Nghi Thu Ward People's Credit Fund (Cua Lo Town): Dedicated to the goal of hunger eradication and poverty reduction

(Baonghean) - With the goal of "Safe business, effective investment", in recent times, Nghi Thu Ward People's Credit Fund (Cua Lo Town) has always closely followed the local socio-economic orientation to develop appropriate operational plans, contributing to the locality's implementation of hunger eradication and poverty reduction, improving people's lives.

Visiting the mushroom growing model of Mr. Che Dinh Dung's family in Hoa Dinh block, Nghi Thu ward, he said that his family initially had difficulties, doing many jobs but without success. By 2012, with a small amount of accumulated capital, which was also the time when Nghi Thu Credit Fund was established, the couple borrowed an additional 50 million VND from the Fund to grow mushrooms. Up to now, his family has had a stable life, with an annual income of nearly 100 million VND.

Fund staff always discuss and advise customers on loans. Photo: TH

Mr. Dung happily said: "Thanks to the loan from the Credit Fund, the Fund's enthusiastic help during the difficult period, the family has reduced poverty and improved their life. From the initial investment of 500 bags of mushrooms, the family has now grown 30,000 mushrooms, with a stable consumption market....".

Mr. Che Ngoc Chau's family in Hoa Dinh block borrowed capital from the Credit Fund to start a wood workshop. Up to now, his family's wood workshop has generated a good income, creating jobs for 3-4 workers with regular jobs. "Thanks to the source of credit capital for business investment, the family's life is increasingly stable. Borrowing capital from the credit fund is now also convenient, all documents, loan procedures, monthly interest and principal payments... are enthusiastically guided by the fund's staff...".

Nghi Thu Credit Fund operates in Nghi Thu Ward - Cua Lo Town and Nghi Hop Commune - Nghi Loc District. Nghi Thu Ward has 1,181 households and more than 5,600 people; Nghi Hop Commune has 922 households and more than 3,650 people, two adjacent areas. Nghi Thu Ward is located in the center of Cua Lo tourist area, with industrial parks, agencies, enterprises and more than 100 hotels and restaurants located in the area. Nghi Hop Commune is located along Nam Cam Street with many historical relics at the national and provincial levels; there are two commercial markets. These are the conditions for economic development, political situation, social order and safety are always stable, creating a favorable environment for the Credit Fund to operate safely, effectively and develop sustainably.

The Fund was established in 2012 with 193 members and over 1 billion VND in charter capital. When it was first established, due to limited capital and lack of facilities, the Fund had to borrow the office of the Ward People's Committee to operate. With the attention and direction of the State Bank of Nghe An province branch and timely capital adjustment from the Cooperative Bank; the attention of the Party Committee, Nghi Thu Ward People's Committee, Nghi Hop Commune People's Committee and the consensus and support of members and all people of the two localities, the Fund has built a spacious office, creating momentum for development.

During its operation, the Fund always puts customers first, so in 2016 the Fund recruited 124 more members, bringing the total number of members to nearly 1,000. Total operating capital as of June 30, 2017 was 76.3 billion VND, of which mobilized deposits reached 66.5 billion VND, equity capital 7.6 billion VND, outstanding loans 54.2 billion VND.

In the first 9 months of 2017, the Fund has provided loans to hundreds of households for business services, marine tourism services, rural agriculture and new industry development...; on average each household borrowed from 10 million to 900 million VND. The Fund's credit capital has actively contributed to the poverty reduction, the legitimate enrichment of households; practically creating jobs for workers.

Thanks to a loan from the Credit Fund, Mr. Che Ngoc Chau's family's wood workshop in Nghi Thu ward (Cua Lo town) is operating effectively, creating jobs for workers. Photo: TH

To continue to perform well in business activities, Nghi Thu Ward People's Credit Fund continues to innovate its operating methods, diversify its lending fields, ensure the safe development of the Fund's capital sources, and have preferential policies on lending interest rates. On the other hand, it regularly coordinates closely with organizations of blocks and hamlets to disburse capital and guide customers to use loans for the right purposes to bring high economic efficiency and bring confidence to customers, reducing the rate of usury in the area.

Established less than 6 years, Nghi Thu Ward People's Credit Fund has been contributing to diversifying the market, promoting local economic development, many households borrowing capital from the Fund have improved their economic life, invested large amounts, and achieved high efficiency. The Fund continues to coordinate with mass organizations of Nghi Thu Ward and Nghi Hop Commune to strengthen propaganda and mobilize people and members to actively participate, contribute, and build the Fund to develop more and more. Striving to recruit 40 new members by December 31, 2017, bringing the total number to more than 1,000 members./.

Thu Huong