A solid support for people seeking a second chance

To facilitate formerly incarcerated individuals in overcoming stigma, reintegrating into the community, and securing stable employment, VBSP Lap Thach Transaction Office (Phu Tho) has implemented a lending program for ex-offenders returning to their localities. These preferential loans have become a solid source of support, enabling rehabilitated borrowers to improve their livelihoods and achieve sustainable, stable living conditions.

VBSP Lap Thach Transaction Office reviews and completes loan application dossiers for eligible beneficiaries under Decision No. 22

Pursuant to Decision No. 22/2023/QĐ-TTg dated August 17, 2023 of the Prime Minister on credit for individuals who have completed prison sentences, from October 10, 2023, ex-offenders and production and business establishments employing such individuals are eligible to access loans from VBSP for vocational training, production, business activities, and job creation.

Decision No. 22 defines two groups of eligible borrowers: (i) individuals who have completed prison sentences and those granted amnesty; and (ii) production and business establishments employing ex-offenders.

Ex-offenders are entitled to borrow up to VND 4 million (approximately USD 160) per person per month for vocational training, and up to VND 100 million (approximately USD 4,000) per person for production, business, and job creation. Production and business establishments employing ex-offenders may borrow up to VND 2 billion (approximately USD 80,000) per project. The lending interest rate is applied at the same level as that for poor households in each period, thereby reducing financial pressure and enabling borrowers to focus on economic development.

In implementing Decision No. 22, VBSP Lap Thach Transaction Office has strengthened communication efforts to disseminate preferential credit policies to eligible beneficiaries in accordance with regulations. The Office has also coordinated with local authorities, police, and socio-political organizations to review cases of ex-offenders with borrowing needs, provide guidance on loan procedures and documentation, and disburse loans in compliance with regulations. At the same time, supervision and monitoring have been enhanced to ensure that loan funds are used for the intended purposes and achieve optimal effectiveness.

To date, the Transaction Office has facilitated access to loans for 75 ex-offenders, with total outstanding loans reaching nearly VND 7.3 billion (approximately USD 292,000). From these funds, many beneficiaries have been able to pursue vocational training and invest in developing economic models.

As one of the beneficiaries of preferential credit under Decision No. 22, Mr. T.V.M from Hop Ly commune shared emotionally: “With a loan of VND 100 million (approximately USD 4,000) from VBSP Lap Thach Transaction Office, my family has invested in and expanded our livestock farming facilities for pigs and poultry. This financial resource has helped me stabilize my livelihood and regain confidence in reintegrating into the community. I am deeply grateful to the Party, the Government, and all levels of authorities for such a humane policy that gives people like me a second chance to rebuild our lives”.

The joy of Mr. T.V.M is also shared by many other ex-offenders who have gained access to preferential loans from VBSP Lap Thach Transaction Office in recent years. The funding has enabled them to create suitable jobs, generate stable income, and become productive members of their families and society.

Mr. Nguyen Van Hai, Director of VBSP Lap Thach Transaction Office, affirmed that Decision No. 22 is a highly humane policy. In practice, without timely livelihood support, the risk of reoffending among rehabilitated individuals remains high. Facilitating access to credit for ex-offenders is therefore a key factor in ensuring their successful reintegration.

In the coming time, the Transaction Office will continue to coordinate with relevant agencies and local authorities to review eligible ex-offenders, facilitate their access to loans, and support them in investing in economic development, gradually stabilizing their livelihoods and integrating into the community.

Tran Tinh