How policy loans help STEM students build their future
For many families policy loans do more than ease the cost of university education em – em they give young people the time and opportunity to build skills earn income and gradually become financially independent
When Nguyen Xuan Minh welcomed his second son to Hanoi University of Science and Technology, the financial reality quickly set in. Tuition, housing, food and transportation costs stretched over several years, while the family's income remained limited. Nguyen Xuan Minh's family turned to the Vietnam Bank for Social Policies (VBSP) for help.
He explained, "Having access to the loan takes some of the pressure off the family and gives the children greater peace of mind to focus on their studies." This need is addressed by Decision No.29/2025/QD-TTg, which provides loans to students studying in STEM fields. Eligible students can borrow up to the full tuition fee and an additional $200 per month for living expenses and study-related costs, at an annual interest rate of 4.8 percent.
During the 2026-2027 admissions season, over 633,000 students enrolled in the 2026-2027 academic year, with around one-third pursuing STEM programs. More than 1,000 students at HUST alone apply for loans each year. Pham Thanh Huyen, head of the Student Affairs Board at HUST, praised the policy, stating, "This is a very good policy to support STEM students, including those at HUST, many of whom come from rural areas and face difficult circumstances."
The policy not only provides capital but also offers a repayment grace period. After completing their course, students have 12 months before they must begin repaying the principal, allowing them time to find employment and establish a stable income. Students like Nguyen Xuan Hoa, who works as a probationary employee, contribute to the repayment by sending a significant portion of their income home and saving a portion for later.
After nearly a year of implementation, nearly 6,500 borrowers have accessed the program, with outstanding loans totaling nearly $18 million. The broader goal of the policy is to enable students to acquire knowledge, secure employment, earn an income, and eventually fulfill their repayment obligations.
Written by urgent.news from Vietnam Investment Review's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
