The central bank in Vietnam will set interest rates for June over the next few days and will probably keep the base rate unchanged at 8.00%, rather than move rates up. The easing of credit conditions, following the clampdown in Q1 which ended up being too aggressive, has only been underway for a couple of months. Moreover, annual inflation has started to slow. Nevertheless, the base rate still looks low for the likely trend in GDP, and in prices, in coming quarters. Therefore, we still expect that rates will rise in the second half of 2010.