Successful models

Ms. Diep Thi Thao Trang and her husband started a business with a high-tech agricultural project in Nam Ha village (Binh Duong commune, Thang Binh).

Ms. Trang borrowed 100 million VND from the Transaction Office of the Social Policy Bank (CSXH) of Thang Binh district to invest in growing melons, tomatoes, hydroponic vegetables and strawberries in ^{a 2,200m2} greenhouse. Producing clean agriculture all year round, Ms. Trang has a revenue of 90 - 120 million VND/month.

To expand production scale, Ms. Trang borrowed an additional 20 million VND from the Transaction Office of the Social Policy Bank of Thang Binh district to invest in clean water facilities and automatic irrigation systems for crop cultivation.

“Starting a business was very difficult at first, so I needed preferential loans from the policy bank. These loans do not put much pressure on young people starting a business. Policy capital is the foundation that has helped my startup process go smoothly so far,” said Ms. Trang.

Best One Cooperative (An Phu Ward, Tam Ky City) with products such as noni powder, dried noni slices, fresh noni soaked in honey, noni tea bags, noni pills... under the brand name "Noni Best One" is welcomed by consumers in and outside the province. Best One Cooperative has quite high revenue and is a successful startup.

Ms. Bui Thi Tuyet Nhung - Director of Best One Cooperative said that borrowing 70 million VND in policy capital along with other resources is an important basis for the Cooperative to invest in machinery, equipment, and modern technology to create quality goods that are well received by the market.

Mr. Hoang Thanh Lan - Head of Planning and Credit Operations Department (Social Policy Bank, Quang Nam branch) said that the total outstanding loan balance for 54 start-up projects in the province to date is 4,098 billion VND.

Policy credit for start-up projects has helped people develop the economy, thereby creating jobs, increasing income, leveraging local strengths, and contributing to creating a new look for rural areas. Start-up and career models in Quang Nam are in many fields such as integrated farms, food processing, drinking water, aquaculture, pharmaceutical investment, etc.

Support in startups

Policy credit has practically helped people start businesses in recent times. However, according to the Bank for Social Policies, Quang Nam branch, preferential lending resources for start-up projects are still limited compared to actual needs.

Currently, the Central Government and Quang Nam have no plans to allocate capital for startup loans. Every year, from the budget of the Provincial People's Committee, People's Committees of districts, towns and cities, and capital from mobilizing savings deposits from organizations and individuals in the area, the Bank for Social Policies, Quang Nam branch, prioritizes lending to startup projects to continue to create momentum for development and widely spread the startup movement in Quang Nam.

Mr. Hoang Thanh Lan said that the effectiveness of policy loans for startups in the province is still difficult. That is, many young people starting businesses have not received vocational training and have started their own businesses spontaneously.

Most startups are small and medium-sized, have low financial potential, and low production and business efficiency. Coordination between agencies in technical support, technology transfer for startup projects, and consumption of startup products is not really close.

In rural, remote and isolated areas, young people borrow capital to start a business mainly based on natural conditions and land for farming and livestock raising, so it is not really effective and has potential risks.

Vice Chairman of the Provincial People's Committee Tran Anh Tuan, Head of the Board of Representatives of the Bank for Social Policies, Quang Nam branch, said that in order to provide good support for start-up projects, every year, authorities at all levels need to entrust more local budgets and other legal capital sources to the Bank for Social Policies, Quang Nam branch.

“It is necessary to closely coordinate between policy banks, functional agencies and start-up entities to integrate agricultural, industrial and fishery extension programs into start-up projects, thereby promoting more successful start-ups,” said Vice Chairman of the Provincial People's Committee Tran Anh Tuan.