Create an equitable learning environment

Implementing Decision 157/2007/QD-TTg of the Prime Minister on Credit for students, up to now, after more than 3 years of implementation, this program has quickly come into life, actively contributing to the implementation of the Party and Government's policy on promoting and developing education and ensuring social security.

Although there are still certain difficulties and limitations, it can be affirmed that Decision 157 on credit for students is a decision that is in line with the people's wishes. This is an in-depth, long-term and effective investment of the Party and State to develop human resources and train talents.

Thanks to access to this preferential loan source, with the current loan limit (900,000 VND/month for 1 student), many families with relatively difficult economic circumstances, a group of students (children from large families, those facing illness, difficulties, no land to cultivate...) have more motivation to help their children participate in studying, thanks to which many students do not have to drop out of school due to economic reasons.

Decision 157 creates conditions for poor students to study.

Mr. Le Xuan Ty - Director of the Provincial Social Policy Bank said: Being assigned the task of disbursing this Program is a big challenge for the Social Policy Bank, but with outstanding efforts, the bank has successfully completed the assigned task. By December 31, 2010, the total loan turnover reached 1,782.5 billion VND, with 126,700 students receiving loans, the average outstanding debt is 15.2 million VND/student.

In 2011, the Provincial Social Policy Bank continued to coordinate with sectors and authorities at all levels to disburse loans of VND 836 billion, an increase of 48.8% compared to 2010. Through a widespread network of nearly 8,000 savings and loan groups and 473 transaction points/497 communes, Nghe An Social Policy Bank processed documents and promptly disbursed loans to customers, creating the most favorable conditions for borrowers during the transaction process.

After 3 years of implementing the student credit program in Nghe An, the credit quality has been clearly demonstrated, lending to the right subjects, and households using capital for the right purposes. The bank has provided hundreds of thousands of students with funds to cover their studies, and there are no more students having to drop out of school due to lack of money, and students are no longer unable to go to school because of poverty.

However, the capital source for implementing the Program is still passive. Although the Government is very interested in allocating capital sources from the budget, guaranteeing the Social Policy Bank to issue bonds, and mobilizing capital, it is still very difficult and does not meet the disbursement needs in a timely manner, with a short period of time, usually at the beginning of the school year and the beginning of the semester; determining the criteria for near-poor households and especially households with financial difficulties, many localities are still very confused when carrying out the confirmation.

In addition, the propaganda and dissemination of policies in some remote areas is not extensive, so a number of customers and commune-level authorities do not fully understand the lending mechanism, still consider lending to the wrong subjects, use capital for the wrong purposes, etc.

The credit program for students is a program with a high socialization from the time of lending to debt collection, with a wide range of beneficiaries and a long time, while the State's resources are limited. In order for the capital to be truly effective, it requires many levels, many sectors, many organizations, families and students, and those who directly use the loan to share responsibility in managing and supervising the use of the loan capital and especially repaying the loan in full and on time as committed to the bank.

Quynh Lan