PRESS RELEASE: TYM FUND BECOMES FIRST LICENSED MICROFINANCE INSTITUTION OF VIETNAM Posted: Sep 13,2010
TYM Fund of the Vietnam Women's Union became the first officially licensed microfinance institution of Vietnam. On 25 August 2010, the State Bank Governor Mr Nguyen Van Giau handed over the Licence of "Tinh Thuong one-member limited liability microfinance institution” to Mrs. Nguyen Thi Thanh Hoa, President of the Vietnam Women’s Union. This is the new official name of one of the oldest and most successful microfinance initiatives in Vietnam, which will continue to use "TYM" as abbreviation name for international communication.
TYM was established in 1992 as a Project of the Vietnam Women's Union (VWU). Over 18 years it has assisted over 80,000 women to access basic financial services and to overcome poverty. By now TYM has nearly 50.000 members in 10 provinces of Northern and Central Vietnam. TYM provides its members with loans for income generation from VND 1 - 25 million, savings starting with as little as VND 5,000 and, via a separate Fund of the VWU, with micro-insurance. In addition TYM trains its members in basic business skills, provides financial education and organizes various social activities.
Under the Licence, TYM will have the right to mobilize savings from the public as well as from domestic and foreign financial institutions. At the same time, TYM will be subject to SBV supervision and will have to meet certain prudential ratios, reporting rules and management qualifications.
Speaking at the licensing ceremony, VWU President Mrs. Nguyen Thi Thanh Hoa stressed that "It is the honour for Vietnam Women’s Union to be the first institution granted the licence to work in the field of micro-finance. With this honour and the responsibility before the Party, and the Government, VWU will focus more on guiding and creating favourable conditions for the conduct of TYM’s mission with the orientation of enhancing and broadening the outreach of TYM and improving its performing quality to provide professional micro-finance services and integrated services for poor women in the contribution to the efficiency of hunger alleviation and poverty reduction program as well as women’s role enhancement.”
This is the important landmark in the development of TYM Fund, which happens at the time TYM starts its 19th year. From now on, TYM’s activities will officially be part of the nation’s finance sector, supported and managed by the Law. In the future, TYM will generally have more opportunities but also face with challenges. However, with the tradition and achievements, accompanied with the devotion of staffs, the encouragement and facilitation of leaders at all levels, sectors and international friends and partners, Tinh thuong one-member limited liability micro-finance institution will now step to new heights.