Born into a purely agricultural family with difficult economic conditions, Lường Văn Tuấn, residing in Ten Luống village (Thanh An commune), always pondered finding a suitable direction for family economic development. To find a suitable direction, Lường Văn Tuấn proactively visited and learned experiences from many production and livestock models inside and outside the locality. Through research, Tuấn realized that reproductive goats are livestock with high economic value, easily adaptable to climatic conditions, fewer diseases, and investment costs are not too large while the output is stable, suitable for the family’s conditions.

However, the biggest difficulty for Lường Văn Tuấn at that time was the lack of initial investment capital to build barns, buy breeding stock, and equipment serving livestock farming. In early 2020, through the Savings and Loan Group in the village, Lường Văn Tuấn boldly applied for a preferential loan from Mường Thanh Social Policy Bank. Thanks to the dedicated guidance of the commune Youth Union, his loan application was disbursed quickly and in accordance with regulations.

Lường Văn Tuấn expressed: “Without the preferential loan source from the VBSP, it would be very difficult for me to start the reproductive goat farming model. The preferential loan source helped me have conditions to invest in barns systematically, buy high-quality breeding stock, and feel secure in developing long-term livestock farming. The borrowing process was supported and closely supervised by union organizations, so I used the capital for the right purpose”.

Thanks to hard work and applying correct farming techniques, Lường Văn Tuấn’s goat herd grew and developed well. After a period of time, the model provided stable income. On average each year, after deducting expenses, his family earns a profit of over VND 100 million, becoming one of the effective economic models of Thanh An commune.

Not only promoting efficiency among union members and youth, the entrusted loan source is being deployed deeply and widely by the Thanh An commune Farmers’ Union, bringing clear efficiency to members. Up to now, the whole commune has nearly 3,000 farmer members accessing loans through 75 Savings and Loan Groups in 48 villages and hamlets.

Loan selection work is coordinated by the commune Farmers’ Union to be public, transparent, for the right subjects, prioritizing poor households, near-poor households, and families with real needs in production development. From policy credit capital, many households in Thanh An commune have boldly invested in effective economic models such as growing wax gourds, vegetables, fruit trees, raising honey bees, or combined production.

Typical examples include the household of Lò Văn Nghiến in Co Mỵ village with a wax gourd and vegetable growing model earning hundreds of millions of VND each year; the household of Vì Văn Lâm in Cà Phê village with a fruit tree model combined with intercropping; or the household of Đỗ Xuân Đoàn in village C10 with honey bee farming, with products achieving the provincial OCOP certification. Many production models have helped households escape poverty, creating stable jobs for 7 to 9 local laborers, contributing to community economic development.

The Mường Thanh VBSP coordinates with the Veterans’ Association and entrusted unions, together with the Management Board of Savings and Loan Groups, to organize transaction sessions at Thanh An commune. The operation of the commune transaction point is highly appreciated by the local party committee and authorities and receives the agreement and support of the people. Transacting right at the commune created favorable conditions for people to access capital sources, saving time and travel costs, while improving the efficiency of policy credit management at the grassroots level.

During the transaction session on December 15, the Mường Thanh VBSP disbursed loans to 17 households with a total amount of over VND 1.2 billion, raising the total outstanding debt of the whole commune to over VND 204.2 billion with 2,660 borrowing households. Before disbursement, the bank coordinated to propagate and guide borrowing households to use capital for the right purpose, fully perform obligations of debt repayment, interest payment, and savings deposit according to regulations. Entrusted union organizations strengthen inspection, supervision, and timely handling of arising issues, contributing to ensuring credit quality.

After disbursement, the association regularly coordinates with the VBSP and mass organizations to conduct periodic inspections and supervision of capital use, thereby limiting the situation of using capital for wrong purposes, while helping members improve awareness of repaying debts and interest on time. Lò Văn Thành, Vice Chairman of the Thanh An commune People’s Committee affirmed that recently, preferential loan sources from the VBSP have created conditions for many members of the farmers’ association, veterans’ association, women’s union, and youth union to rise up to escape poverty, forming many good production and business models, contributing importantly to the rural economic development of the commune. From there, policy credit has been and is becoming an important tool in implementing the goal of sustainable poverty reduction, job creation, and ensuring social security in the area. In the coming time, the commune will continue to direct associations and unions to coordinate closely with the Mường Thanh VBSP, review correct subjects with borrowing needs, and simultaneously encourage people to develop economic models suitable for the actual conditions of the locality.

Promoting the efficiency of preferential loan sources in Thanh An commune has helped many households improve their lives, raise incomes, and create positive changes in people’s production and business thinking. Effective economic models from policy credit capital are contributing to changing the rural appearance, promoting socio-economic development, and building an increasingly rich, beautiful, and civilized Thanh An.