On the morning of May 22, in Hanoi, the Vietnam General Association of Agriculture and Rural Development coordinated with relevant agencies and organizations to organize the Forum "Opening up capital flows for agriculture: Safe and sustainable credit solutions for businesses and farmers".
Speaking at the program, Mr. Ho Xuan Hung - Chairman of the Vietnam General Association of Agriculture and Rural Development emphasized: "In the context of a complex world economy, increasing trade competition, and increasingly serious climate change, Vietnam's agricultural sector is facing the requirement to strongly restructure towards modernity, ecology, circulation and sustainability.
However, according to Mr. Ho Xuan Hung, to achieve this goal, the key issue currently is still capital flow. Reality shows that many businesses, cooperatives and farmers still face difficulties in accessing credit due to lack of collateral, small-scale production, and limited financial management capacity. In addition, natural disaster risks, epidemics, increased input costs and unstable output markets are also major obstacles.
Especially in the fields of green agriculture, organic agriculture, circular economy or high-tech application, investment time is often long, capital recovery is slow, while the capital demand is very large.
Not only facing difficulties in accessing domestic capital, Vietnamese agricultural export enterprises also face many risks in international transactions. From this reality, the Vietnam Association of Agriculture and Rural Development expects the banking system to not only be a place to provide credit, but also become a strategic companion partner of businesses and farmers. The role of banks in international payments, credit guarantees, partner verification and risk prevention is considered very important.
At the forum, delegates also proposed that the State and the banking system need to have more preferential policies and appropriate credit mechanisms to unlock capital flows for agriculture. Thereby, contributing to building an ecological, modern and sustainable agriculture.
Within the framework of the program, delegates witnessed the launching ceremony of the Vietnam Agriculture Reputation Index (VARI) Program. This is a program to survey, rank and announce the credit of entrepreneurs and businesses in the agricultural sector.
According to the Organizing Committee, Vietnam's agricultural sector is strongly transforming towards modernity, greenness, transparency and sustainability. However, the situation of information lack of transparency, poor quality goods, and violations of commitments in some fields still affects the trust of farmers, consumers and the environment for cooperation and investment.
The program is expected to help consumers, farmers and economic actors identify responsible and reliable businesses and entrepreneurs to prioritize cooperation.
