The Vietnam Bank for Social Policies (VBSP) has submitted proposals to the Prime Minister on the interest rates for preferential loans to rent and buy social housing or build, upgrade, and repair houses in 2019, with the suggested annual rate of 4.8 percent.
The number of low-income households is growing in ethnic minority areas, with the poverty reduction tempo in these communities also lower than the national, according to Minister-Chairman of the Government’s Committee for Ethnic Minority Affairs Do Van Chien.
The rate of poor households in Hanoi dropped to 1.16 percent at the end of 2018 from 1.69 percent recorded at the end of last year, helping the city meet the target of poverty reduction two years ahead of schedule.
Banking apps on cell phones are helping people in rural areas manage their finances, said Pham Xuan Hoe, deputy director general of the Banking Strategy Institute at the State Bank of Vietnam (SBV) at the launching ceremony of the i3 programme held in Hanoi on November 14.
Microfinance, which provides preferential micro-credits with simple conditions, is seen as an effective tool to help women beat poverty, develop business and make contributions to the society.
A total of over 3.5 million students have gained access to loans to cover their tuition fees thanks to a government credit programme, according to the Vietnam Bank for Social Policies.
How to ensure financial sustainability and long-term financial services for the poor at the same time remains a headache for both policy makers and financial service suppliers.
A large number of poor people and women in Vietnam have not accessed mobile banking.
The Vietnam Bank for Social Policies (VBSP) has raised 150 billion VND (6.5 million USD) at the latest auction of Government-guaranteed bonds on the Hanoi Stock Exchange (HNX) held on July 23.
Social credit programmes have helped ethnic minorities in the Mekong Delta province of Tra Vinh escape poverty in recent years.
As of June 30, Vietnam Bank for Social Policies (VBSP) posted its outstanding balance for the first half of the year at the total of more than 181.76 trillion VND (7.9 billion USD), up 5.8 percent compared to the same period last year.
Capital from the Vietnam Bank for Social Policies (VBSP) has helped to reduce poverty significantly in the Central Highlands province of Lam Dong, especially among ethnic minorities.
Hanoi’s industrial production index rose by 7.8 percent in the first five months of this year, said Director of the municipal Department of Planning and Investment Nguyen Manh Quyen.
The legal corridor for social housing development has recently changed towards providing more incentives than it was first mentioned in the Housing Law in 2005.
Millions of working-age people with disabilities who have the ability to work are in need of help to access soft loans to pursue vocational training and employment.
Delegates at a seminar in Hanoi on April 12 suggested preferential loans should be accessible to people with disabilities as well as businesses employing the disabled.
People with low-incomes are now confronting a crisis as the preferential loan package of 30 trillion VND for affordable home purchases ended in 2016, with no workable alternative currently on offer.
As much as 51.7 trillion VND (2.25 billion USD) of the State budget was spent on implementing national target programmes in 2017, including 15.2 trillion VND (664.2 million USD) sourced from the central budget and 11 trillion VND (480.7 million) of investment capital for development.
