The Board of Directors of the Vietnam Bank for Social Policies Holds the Regular Meeting for the First Quarter of 2026

On the morning of May 14, in Hanoi, the Board of Directors (BOD) of the Vietnam Bank for Social Policies (VBSP) convened its regular meeting for the first quarter of 2026. The meeting was chaired by Mr. Pham Duc An, Member of the Party Central Committee, Governor of the State Bank of Vietnam, and concurrently Chairman of the BOD of VBSP.

Mr. Pham Duc An, Governor of the State Bank of Vietnam and Chairman of the BOD of VBSP

In his opening remarks, Mr. Pham Duc An emphasized that in the first months of 2026, closely following the directives of the Party Secretariat, the Government, the Prime Minister, the State Bank of Vietnam, and the Resolution of the Board of Directors, VBSP effectively fulfilled the political tasks assigned by the Party and the State, ensuring safe, efficient operations and achieving many positive and outstanding results.

Social policy credit has become a distinctive credit channel, playing an important role and demonstrating strong effectiveness in supporting production and business development, implementing the National Target Programs on sustainable poverty reduction, new rural development, and social security assurance.

According to the report presented at the meeting, as of April 30, 2026, VBSP’s total funding reached USD 18.01 billion, up by USD 1.61 billion compared to 2025. Of this total, entrusted capital from local budgets reached USD 3.05 billion, an increase of USD 509.9 million compared to 2025 and USD 2.90 billion compared to the period prior to the issuance of Directive No. 40-CT/TW, accounting for 17% of total funding and meeting the target set out in the VBSP Development Strategy toward 2030.

Mr. Duong Quyet Thang, Member of the BOD and General Director of VBSP, presented the operational results of VBSP for the first quarter of 2026

In 2026, VBSP was approved by the Prime Minister to receive additional funding and a maximum outstanding loan growth target of 10% for social policy credit programs compared to 2025. Immediately after the plan was assigned, the General Director of VBSP promptly allocated credit plan targets to VBSP branches in provinces and cities for implementation. VBSP provincial and municipal branches actively advised the Provincial Boards of Representatives of the Board of Directors on assigning targets, while closely directing beneficiary reviews to ensure timely disbursement to eligible beneficiaries and enhance the effectiveness of social policy credit at the local level.

During the first four months of 2026, total disbursement under social policy credit programs reached USD 2.62 billion, benefiting more than 951,000 poor households and other policy beneficiaries. As of April 30, 2026, total outstanding social policy loans reached USD 17.16 billion, up by USD 1.25 billion compared to 2025, marking the highest year-on-year outstanding loan growth ever recorded, with more than 6.7 million active borrowers.

Social policy credit capital supported investment in production and business activities, creating jobs for more than 372,800 workers, including 2,321 workers employed overseas under fixed-term contracts and 1,263 ex-offenders accessing loans for job creation. It also enabled 11,484 disadvantaged students to borrow for education, including 1,109 students pursuing STEM majors; facilitated the construction of more than 762,000 rural clean water and sanitation facilities; and supported the purchase, lease-purchase, or construction of 3,908 social housing units for poor households and low-income groups.

Alongside the growth in outstanding loans under social policy credit programs, credit quality continued to remain stable. As of April 30, 2026, total overdue and rescheduled debts across the system stood at USD 86.12 million, accounting for 0.5% of total outstanding loans.

Meeting overview

Concluding the meeting, Mr. Pham Duc An highly appreciated VBSP’s operational results achieved in the first months of 2026. Amid continued domestic and international economic challenges, the entire VBSP system has demonstrated strong determination, solidarity, and consensus in overcoming difficulties, maintaining sound credit quality while decisively and promptly implementing policies for beneficiaries, thereby contributing to economic stability and development, social security assurance, and the effective delivery of concessional credit for the National Target Programs on sustainable poverty reduction, new rural development, and socio-economic development in ethnic minority and mountainous areas.

The Chairman of the BOD requested that, in the coming period, the entire VBSP system continue to proactively advise Party committees and authorities at all levels on implementing the directives of the Party Central Committee’s Secretariat under Directive No. 39-CT/TW on enhancing the effectiveness of social policy credit in the new context. VBSP should also strengthen coordination with central ministries and agencies while advising local Party committees and authorities to effectively implement the objectives, tasks, and solutions set out in the VBSP Development Strategy toward 2030 under Decision No. 05/QD-TTg of the Prime Minister, together with the implementation plans of the Board of Directors, the General Director’s Action Program, and local implementation plans to achieve the strategic targets set forth.

Units across the system were requested to actively mobilize deposits from organizations and individuals in the market to ensure adequate funding for disbursement under the credit growth plan assigned by the Prime Minister, with priority given to medium- and long-term capital mobilization to meet timely funding needs for social policy credit programs and ensure system-wide liquidity. At the same time, VBSP should proactively advise local authorities to prioritize balancing and allocating entrusted capital from local budgets through VBSP, thereby implementing timely and synchronized lending solutions for policy beneficiaries in localities.

VBSP should continue strengthening internal inspection, supervision, and remote monitoring to ensure safe and effective operations. In particular, greater focus should be placed on digital transformation in banking operations and database development to enhance governance capacity, streamline procedures while maintaining strict risk control, and provide more comprehensive, convenient financial and banking products and services to customers. Communication efforts on social policy credit and VBSP’s operations should also be further strengthened.

Mr. Pham Duc An expressed his confidence that VBSP will continue to build on its achievements, proactively overcome difficulties and challenges, and strive to successfully fulfill all tasks assigned in 2026 by the Party, the State, and the people.