Financial institutions have reported a rise in the demand for loans since the beginning of March, according to a survey conducted by the Monetary Forecast and Statistics Department under the State Bank of Vietnam.

According to the survey, the respondents expect the banking system’s average credit growth will increase to 16.93 percent this year from the 14.57 percent forecast at the previous survey last December.

Meanwhile, they anticipate slight decrease in both deposit and lending interest rates.

Raising capital is forecast to increase by nearly 15 percent from the previous forecast rate of 14.35 percent, with capital mobilization in Vietnam dong to grow faster than that in foreign currency.

Most of the financial institutions involved believe long-term deposits, particularly those of 6-month and longer terms, will increase in the second quarter towards the end of the year.-VNA