Credit Plan is implemented right from the first days of the year, meeting the borrowing needs of poor households, near-poor households, newly escaped poverty households and other policy beneficiaries, promptly serving the spring crop production in 2020, the General Director of the Bank for Social Policies requested the directors of the branches of the Bank for Social Policies in provinces and cities to report to the People's Committees, Heads of the Board of Directors' Representative Boards at the same level to proactively implement the capital mobilization targets subsidized by the Central Government with interest rates.

For credit programs: Loans for poor households; Loans for near-poor households; Loans for households that have just escaped poverty; Loans for clean water and rural environmental sanitation; Loans for production and business in difficult areas, while waiting for the Prime Minister to assign targets for the 2020 credit balance increase plan, to promptly serve capital for production and business and spring crop production in 2020; the General Director allows units to increase the maximum by 2% compared to the outstanding balance of each program as of December 31, 2019, and will assign the 2020 credit growth target to units immediately after the Prime Minister's decision to assign 2020 credit growth to the Vietnam Bank for Social Policies.

Preferential capital is being transferred by the Nghe An Provincial Bank for Social Policies to the poor and policy beneficiaries, creating an important "push" for them to escape poverty sustainably and become rich legitimately. Photo: Viet Phuong

In 2020, the General Director continues to allow units to report to the People's Committee, submit to the Head of the Board of Directors at the same level to adjust the outstanding debt plan targets between the three programs for poor households, near-poor households, and households escaping poverty, but must ensure the order of priority for lending to poor households, near-poor households, and households that have just escaped poverty. For credit program targets: Loans for students; Loans for workers going to work abroad; Loans for labor export in poor districts according to Decision No. 27/2019/QD-TTg, the Branch shall disburse according to the actual loan needs of the borrower, ensuring the correct subjects according to regulations.

For the remaining credit programs: Branches manage and collect due debts to provide revolving loans up to the outstanding balance as of December 31, 2019 until the General Director issues a Decision (notification) assigning the 2020 plan target. For programs and projects that have expired, branches will urge the collection of due debts and will not provide revolving loans.

Regarding the Payment Safety Fund, the Branch implements the assigned Payment Safety Fund limit and implements the cash balance norm according to the current regulations of the General Director. Regarding the entrusted capital source at the local level: The units proactively and actively advise the Party Committees and local authorities at all levels to supplement the entrusted capital source to the VBSP for lending to poor households and other policy beneficiaries in the area according to the assigned targets and focus on timely disbursement to avoid capital backlog. The VBSP transaction office balances capital transfers to meet the disbursement needs of policy credit capital of the VBSP branches in provinces and cities according to the 2020 plan targets assigned by the General Director.

Ngân hàng chính sách xã hội Nghệ An huy động nhiều nguồn lực để cho vay hiệu quả

Nghe An Social Policy Bank mobilizes many resources for effective lending

(Baonghean) - The capital transferred by the Nghe An Social Policy Bank to the poor and policy beneficiaries creates an important "push" for them to escape poverty sustainably and become rich legitimately.

Ngân hàng chính sách xã hội: Điểm tựa cho nhiều hộ thoát nghèo

Social Policy Bank: A fulcrum for many households to escape poverty

(Baonghean) - Nghe An province has issued and implemented many solutions to promote socio-economic development, gradually reducing poverty. In particular, capital from the Social Policy Bank has actively contributed to poverty reduction, ensuring social security and building new rural areas in the area.