Nghe An effectively implements Directive No. 40-CT/TW on social policy credit

Comrade Hoang Nghia Hieu - Deputy Secretary of the Provincial Party Committee chaired the conference. The conference was organized in a direct and online format with districts, cities and towns in the province.

Attending the event were Mr. Bui Thanh An - Member of the Provincial Party Standing Committee, Vice Chairman of the Provincial People's Committee; representatives of Party committees, Inspection Committee, Provincial Party Committee Office, People's Council, Provincial National Assembly Delegation, Provincial Fatherland Front Committee, Provincial Business Bloc Party Committee; departments, branches; political and social organizations. On behalf of the Vietnam Bank for Social Policies, there was Mr. Nguyen Duc Hai - Deputy General Director.

Movement from policy loans

Over the past years, under the leadership of the Party, together with the efforts of the Party Committee, the government, and the support of the people and businesses, Nghe An province has achieved many important results in socio-economic development. These achievements have important contributions from social policy credit, implemented through the system of social policy banks at all levels.

To promote the role and improve the effectiveness of social policy credit, on November 22, 2014, the Secretariat issued Directive No. 40-CT/TW on strengthening the Party's leadership over social policy credit; on the basis of a 5-year review of the implementation of Directive No. 40-CT/TW, the Secretariat continued to issue Conclusion No. 06-KL/TW dated June 10, 2021 on continuing to implement Directive No. 40-CT/TW.

After 10 years of implementing Directive No. 40-CT/TW, social policy credit has achieved important results, creating positive changes in the implementation of social policy credit at all levels, contributing to the successful implementation of national target programs in the province.

By June 30, 2024, the total capital reached over VND 13,374 billion, an increase of VND 7,132 billion compared to 2014; of which, the capital entrusted at the local level increased 5.5 times compared to 2014. The whole province has 84 district-level associations and 1,726 commune-level associations that are entrusted to lend policy credit capital with the Social Policy Bank at all levels, 100% of villages and hamlets have savings and loan groups in operation. With this model, the strength of the entire political system has been promoted, becoming a fast, widespread and reliable capital channel serving the poor and other policy beneficiaries.

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Since the implementation of Directive 40-CT/TW, the total lending turnover has reached VND 27,706 billion; debt collection turnover has reached VND 20,550 billion (accounting for 74.2% of lending turnover). By June 30, 2024, the total outstanding policy credit balance has reached VND 13,357 billion, with 234,414 poor households and other policy beneficiaries still having outstanding loans. Preferential credit capital has provided capital to 742,060 poor households and policy beneficiaries.

Through the implementation of preferential credit policies, the combined strength of the whole society, local Party committees and authorities at all levels, especially the strength of socio-political organizations, has been mobilized to participate in implementing poverty reduction programs, caring for the lives of the poor and policy beneficiaries; guiding and creating conditions for people to know how to produce and do business, gradually changing awareness, and striving to escape poverty sustainably.

Speaking at the conference, delegates said that local Party committees and authorities at all levels have promoted their spirit and responsibility, and well implemented the policy of mobilizing and allocating local budget capital to the Vietnam Bank for Social Policies to supplement capital for policy credit programs associated with restructuring production, economic development, education, training, vocational training, job creation, ensuring social security, and sustainable poverty reduction.

In addition, delegates also said that the demand for loans of poor households and other policy beneficiaries is still very large, but policy credit capital has not yet met the actual demand; the proportion of this capital compared to the total capital is still very modest, only reaching 3.14%. It is necessary to strengthen coordination between agricultural, forestry, fishery extension activities, technical support, technology transfer, product consumption market support with main credit activities to promote the full effectiveness of capital sources...

Maximize resources to supplement policy credit capital

Concluding the conference, Deputy Secretary of the Provincial Party Committee Hoang Nghia Hieu affirmed that Directive No. 40-CT/TW of the Secretariat had been seriously and promptly implemented by Nghe An province; thereby, achieving important results. Although the provincial budget still has many difficulties, every year it has balanced and arranged local capital entrusted through the social policy bank.

In particular, Nghe An province has issued the Project "Investing in policy credit for the poor and other policy beneficiaries in Nghe An province in the period of 2023 - 2025", striving to allocate an additional VND 400 billion for policy credit loans in the province in the period of 2023 - 2025. Social policy credit contributes significantly to the successful implementation of national target programs in the province, contributing to changing the face of rural and mountainous areas.

In the coming time, to continue to effectively implement Directive No. 40-CT/TW in the province, the Provincial Party Standing Committee requests all levels, sectors and localities to continue to resolutely implement Directive No. 40-CT/TW and Conclusion No. 06-KL/TW of the Secretariat with specific policies and solutions from the provincial to grassroots levels.

Continue to mobilize maximum resources to supplement policy credit capital. Make the most of central capital; prioritize and promptly arrange capital from local budgets at all levels entrusted through social policy banks for lending. Review preferential credit capital sources from the budget at organizations and units to transfer to a single management and lending point in a unified manner. Actively mobilize non-refundable capital sources, interest-free capital sources from enterprises, organizations and individuals inside and outside the province to supplement policy credit capital sources, striving to bring the entrusted capital from local budgets to a minimum of 15% of the total policy credit capital sources according to the target of Decision No. 05/QD-TTg dated January 4, 2023 of the Prime Minister on approving the Strategy for developing social policy banks to 2030.

Strengthening the direction of implementing policy credit investment with production restructuring, vocational training, job creation, ensuring social security; organizing technical training activities, training and transferring science, technology, digital technology, connecting markets with lending activities, helping borrowers use capital effectively. Continuing to improve the quality and effectiveness of lending entrustment methods through socio-political organizations, close coordination of relevant agencies and units...

On this occasion, the Provincial Party Standing Committee awarded Certificates of Merit to 8 collectives and 10 individuals for their outstanding achievements in directing the implementation of Directive No. 40-CT/TW; 10 collectives and 10 individuals were awarded Certificates of Merit by the Chairman of the Provincial People's Committee for their outstanding achievements in 10 years of implementing Directive No. 40-CT/TW on strengthening the Party's leadership over social policy credit in Nghe An province.

In addition, on this occasion, the Director of the Vietnam Bank for Social Policies, Nghe An branch, received a Certificate of Merit from the Ministry of Education and Training for his outstanding achievements in implementing Directive No. 40-CT/TW on strengthening the Party's leadership over social policy credit; 15 other groups and 18 individuals were awarded Certificates of Merit by the General Director of the Vietnam Bank for Social Policies.