Policy-based funding – a leverage for farmers to prosper.

"Empowering" people to change their way of doing things.

Previously, on the low-yield agricultural land in Hamlet 5, An Chau Commune (formerly Dien Trung Commune), Mr. Le Van Giang's family mainly engaged in small-scale production. They wanted to change their farming model and operate more systematically, but the biggest challenge remained capital. After receiving guidance from the Savings and Loan Group and the Farmers' Association of the commune, Mr. Giang applied for a 100 million VND loan under the employment creation loan program of the Dien Chau Social Policy Bank.

With capital in hand, he began reclaiming land, building barns, and shifting production. From fragmented vegetable farming, the family gradually developed a comprehensive farm model, combining fruit tree cultivation with livestock breeding. To date, on an area of ​​2 hectares, the fruit orchard has been systematically planned; the livestock area maintains over 2,000 chickens. Each year, the farm generates an income of approximately 300-500 million VND. "With additional capital, my family has the means to invest and expand production. The economy is more stable, and the children also have the opportunity to receive a proper education," Mr. Giang shared.

From an initial loan, Mr. Giang's family gained additional livelihoods, increased income, and, more importantly, confidence to continue investing in their business. Mr. Giang's story is also a reality in many localities. With access to suitable capital, along with production knowledge and guidance from association officials, many members have boldly changed their mindset and methods, shifting from small-scale production to developing a commodity-oriented economy.

In Dong Loc commune, policy-based credit funds are also creating additional impetus for the farmers' economic development movement.

The family of Mr. Tran Ba ​​Luong, a farmer association member in Nam Thinh hamlet, is one of the households that effectively utilizes preferential loan capital. With the access to capital, he invested in developing livestock farming towards a commercial scale. To date, his family maintains a herd of nearly 20 cows and dozens of pigs. The barns are solidly built, applying biosafety farming practices and proactively preventing and controlling diseases. This model not only creates a stable income but also provides regular employment for local laborers. It is also a place where many association members visit to observe and exchange experiences.

Thanks to policy-based funding, Ms. Hoang Thi Thanh's family in Hoang Tam hamlet was able to invest in a tractor with a loan of 100 million VND. The machine not only serves the family's production but also provides services to households within and outside the hamlet. Mechanization helps reduce labor, shorten land preparation time, and simultaneously opens up an additional source of income.

Mr. Nguyen Viet Ha – Director of the Social Policy Bank in Nghi Loc – shared: "Not only in agricultural production, policy capital also paves the way for members to develop trades and services. These models show that the effectiveness of policy capital lies not only in the disbursement figures. More importantly, the capital has helped people have the opportunity to start a new direction, boldly invest, and gradually build sustainable livelihoods."

To ensure that capital reaches the right place.

Behind every effective model is close coordination between the Farmers' Association, the Social Policy Bank, and savings and loan groups.

In An Chau commune, the Farmers' Association is managing a capital fund of over 24.8 billion VND, providing loans to 35 households through 12 savings and loan groups. The Association regularly disseminates information on preferential credit programs, coordinates with hamlets and the Social Policy Bank to conduct open and democratic assessments, ensuring that loans are granted to the correct beneficiaries. Capital management is emphasized from the commune level down to the hamlets. To date, 100% of the monthly savings and loan groups are rated good or fair; there are no overdue or bad debts.

In Minh Chau commune, the Farmers' Association manages 20 savings and loan groups, with 815 borrowing households and a total outstanding loan balance of nearly 40 billion VND across 10 villages. These groups maintain regular meetings, effectively collecting interest, making savings deposits, and repaying loans on time. Records are kept complete and organized; loan approvals are conducted openly and transparently.

In Dong Loc commune, the Farmers' Association is currently managing nearly 26 billion VND in policy-based credit funds through savings and loan groups. Hundreds of members have accessed capital to develop production and business, create jobs, and improve their living standards.

According to Mr. Nguyen Ba Cuong, Chairman of the Dong Loc Commune Farmers' Association, to ensure the effective use of capital, the Association not only coordinates the management, inspection, and supervision of capital utilization but also focuses on supporting members with production techniques. “Having capital is important, but knowing how to use it and choosing suitable models is crucial for maximizing its effectiveness. Therefore, the Association collaborates with specialized agencies to organize training courses, transfer scientific and technical knowledge, guide biosafety in livestock farming, provide guidance on crop cultivation techniques, and develop appropriate economic models,” Mr. Cuong stated.

This approach ensures that capital not only addresses financial difficulties but also truly becomes a "lever" to encourage members to innovate their production thinking, apply science and technology, and enhance economic value.

Policy credit not only creates livelihoods but also contributes to improving the quality of life. In An Chau Commune, thanks to funding for clean water and sanitation, over 98% of households now have clean water and sanitation facilities that meet standards.

These results show that when the Association plays its role as a bridge effectively, policy funds will reach the right recipients, be used for the right purposes, and create practical value in people's lives.

Mr. Nguyen Viet Hung, Chairman of the Provincial Farmers' Association, stated: "From converted land plots, expanded livestock and poultry herds, production machinery, and service facilities equipped with additional equipment, policy-based credit is contributing to changing the face of the rural economy day by day. For many farmer members, it's not just a loan. It's an opportunity to start, to boldly engage in business, create jobs, increase income, and gradually build a more prosperous life in their homeland."

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In the coming period, the Provincial Farmers' Association will continue to coordinate with the Social Policy Bank to improve the quality of entrusted activities, consolidate savings and loan groups, strengthen propaganda, training, inspection, and supervision; and at the same time advise and support members in choosing suitable models to use capital effectively.

Mr. Nguyen Viet Hung – Chairman of the Provincial Farmers' Association.