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Workers in Dony Garment Co. Ltd (sited in Binh Chanh District) are checking their products |
On November 27, the Bank for Social Policies – District 12 Branch approved several loans to eligible residents in the district with the purpose of poverty reduction, job seeking, and student loans.
Receiving VND50 million (US$2,070), 54-year-old Nguyen Van Thinh sighed with relief. Having been a construction worker, he had lost his job and faced financial trouble. He could now use this amount to open a mini food shop for a stable income.
Sharing the same joy was 60-year-old Le Thi Man, who obtained VND100 million ($4,140) with a low loan interest rate of 0.5 percent per month. She shared that this sum would be used to repair her five empty rooms for rent. Formerly, these rooms were old and damaged, plus they were usually flooded in heavy rain. She planned to raise the level of the floor, fix the roof, and repaint the walls so that the rooms are more livable.
Director Giang Manh Hung of the Bank for Social Policies – District 12 Branch said that this financial resource has been entrusted by the HCMC People’s Committee to the Bank for Social Policies – HCMC Branch to be used according to Resolution 98 for poverty reduction and job seeking aid. The Branch in District 12 receives VND150 billion ($6.2 million) this time to deliver to dwellers in need. Until November 26, the Branch disbursed about VND30.7 billion ($1.27 million) to eligible loan applicants who are poor or near-poor families or need capital for a job.
Director Hung happily commented that along with the usual capital from the Vietnam Bank for Social Policies, this additional financial resource from Resolution 98 has offered more favorable conditions for poor households and policy beneficiary families to earn a stable income, greatly contributing to sustainable poverty reduction.
Other district branches of the Bank for Social Policies in HCMC have so far been trying to disburse the additional money from Resolution 98 to people in need. Director of the Bank for Social Policies – HCMC Branch Tran Van Tien informed that his organization received nearly VND2.8 trillion ($115.7 million) from the HCMC People’s Committee in October. Until now, around VND1.75 trillion ($72.3 million) has been successfully disbursed, and another VND500-600 billion ($20.7-24.8 million) will be distributed this December. The rest will be delivered by the next Tet holiday.
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The Bank for Social Policies – District 12 Branch is disbursing money through loans to residents in need |
Besides approving preferential loans to citizens in need, the local authorities are helping businesses to seek more orders to ensure jobs for current employees.
Having experienced much trouble owing to economic recession, Dony Garment Co. Ltd. in Binh Chanh District is now actively seeking new partners for more orders. Right now, its workers are busy processing export orders for new foreign partners. There is enough work until the first quarter of next year, leading to more stable salary for its employees. The company has also prepared Tet gifts and bonuses (worth one to two months’ salary) to these laborers.
Similarly, Cat Van Loi Electrical Equipment Manufacturing JSC. in Cu Chi District is striving to ensure stable work for its employees despite encountering difficulties. It is trying not to reduce Tet bonuses compared to last year. It has received support from the city to upgrade the professional skills of its workers so as to meet the requirements of its new partners in the international market.
At the meeting of the Steering Committee for the Implementation of Resolution 98 on November 26, Chairman of the HCMC People’s Committee Phan Van Mai informed that after the effective time of this Resolution, the HCMC People’s Council has immediately allocated nearly VND2.8 trillion ($115.7 million) from the city budget for poverty reduction and job seeking aid.
He commented that this action has reaped many positive results and proposed that the Prime Minister allow HCMC to use the city’s specific poverty standard instead of the national one. According to the latter, the rate of poor or near-poor households in HCMC is very low; yet compared to the general level of the city, that income level cannot ensure basic human needs for those families, but the city is unable to financially help them.
