Loans for job creation: Leverage to support workers
08/04/2021 08:50
– Over the years, thousands of workers in the province have been supported to have jobs from the job creation loan program (JCLP) of the Bank for Social Policies. Consequently, it creates leverage to support workers to develop the economy, expand production and business, create new jobs, and increase income.
Mr. Nong Van Dung, Hang Van village, Hoi Hoan commune, Van Lang district shared: “Determining to create my own career in my hometown, in 2019, I decided to open a shop providing electricity, water, gas and construction materials, when I was lack of capital, I was advised and introduced by the District Youth Union member to the JCLP of the Bank for Social Policies. After setting up the project, I got a loan of 281 million VND, I invested in modern machinery, equipment and expanded the area of factory, warehouse, yard from 80 m2 to 1,360 m2. In 2020, the shop’s revenue reached more than 2 billion VND, creating stable jobs for 5 local workers. Up to now, I have paid the loan to the bank on time and borrowed other 395 million VND to expand the business model and create more jobs for about 10 employees.”
People in Van Lang district use the funds from the job creation program to develop a model of growing persimmons
Ms. Nguyen Thi Thanh Huyen, Director of the Transaction Division of Bank for Social Policies, Van Lang district, said: “Up to now, the total outstanding loan balance for the JCLP has reached 11 billion VND with loans of 221 households. Since the beginning of the year, the unit has disbursed 5.1 billion VND to 100 households. The program’s capital has created favorable conditions for households to develop livestock, farming, to expand production and business effectively, so that people’s lives are constantly improved. From 2020 to now, the program has supported job creation for 342 rural workers.”
Not only Van Lang district, over the years, the JCLP of the Bank for Social Policies has timely supported capital for people to invest in development, expand production and business models, creating stable jobs for the workers, their family members and other local workers. From the beginning of 2021 until now, the provincial branch of the Bank for Social Policies has appraised and disbursed over 72.1 billion VND to 1,699 households. Up to now, the total outstanding balance of the JCLP has reached 184.6 billion VND, up nearly 21 billion VND compared to that on December 31, 2020 with the outstanding loans of 4,724 households.
Mr. Pham Manh Ha, Deputy Director of the Provincial Bank for Social Policies said: “In order to timely disburse funds and manage capital well, the provincial branch of Bank for Social Policies has directed district transaction offices to develop annual plan targets and organize propaganda, providing professional guidance on lending to Party committees, authorities and grassroots associations and mass organizations; proactively review objects, deploy capital sources according to assigned targets and plans. The branch’s goal is to timely provide preferential capital for rural people to invest in production and business, to solve the urgent job needs since the outbreak of the COVID-19 pandemic.
In addition to disbursing capital, the Provincial Bank for Social Policies focused on coordinating propaganda, instructing borrowers to use capital for the right purposes, regularly inspecting and urging debt collection of due interest. Thereby, most of the borrowers used the capital for the right purpose, effectively, and paid the loan and interest on time.
Determining that loan for job creation is one of the important channels to support people to have more “fishing rods” to promote economic development and reduce poverty sustainably, in the coming time, the Provincial branch of Bank for Social Policies will continue to base on the current situation and labor demand in districts, city, come to every commune and town to disburse loans to the right subjects, creating faciliation for households to expand their production and business scale, contributing to creating favorable conditions for job creation for rural workers, promoting production development, ensuring social security in the province.
