Low-income families to receive interest-free loans for entrepreneurship

This new system, established by a presidential decree signed on February 14 titled "Additional Measures for Improving the System of Financial Assistance to Involve the Population in Entrepreneurship and Ensure Employment," aims to empower poor families and foster entrepreneurship.

According to the decree, instead of providing subsidies for purchasing the necessary equipment to start a business — previously granted to individuals listed in the Unified Register of Social Protection and the Poor Families Register — interest-free loans will be introduced. This system will also ensure the provision of working capital for entrepreneurs.

Subsidies that were not in demand, unused for extended periods, or ineffective will be abolished. Furthermore, overlapping subsidies will be consolidated to streamline the process.

Based on the specialization of neighborhoods and key sectors, grants and interest-free loans will be provided to poor families for engaging in entrepreneurship and farming.

Starting January 1, 2026, financial assistance to the population will be gradually distributed in cash through a social card system.

By March 20, 2025, the Ministry of Economy and Finance will establish a Department for Evaluating and Coordinating the Effectiveness of Subsidies, Loans, and Grants within its central apparatus.

The decree introduces the following new types of financial assistance as part of the "From Poverty to Prosperity" program:

-  Subsidies for former prisoners: Up to 10 times the base calculation unit will be provided as subsidies for citizens who have served prison sentences to implement specific entrepreneurial, architectural, or craft projects;

-  Interest-free loans for artisans: Entrepreneurs who hire unemployed individuals or members of poor families as artisans will receive interest-free loans for up to 3 years, up to 10 times the base calculation unit, to support their working capital;

-  Interest-free loans for equipment purchases: Poor family members starting a business will receive interest-free loans of up to 50 times the base calculation unit for periods ranging from 6 months to 3 years to purchase the necessary equipment;

-  Interest-free loans for farming development: Poor families wishing to establish farming or horticultural businesses will be granted interest-free loans, up to 200 times the base calculation unit, with a 6-month grace period and a repayment term of up to 5 years. These funds can be used for drilling wells, purchasing pumps, installing drip irrigation systems, and expanding electrical networks.

-  Grants for entrepreneurs supporting poor families: Entrepreneurs who train up to 10 poor families and help them secure a stable income will receive grants of 3 to 30 times the base calculation unit for each family supported, depending on the number of families involved.