More than 70 percent of credit organisations predict that both deposit and lending interest rates in Vietnamese dong this year will reduce by 1.24 percent and 1.43 percent a year, respectively, in comparison with the levels at the end of 2013.

According to a survey conducted by the Monetary Statistics and Forecast Department under the State Bank of Vietnam from May 20 to June 9, 90 percent of credit organisations expect their mobilised capital and loan outstanding balance will grow by 3.4-3.6 percent in the third quarter and 14.2 percent for the entire 2014.

Over 90 percent of the organisations also believe their liquidity will remain stable or improve in the second half of the year, while 80 percent of them think their bad debt/ outstanding loan ratio remains stable or decreases slightly in the second and third quarters.

Meanwhile, around two thirds expect an improvement in their business in the third quarter and the whole year, and a recovery in customers’ demand for banking products and services.

In the second quarter, credit organisations focused their resources on improving their policies and customer services, as well as increasing the quality of products and capacity of risk management.-VNA