|Clean water brought to residents in Dak Milk district, Dak Nong province__Photo: VNA|
Rural households may borrow up to VND 25 million from the Bank for Social Policies to build or upgrade clean water or hygiene facilities.
Such policy is highlighted in a draft decision on credit extension for implementation of the National Strategy on rural clean water supply and sanitation through 2030, with a vision toward 2045.
Beneficiaries to the above-mentioned credit policy are households lawfully residing in rural areas and wishing to borrow loans to build, upgrade, renovate or repair clean water or hygiene facilities, including also facilities for collection and treatment of waste generated from animal husbandry, production, business or services activities. However, borrowers would be required to obtain commune-level People’s Committees’ certification of eligibility for the credit policy.
The lending interest rate would be 9 percent per year. Overdue debt interest rate would be 130 percent of the lending interest rate. The loan term would be agreed upon by the Bank for Social Policies and borrowers, but not exceeding five years.
According to the Ministry of Agriculture and Rural Development, in the 2004-22 period, in furtherance of Decision 62/2004/QD-TTg on credit policies for implementing the National Strategy on rural clean water supply and sanitation up to 2020 (issued under Decision 104/2000/QD-TTg), the Bank for Social Policies provided loans to half of rural households, helping them to have funds to build around 13 million clean water facilities, and 6.3 million household hygiene facilities, ensuring water supply for roughly 30 million people - 40 percent of the rural population.- (VLLF)