VBSP registers upbeat first-half performance

VBSP registers upbeat first-half performance

In the face of long-lasting drought, saline intrusion, and prolonged COVID-19 implications, the Vietnam Bank for Social Policies (VBSP) has been closely following the guidance and resolutions of the prime minister and the central bank, and posted laudable achievements across the board.

VBSP online conference discussing implementation of second-half tasks and duties

VBSP’s general director Duong Quyet Thang shared this message at the bank’s online conference held last week to discuss the implementation of its tasks and duties in the second half of this year.

Particularly, as of June 30, 2020, total policy credit volume touched VND226.560 trillion ($9.85 billion), an excess of VND14.666 trillion ($637.65 million) compared to the end of 2019, of which authorised capital from the local budget sent to VBSP amounted to VND19.505 trillion ($848 million), up VND4.071 trillion ($177 million). Some eminent localities having sent big authorised capital to VBSP are Hanoi with VND1.087 trillion ($47.2 million), Ho Chi Minh City with VND816 billion ($35.4 million), Danang with VND194 billion ($8.4 million), Binh Duong with VND186 billion ($8.08 million), Ba Ria-Vung Tau with VND174 billion ($7.5 million), and Vinh Phuc with VND66 billion ($2.8 million), just to name a few.

Aside with this, the bank’s total outstanding balance came to VND219.565 trillion ($9.54 billion), up VND12.760 trillion ($554 million) or 6.2 per cent compared to the end of 2019, which was distributed to more than 6.5 million poor, near-poor households, and other policy beneficiaries. Of this, the balance from the diverse credit programmes assigned by the prime minister reached VND189.499 trillion ($8.23 billion), up VND9.495 trillion ($412 million) or 5 per cent compared to the end of 2019 and equal to 66 per cent of the plan assigned by the PM.

Overdue and frozen debts accounted for 0.7 per cent of the bank’s total outstanding balance, with overdue debts making up 0.25 per cent of the total.

The lending volume during the first half reached VND42.583 trillion ($1.85 billion) which was distributed to nearly 1.2 million households that are poor, near-poor, or freshly escaped poverty, and other policy beneficiaries. Meanwhile, total collected debt volume amounted to VND29.670 trillion ($1.3 billion). Policy credit sources helped create jobs for nearly 216,000 labourers, 1,900 of whom have begun work under fixed-term contracts abroad, helping nearly 9,000 underprivileged pupils and students secure loans to continue their studies, and building 770,000 clean water and latrine facilities in rural areas. The capital source also helped build 11,500 housing units for policy beneficiaries.

Poised for executing second-half tasks and duties

VBSP gives rewards to best-performing units in the first-half this year

General director Duong Quyet Thang stated that this is the final year of the implementation of VBSP’s development strategy in light of the PM's Decision No.852/QD-TTg dated July 10, 2012, so member units need to review their activities to craft a new strategy for 2021-2030.

Simultaneously, Thang noticed that the entire VBSP system continues to consult with local authorities at all levels to ensure effective implementation of the Directive No.40-CT/TW dated November 22, 2014 of the Secretariat, focusing on increasing local resources to support the government target of poverty reduction, ensuring social well-being and new rural development.

Other important targets are providing timely support to people affected by the coronavirus pandemic, drought and saline intrusion in the Mekong Delta, and hail in some northern provinces.

Efforts were also made to ensure timely disbursement of capital sources to meet capital needs of needy households and other policy beneficiaries, raising the quality of credit particularly at the branches not yet having good credit quality.

VBSP has also strengthened co-operation with local authorities as well as diverse social and political organisations to keep tabs on damage from COVID-19 implications and drought and saline intrusion in the Mekong Delta to be able to present timely support as well as remedy measures.

Significantly, the bank has furthered efforts for inclusive oversight at VBSP branches at many cities and provinces in light of approved plans and has urged branches to implement plans to tackle their shortcomings and improve performance.

“The entire VBSP system will do its utmost to effectively communicate the advantages of policy credit and keep people updated on the COVID-19 situation and other major events of the Party. Pushing up role-modelling movements for the successful accomplishment of all assigned tasks, besides proactively responding to such movements launched by different sectors and levels are also a priority,” said Thang.

VIR