A woman pays tax at the State Treasury of Dong Da District in Ha Noi. Credit institutions' assets rose to more than VND6,449 trillion by the end of March. — VNA/VNS Photo Minh Tu

HA NOI (Biz Hub) — The perform-ance of the system used by credit institutions has shown improvement, with its total assets increasing after a sharp drop in January.

According to the State Bank of Viet Nam's (SBV's) latest report, the total assets of the system amounted to more than VND6,449 trillion (US$297.188 billion) by the end of March, up VND58.849 trillion ($2.71 billion) against the end of February.

However, if compared with the end of 2014, the total assets still declined 1.01 per cent.

The total charter capital of the system also inched up 0.31 per cent to VND436.998 trillion ($20.138 billion) while the total equity capital rose 5.4 per cent to VND523.779 trillion ($24.137 billion).

The system showed a return on equity of 6.43 per cent, up 0.94 per cent from the end of 2014. The respective figures were at 8.2 per cent for State-owned commercial banks, 5.6 per cent for joint-stock commercial banks, 4.29 per cent for foreign and joint venture banks and 10.25 per cent for financial leasing companies, all rising from the end of 2014.

The system's performance has improved, with its return on assets reaching 0.57 per cent, up 0.06 per cent from the end of 2014.

The capital adequacy ratio (CAR) of the system also increased to 13.46 per cent, up from 13.42 per cent at the end of February and 12.75 per cent at the end of 2014. The CAR allowed by the central bank is only 9 per cent.

By the end of March 2015, the system's ratio of short-term capital used for medium- and long-term loans was 25.47 per cent. — VNS