Deputies express concern over black credit trapping poor people

The supervisory delegation of the HCMC People's Council led by Vice Chairman of the municipal People's Council Nguyen Van Dung on June 3 had a working session on monitoring the implementation of the Sustainable Poverty Reduction Program in the 2021 - 2025 period of seven organizations in the city, such as the departments of Construction, Agriculture and Rural Development, Education and Training, Industry and Trade, Health.

Deputies express concern over black credit trapping poor people ảnh 1 Vice Chairman of the municipal People's Council Nguyen Van Dung speaks at the meeting.

At the meeting, deputies were interested in the city’s capital allocation in 2021 and the first months of 2022 that has not been distributed yet. This social credit of the sustainable poverty alleviation program aims to help poor and near-poor households to access loans from the Vietnam Bank for Social Policies.

If the People’s Committee of HCMC does not timely allocate capital, social security would be severely affected and it may lead to a rise in 'black credit' that has trapped individuals and families, according to Deputy Cao Thanh Binh, Head of the Culture and Society Committee of the HCMC People's Council.

Deputies express concern over black credit trapping poor people ảnh 2 Head of the Committee of Culture and Society of the HCMC People’s Council Cao Thanh Binh 

Editor-in-Chief of the Sai Gon Giai Phong Newspaper Tang Huu Phong proposed that the Finance Department and the Department of Planning and Investment should closely coordinate to give advice and assist the People's Committee in allocating capital and submitting a report to the People’s Council in the meeting of the city People's Council scheduled to take place in July.

Meanwhile, the Department of Health suggested an additional support policy on providing medical examination and treatment services with specialized techniques and medicines for poor and near-poor households.

Deputies express concern over black credit trapping poor people ảnh 3 Editor-in-Chief of the Sai Gon Giai Phong Newspaper Tang Huu Phong

Speaking at the event, Deputy Director of the Construction Department Huynh Thanh Khiet said that in the 2016-2020 period, HCMC developed nearly 15,000 apartments on a total area of more than 1.2 million m2 of the social housing project for workers.

It is difficult for the project to be developed due to complicated procedures and the rental process. For instance, investors have to set aside 20 percent of a project for rent for five years before selling, leading to slow capital recovery and less attraction to investors.

Deputies express concern over black credit trapping poor people ảnh 4 Deputy Le My Ngoc

The Department of Construction proposed direct financial assistance from the State budget, preferential interest rates and the localities’ support for investors to develop social housing projects in the city.

In conclusion, Vice Chairman of the People's Council of HCMC Nguyen Van Dung suggested the participating departments strictly implement the Sustainable Poverty Reduction Program in the 2021 - 2025 period and pay attention to poor, near-poor households and those lifted out of poverty.