As a result, numerous members have successfully implemented high-yielding livelihood models that have had a significant impact on local communities.

Presently, nearly 20,000 Youth Union member households across Điện Biên province have accessed and utilized preferential credit from the SPB. In 2024, the total outstanding loan balance entrusted to the Youth Union reached VNĐ 1.232 billion. Over the years, chapters of the Youth Union at all levels have consistently strengthened its lending activities using policy capital, proactively advising local authorities and the SPB to develop suitable mechanisms and policies that facilitate young people’s access to policy capital. This initiative has helped unleash the creativity and dynamism of young people in driving local economic growth and sustainable poverty reduction.

Mùa Chiến Thắng, Standing Vice Secretary of the provincial Youth Union, stated that the provincial Youth Union’s Standing Committee has directed its chapters to enhance the quality of management and utilization of entrusted loans. This is a key task in supporting young people’s startup and career development endeavors. To achieve this, local units are developing and implementing plans to inspect the management of entrusted loans, focusing on areas with high overdue debt rates. The provincial Youth Union has integrated its social policy credit activities with national target programs, startup support schemes, and cooperative development initiatives.

At the district level, the standing boards of local youth organizations have assigned personnel to closely monitor entrusted activities. They are also developing plans to inspect and supervise the implementation of entrusted loan agreements with the Transaction Office of the SPB.

To promote the entrusted loan program, the provincial Youth Union is leveraging social media, workshops, and seminars to provide young union members with timely and effective access to information. Additionally, the union is collaborating with the Transaction Office of the SPB to organize training sessions on entrusted loan management for union officials, young union members, and savings and loan groups. Regular meetings are being held to listen to the concerns and aspirations of young people, with the goal of identifying solutions to overcome challenges in their startup and career development journeys.

The provincial Youth Union and its chapters at all levels are actively replicating effective models and creative approaches to utilizing preferential loans, generating significant momentum in production, business, and entrepreneurship competitions. Emphasis is placed on leveraging technology to manage entrusted activities, savings, and loan groups, including mobile banking and social policy credit management applications.

In 2020, Giàng Thị Mỷ, a resident of Mường Toong 1, borrowed VNĐ 50 million from the SPB to establish a traditional Mông ethnic clothing store. Due to its effective operations, she secured an additional VNĐ 100 million in 2022 to expand production. Currently, her store generates annual profits of VNĐ 250-300 million, providing stable employment for 6 local workers and vocational training for approximately 20 individuals annually.

Giàng Thị Mỷ attributed her success to preferential credit policies, stating, “Thanks to these policies, I successfully started my business. I now actively train fellow women to enhance their skills, increasing income while preserving Mông ethnic cultural heritage through traditional attire. I also encourage them to access capital, tap local potential, and develop the economy”.

In 2023, Hồ A Dế, a resident of Nà Pán, secured a VNĐ 70 million loan from the SPB to develop cattle breeding, facilitated by the Mường Nhé commune’s Youth Union. He utilized the loan to construct a barn and purchase five breeding cattle. By 2024, he had sold two cattle, earning over VNĐ 30 million. His current cattle herd has grown to nine.

Hồ A Dế expressed gratitude for the Youth Unions support: “During union meetings, I expressed my desire for a loan to develop cattle breeding. The Mường Nhé commune’s Youth Union guided me through the loan procedure via the entrusted program and provided training sessions on cattle breeding, enhancing my knowledge and fostering sustainable development”.

In the coming period, the provincial Youth Union will continue to collaborate with the SPB to improve the effectiveness of entrusted loan activities, particularly in areas with low credit quality and high overdue debt rates. Key solutions include: Firstly, enhancing credit quality: consolidating and improving credit quality, organizing training sessions on entrusted operations, and strengthening inspection and supervision. Secondly, optimizing savings and loan groups: improving the performance of savings and loan groups in underperforming areas. Thirdly, leveraging technology: promoting the application of information technology in entrusted activities to enhance management efficiency at all levels. These initiatives aim to ensure that preferential credit policies effectively support disadvantaged groups, contributing to sustainable poverty reduction and socio-economic development.