15/04/2015 09:37 GMT+7 Email Print Like 0

Nearly 400,000 poor families, students get preferential loans

Hanoi, April 14 (VNA)- The Vietnam Bank for Social Policies (VBSP) has provided loans worth nearly 8.6 trillion VND (400 million USD) for 400,000 impoverished households and students social programmes in the first quarter.

Of the amount, loans worth 1.9 trillion VND (88.3 million USD) were given to impoverished families, 2.9 trillion VND (134.8 million USD) to nearly-impoverished, 1.5 trillion VND (69.8 million USD) to water sanitation and environmental hygiene programmes, 997 billion VND (46.4 million USD) to businesses in disadvantaged areas and 864 billion VND (40.2 million USD) to students.

To date, VBSP has taken numerous measures to reinforce its credit quality. By March 31, the bank’s capital reached 136 trillion VND (6.3 billion USD) and debit balance stood at 131.5 trillion VND (6.1 billion USD), accounting for 27 percent of the yearly plan.

Instruction 40-CT/TW on enhancing Party leadership over social policy-benefiting credit has fuelled positive change in credit management at the local level and contributed to improvements in credit quality.

Governor of the State Bank of Vietnam (SVB) and Chairman of the VBSP’s Board of Directors Nguyen Van Binh said that to increase debit balance growth to 10 percent, VBSP needs to enact Government instructions and collaborate with relevant ministries and agencies for further recommendations.

He also highlighted the necessity of tracking market movement and issue bonds to ensure capital for debit balance growth, saying the bank should enhance inspection and supervision to detect and tackle shortcomings.