State Bank of Vietnam directs Vietnam Bank for Social Policies to mobilise funding and maintain delivery networks during administrative reorganisation

The State Bank of Vietnam reported on the Vietnam Bank for Social Policies’ (VBSP) performance and set operational priorities for 2025 at an online meeting chaired by Governor Nguyen Thi Hong in her capacity as VBSP Board Chair. The focus was on mobilising additional funding, executing disbursements in line with the Prime Minister’s 2025 credit growth plan for policy lending, and keeping policy-credit delivery stable as Vietnam reorganises administrative units. By end-May 2025, VBSP’s total policy-credit funding sources reached VND 410.857 trillion, up 9.2% versus 2024, with outstanding policy loans of VND 389.388 trillion, up 5.9%. Credit quality was reported as stable, with overdue and rescheduled debt at 0.54% of outstanding loans; in the first five months of 2025, policy lending supported job creation for more than 404,000 workers, financed study for nearly 13,400 disadvantaged students, and funded more than 751,000 rural clean water and sanitation works. Local-budget funds entrusted to VBSP reached VND 61.427 trillion by 31 May 2025, up VND 10.746 trillion versus 2024, following transfers promoted under recent Party directives. Ahead of upcoming changes to local government structures under Party resolutions on administrative reorganisation, VBSP was asked to review and propose updates to policy-credit mechanisms and VBSP organisational rules, while retaining its specialised operating model and maintaining its network of units, transaction points, and savings and loan groups to ensure continuity of borrower relationships and loan management.