In the first months of 2018, people's credit funds in the province have restructured in the direction of scale development associated with improving financial capacity, operating quality and governance. The implementation of the structure is helping people's credit funds in the province to operate more effectively.
Reorganize the activities
According to the State Bank of Vietnam - Binh Duong Branch, over the past 10 system of people's credit funds in the province has made certain contributions in the socio-economic development of the province. However, in general, there are still some situations where the operation of the people's credit fund still violates regulations, errors in management, internal control, capital mobilization, loan inappropriately. practical; Members do not whole heartedly, wholeheartedly serve the development purpose of the fund.
The reasons for these limitations are determined by the small scale people's credit funds, some people's credit funds run family funds, all in the work. Along with that, the management of the board of some people's credit funds is lacking deep, has not issued timely internal regulations to control the risk. In addition, the internal control and audit system of the people's credit fund has not fully promoted its role and responsibilities.
People's credit funds in the province are actively implementing the restructuring of the unit. In picture: Customers trading at people's credit fund of Phuoc Hoa (Phu Giao). Photo: Thanh Hong
In order to reorganize the people's credit fund, in early 2018, the State Bank of Binh Duong Branch has directed the restructure to suit the situation of each unit; Boldly replace the board members, older incompetent executives. The branch also requested people's credit funds to restructure capital, increase charter capital and mobilize capital on the spot. Focus on dealing with bad debts, actively recovering debts, overdue.
After restructuring the system of people's credit funds in the province in the period 2016-2020, up to now people's credit funds have completed some contents under the plan. Specifically, the area of operation, the people's credit funds in the province has implemented restructuring in accordance with regulations. Phu Tho people's credit fund is terminated in Chanh Nghia Ward, District 12; Thanh Tuyen People's Credit Fund ended its operation in Long Tan commune; People's Credit Fund of Phu Hoa implemented the plan of separating Phu Hoa People's Credit Fund to set up Phu Chanh People's Credit Fund from the operation of the transaction office.
Implementing solutions, so far the operation of the system of people's credit funds in the province is relatively stable; Some basic indicators of people's credit funds have grown, meeting the political objectives of the Party and the State on people's credit funds; Membership development, loan growth has increased sharply, such as the Phuoc Hoa People's Credit Fund, up 18.86%, Phu Hoa People's Credit Fund up 10.71% over the same period last year. capital mobilization, 9 months of 2018, 10 people's credit funds in the province reached over 1.457 billion, the total outstanding loans reached over 1.066 billion. In addition, people's credit funds in the area have paid attention diversify lending products, develop loans to meet the actual needs of members. People's Credit Funds also strictly control and handle bad debts so far the bad debt ratio of the people's credit funds decreased, the whole system was controlled at 5.89%.
Improve performance
Vo Dinh Phong, acting director of the state bank - Binh Duong Branch, said that in 2018, towards clearing capital for agricultural and rural development, the province's new rural construction program, Strengthening the restructuring and raising the quality of operations of people's credit funds is one of the contents of the interest of the banking sector. The State Bank branches in the province shall continue to closely coordinate with the Party Committees and local administrations in inspecting and supervising the implementation of tasks of restructuring people's credit funds in the direction of "safety and effectiveness fruit and sustainable development ". At the same time, the unit continues to consolidate its organizational structure, enhance the role of self-control, internal control, balance between capital mobilization and use, credit quality control.
NHNH - Binh Duong Branch also requests people's credit funds in the area to continue implementing solutions and tasks set out in the restructuring plan associated with dealing with NPLs for the period 2016-2020. approval; diversify the methods of dealing with bad debt. In terms of propaganda, people's credit funds should promote the dissemination of the Party's and State's undertakings, policies and laws on the transition of activities of people's credit funds; To improve information technology in the operation of the people's credit fund so as to meet the requirements on administration, administration, financial management, accounting and regulations on information and reports of people's credit funds. .
Representatives of some people's credit funds in the province said that the transition and restructuring made the performance of fund targets slower than the previous schedule, such as not well balanced. The source of funds and loans should have an impact on performance; profits have not met expectations. These are the obstacles will continue to be the people's credit funds overcome. Nguyen Thi Thuy Nga, director of the People's Credit Fund of An Thanh, said that in the coming time, the unit would continue mobilizing people to better understand the operation of people's credit funds through various forms of propaganda. Participation in the establishment of members, loans and deposits to improve the operation of the unit. Along with that, the unit will coordinate with the local authorities to urge the recovery of overdue debt, implementation of measures to prevent bad debt increased ...
Economic experts said that the request for people's credit funds to implement the plan of restructuring people's credit funds in the period 2016-2020; The implementation of Directive 06 / CT-State Bank dated October 2, 2018 by the State Bank of Vietnam is a step in a synchronous and practical way for people's credit funds to improve themselves. High quality of operation, very practical for people's credit fund system. From here, the people's credit fund system continues to promote the role of midwife for people in the area, accompanying people to promote local socio-economic development, contributing to limiting loans. to meet the expectation of the State and people on the credit model.
Reported by Thanh Hong – Translated by Vi Bao
