On the morning of February 23rd, in Ho Chi Minh City, the Capital Aid For Employment Of The Poor Microfinance Institution (CEP) successfully organized a workshop on solutions to prevent “usury” among workers.
The workshop was chaired by Mr Nguyen Dinh Khang, Member of the Central Committee of the Party, President of the Vietnam General Confederation of Labour (VGCL); Ms Tran Thi Dieu Thuy, Member of the Ho Chi Minh City Party Committee, Chairwoman of Ho Chi Minh City Confederation of Labour; Mr Hoang Van Thanh, Chairman of the CEP Board Members; Mrs Nguyen Thi Hoang Van, CEP General Director.
Other attendants included leaders of Banking Inspection and Supervision Department III – Banking Supervision and Inspection Agency; leaders of the State Bank of Vietnam (SBV) – Ho Chi Minh City branch; leaders of the Ho Chi Minh City Trade Union (TU) and 09 provinces in the Southeast region, the Mekong Delta where CEP operating; Capital Aid Funds of TU in provinces and cities (Hanoi, Thai Nguyen, Hai Phong, Thua Thien Hue, Da Nang, Quang Ngai, Lam Dong, Ba Ria – Vung Tau, Can Tho and Bac Lieu); representatives of grassroots TUs, CEP worker clients affected by “usury” and CEP staffs.
Through the workshop, CEP implemented the CEP Project to join the TU to prevent “usury” among workers to discuss and gather ideas for the Scheme, assess the experience and lessons of CEP to promote the effectiveness of the TU’s CEP microfinance operation model in preventing “usury” among workers. This aims to improve the reputation of the TU in taking care and protecting the interests of low-income workers.
At the workshop, CEP customers and representatives of grassroots TUs shared about the harmful effects of “usury”. They emphasized the practical benefits that CEP capital brings to workers’ lives.
Leaders of the TU of Dong Nai, Binh Duong, Long An, Vinh Long and An Giang provinces commented and highly appreciated the effectiveness of CEP activities in supporting workers to prevent “usury”. The CEP staff are always enthusiastic to assist workers and regularly visit to advise customers to use the capital efficiently. CEP’s community development activities are very practical and timely in supporting workers’ difficulties. Leaders of the TU of the participating provinces highly support and agree with the goals, meanings and solutions of the Project proposed by CEP, and will consider including the implementation in the resolution of the provincial TU Congress for the term 2023 – 2028. To enable workers to access CEP capital in the coming time, leaders of the provincial TU have proposed solutions to the VGCL improving mechanisms and policies to expand the scale and capital source for CEP. This aims to strengthen the capacity of CEP in supporting workers who need loans and limit their access to “usury”. Leaders of provincial TU also suggested that CEP should focus on supporting union members and workers, and at the same time, expanding the service scope to areas and units that have not yet implemented CEP activities.
Mr Vo Minh Tuan, Director of the State Bank of Vietnam – Ho Chi Minh City Branch acknowledged and highly appreciated CEP’s positive contributions to sustainable efforts of poverty reduction in line with the guidelines of the Party and the government. Regular monitoring and inspection of the State Bank – Ho Chi Minh City Branch showed that CEP has always tried to maintain good credit performance for many years; CEP’s approach and operational model have proved confidence that CEP is capable of developing effectively in the coming time. Thereby, he also proposed the governing body of CEP continues to pay attention to directing and supporting CEP to expand its activities and carry out its mission of serving the community. He also added that the SBV – Ho Chi Minh City Branch will continue supporting CEP to operate effectively and safely develop through inspection, supervision, evaluation and policy improvement for contents that are still inadequate and not practical; At the same time, it will continue to document and report to management authorities to design, supplement, and complete the structure so that CEP and TU Capital Aid Funds can continue to develop and contribute effectively to sustainable poverty reduction.
At the workshop, Mr Nguyen Dinh Khang, Member of the Central Committee of the Party, President of the VGCL gave specific instructions for stakeholders to effectively implement solutions to prevent “usury” among workers. For offices under the VGCL, it is necessary to continue supporting the effective operation of CEP; concluding and report on the operational model of TU Capital Aid Funds; look into the recommendations of the CEP and the provincial TU for the VGCL; coordinate with CEP to propose relevant state management agencies to complete regulations and policies on microfinance activities. For the Ho Chi Minh City TU and the provincial TU, it is necessary to continue supporting CEP to operate according to its principles and purposes, to develop its network and operational model; direct grassroots TUs to closely coordinate with CEP. For CEP, it is necessary to ensure sustainable development and sound risk management; increase the rate of supporting direct production workers; train to build professional staff; increase the application of technology in operations, expand the scale based on sufficient capacity; continue to promote effective practices, and coordinate well with the grassroots TU system.
To conclude the workshop, the representative of CEP – Mr Hoang Van Thanh, Chairman of the CEP Board of Members, sincerely appreciated and valued the precious and timely attention, coordination and support of the TU at all levels and the close and effective management of the SBV and the SBV-Ho Chi Minh City Branch for CEP activities so far. At the same time he actively acknowledged the comments of the workshop participants which helped to complete the Project and implement effective solutions to prevent “usury” among workers in the coming time.