This move is to help remove financial barriers for poor and near-poor people who want to work abroad to help families.
62 year-old Ly Thi Ngoc Kieu in District 11 and her two daughters stay in their relative’s house as they have difficulty in buying a house.
Despite of her harsh condition, her daughters still go to school with the support of the local administration.
When her first daughter entered university, she asked a loan of VND25 million with preferential interest from the Fund for Poverty Elimination to pay for her daughter’s study.
After graduation, her daughter My Hao worked in Taiwan ( China) and had a stable life. She shared that she no longer worries about her first daughter.
Many children of poor households in the city have accessed to loan with preferential interest without leaving house as security.
25 -year -old Nguyen Pham Hong Ngoc in Tan Phu District is going to work in Japan in three years with basic salary of JPY95,000 a month excluding overtime wage.
The girl has received the financial support from the local administration for oversea work expenditure. Similarly, Tran Minh Kha in Can Gio District and Ha Boi Thi in District 11 also got financial support from the local administration to work abroad.
According to the municipal Department of labor, Invalids and Social Affairs, children of 43 poor and near-poor households have registered to work abroad in the first six months of the year.
It is expected that laborers can save VND500 million after three-year working abroad.
Recruitment agencies for overseas jobs said that laborers in HCMC preferred to work in Japan because of attractive salary; however, preliminary expenditure for working in Japan is much higher than other labor markets.
As a result, increased loan has opened new opportunities for poor laborers.
From end of 2018, the city has taken VND232 billion and VND268 billion from the state budget to provide the Fund for Poverty Elimination in 2019 and 2020 after a study on 60,000 poor people’s demand of financial support for working abroad, said Deputy Director of the Social Policy Bank in HCMC Bui Van Son.