Recognising the role and importance of developing the collective economy, the northern province of Hoa Binh has promptly issued support policies to propel the development of the economy, making important contributions to local socio-economic development.

The province is now home to 339 cooperatives operating in the agriculture sector, providing services for members in cultivation, animal husbandry, forestry, and aquaculture; and managing and operating irrigation and rural clean water facilities. Up to 30% of them have products certified by VietGAP, GlobalGAP, meeting food safety and organic conditions; 10 cooperatives and one working group have been given domestic cultivation area codes by the Department of Agriculture and Rural Development; while four others are awaiting approval for export cultivation area codes. These cooperatives play an important role in ensuring the effectiveness of social welfare, bringing many benefits through services to the community members and rural economic life, actively contributing to the transformation of crop and livestock structures, increasing agricultural productivity and yield, and improving people's lives that benefit new rural development drive.

Last year, 70 new cooperatives (75% higher than the plan) and 12 working groups were established in the province; while 15 cooperatives, 12 working groups, and one people's credit fund were dissolved. The locality now boasts 758 collective economic entities, including 546 cooperatives, three people's credit funds, and 209 working groups. There are 640 active and effectively operating collective economic entities, 79 cooperatives, and 39 working groups that ceased operations. They draw 16,300 members and 28,000 workers. The average income in cooperatives reached 4.54 million VND (189 USD) per person per month.

It is evident that the number of collective economic entities is increasing, and their operational quality is gradually improving, actively supporting the development of the member household economy through input and output services. Many new cooperatives have been established while weak ones have ceased operations or been encouraged to dissolve.

This year, following the provincial Party Committee’s Action Programme No. 11-CTr/TU dated December 6, 2022, implementing the 13th Party Central Committee’s Resolution No. 20-NQ/TW dated June 16, 2022, on continuing to innovate, develop and enhance the effectiveness of collective economy in the new phase, the provincial People's Committee has issued several key measures to create a positive transformation in the development of the collective economy at the local level.