PHNOM PENH, May 1 (Xinhua) -- Cambodia's 35 microfinance institutions had lent 1 billion U.S. dollars to customers by the end of March this year, up 24 percent from 808 million U.S. dollars it lent at the end of last year, the data of Cambodia Microfinance Association (CMA) showed Wednesday.

On the deposit side, the customers' deposits at microfinance institutions had amounted to 346 million U.S. dollars at the end of March this year, up 54 percent from 225 million U.S. dollars at the end of last year, the data said.

It said during the January-March period this year, the nonperforming loan rate was only 0.27 percent or 2.8 million U.S. dollars.

CMA's president Bun Mony attributed the sharp rise in lending and deposit to the country's better economic performance and growing number of new micro, small and medium establishments.

"This also reflects public confidence in the micro-lending institutions," said Bun Mony, who is also chief executive officer of a leading micro-lender Sathapana Limited.

Cambodia sees microfinance institutions as a key and effective tool for poverty reduction in rural Cambodia and the sector has been well developed in recent years.