Dak Lak takes policy credit to the grassroots as lending surges

In Dak Lak province, policy credit lending has surged, with nearly $157 million disbursed across the area in just seven months. The Vietnam Bank for Social Policies (VBSP) has been expanding its funding resources and bringing its transaction network closer to local communities. This approach ensures that loans of even several thousand US dollars can provide households with the capital needed for production, livestock, or livelihood maintenance.

As of July 31, total policy credit resources in the province stood at nearly $641 million, a 10.4% increase from the end of 2025. Outstanding loans reached $639 million, a 10.35% increase. Nearly 249,000 customers still carry outstanding balances. The policy credit model relies on a strong grassroots network, with 287 commune-level transaction points located within local communities.

In Ea Khal Commune, borrower Vi Van Duc took out a $4,000 loan to invest in coffee trees, which have produced two harvests. The credit quality at the commune level has been rated good across all 102 communes. All 102 commune-level VBSP representative boards have been established and are operational, overseeing the appraisal, management, and supervision of loans.

With nearly $639 million in outstanding loans, policy credit is reaching numerous customers across the province, including those with difficulty accessing commercial credit. At the end of July, outstanding loans jointly managed by savings and credit groups stood at $634 million, equivalent to around 99.3% of total outstanding loans.

Despite the rising loan volume, overdue and frozen loans accounted for only 0.17% of total outstanding loans as of July 31. The Dak Lak Branch of VBSP aims to complete its credit plan by September 30, while maintaining strong controls over borrowing needs and fund disbursement.