The additional funding not only increases the scale of policy credit operations but also facilitates the implementation of locally tailored lending policies, meeting the diverse financing needs of residents and contributing to the province’s socio-economic development goals.
Reporters from Gia Lai Newspaper and Radio & Television spoke with Nguyễn Triều Quang, Deputy Director of the Gia Lai Provincial Branch of the Vietnam Bank for Social Policies, about the role and impact of local budget funding.
* What role does entrusted capital from the local budget play in the overall capital structure of the provincial VBSP branch?
- Entrusted capital from the local budget is a highly important component of the total policy credit resources managed and deployed by the provincial VBSP branch.
To date, entrusted capital from the local budget has reached VND2.237 trillion (approximately USD85.3 million), an increase of VND400 billion (approximately USD15.3 million) since the beginning of the year. It now accounts for 12.4% of the branch’s total capital.
In addition to the increase in entrusted capital, the Provincial People’s Council issued Resolution No. 03/2026/NQ-HĐND on February 9, 2026, establishing credit policies funded through the provincial budget and entrusted to the provincial VBSP branch.
The resolution provides an important legal framework that enables the province to proactively allocate capital and support more beneficiaries in accessing preferential credit.
It also reflects the commitment of local Party committees and authorities to sustainable poverty reduction, job creation, high-quality human resource development and social security.
* What is the significance of the growth in capital sources, including entrusted capital from the local budget, for policy credit operations?
- In Gia Lai, entrusted capital from the local budget is increasingly demonstrating its importance as a leading funding source, allowing the timely implementation of local-specific policies in line with Resolution No. 03/2026/NQ-HĐND.
The growth also highlights the role of locally entrusted capital in advancing the strategic development objectives of the VBSP through 2030 under Decision No. 05/QĐ-TTg.
The expansion of policy credit capital is particularly important as demand for loans continues to rise among residents seeking to improve living standards, invest in education, create jobs, expand production and business activities, and enhance workforce quality to meet evolving development needs.
Beyond expanding lending activities, the increase in local budget funding reflects the province’s determination to address employment challenges and create opportunities for local workers to secure jobs both within Vietnam and overseas under labour contracts.
It is also a strategic investment in the future, particularly in developing high-quality human resources capable of supporting digital transformation, the digital economy and international integration. These efforts are expected to contribute to Gia Lai’s socio-economic development objectives in the coming years.
* What measures will the provincial VBSP branch take to further improve the effectiveness of entrusted capital in the future?
- We will continue advising local Party committees and authorities on allocating and supplementing entrusted capital from the local budget to meet the growing financing needs of eligible beneficiaries. Based on current assessments, an additional VND170 billion (approximately USD6.5 million) will be required by the end of the year.
At the same time, the provincial VBSP branch will work closely with relevant departments, agencies, educational institutions and local authorities to strengthen communication, provide guidance and assess borrowing needs. The objective is to ensure that policies reach the right beneficiaries, are used for the intended purposes and deliver the greatest possible impact.
Based on the initial implementation results of Resolution No. 03/2026/NQ-HĐND, the branch will also review and assess the financing needs of students across the province to advise authorities on appropriate capital allocation ahead of the new academic year.
The goal is to maximise the effectiveness of policy credit resources, expand access to preferential loans and support the achievement of poverty reduction, job creation, human resource development and social security targets across the province.