Co-operative development assistance fund established

Hanoi (VNA) – A fund for co-operative development assistance will be established under a newly-issued decree issued by the government, given that co-operatives are playing an increasingly important role in Vietnam’s economy.

Accordingly, it is an off-budget state financial fund operated as a single-member limited liability company with charter capital wholly owned by the State, or a financial institution run as a non-profit co-operative.

The fund is responsible for receiving and managing capital contributed or donated by individuals and organisations both at home and overseas under the current regulations.

The government of Vietnam has adopted various policies to promote the development of co-operatives, resulting in considerable achievement in poverty reduction, household business development and new-style rural building.

Data shows that by the end of 2020, Vietnam was home to 26,040 co-operatives, attracting 8.1 million members.

Collective economy and co-operatives contributed about 4.8 percent of the country’s Gross Domestic Product./.