Sa Loong commune in Ngoc Hoi district is one of the localities with a high percentage of ethnic minorities in Kon Tum province at 85%.

The livelihood of the people here mainly depends on agriculture with crops such as coffee and rubber. In the past, due to outdated farming techniques, the economy of the people here faced many difficulties.

Thanks to policy credits, Y Ho Le, a resident of Sa Loong Commune in the Central Highlands province of Kon Tum’s Ngọc Hoi District, has earned an income of over VND 100 million per year.

Poor households are eligible for financial and housing support as well as low-interest loans to invest in their livelihoods, among other forms of support provided by the Government to lift them out of poverty.

In 2010, the poverty rate of the commune was still more than 34%. However, since having access to social policy loans, many households in Sa Loong Commune have escaped poverty sustainably.

Y Ho Le, a resident of Sa Loong commune, is one of the beneficiaries.

With a loan of VND 50 million (VND 2,100), she invested in growing five hectares of coffee and rubber, which have brought a stable income.

“Our family is now out of poverty with financial stability, with an annual income of about VND 100 million (USD 4,200).”

This income is quite high compared to the average income in Ngoc Hoi district.

"The social policy loan has helped my family escape poverty sustainably. It is expected that by the end of 2023, I will be able to pay off all the money borrowed from the bank," Y Ho Le said. “We have a savings account, and bought a motorbike. Next year, we will build a new house.”

Thanks to this source of capital, numerous households have been able to expand their agricultural production and improve their income, which contribute to poverty reduction in the localities, she said.

According to Nguyen Thanh Luong, Vice Chairman of the Sa Loong commune People’s Committee, with the joint efforts and determination of all levels of authorities, many ethnic minority members have improved their financial conditions and are on the way to sustainable poverty reduction, with some households even getting rich.

Luong recommended that social credit policies for ethnic minorities and people in mountainous areas need continuous innovation and up scaling in terms of loan limits and borrower eligibility, especially in business-production projects, which will contribute to sustainable livelihoods for the people.

The commune poverty rate has fallen from 34.1% in 2010 to 4.88% now.

Kon Tum is expected to achieve its goal of sustainable poverty reduction from now to 2025 with an annual reduction rate of 3-4%.

Source: VNA