Leasing market to reach EUR 4.3 bln

Leasing market to reach EUR 4.3 bln

The local leasing market is set to reach EUR 4.3 bln in 2007, registering a 32 per cent growth as against its 2006 level when goods worth over EUR 3.26 bln were financed, Kerem Sekizyarali, the President of the Leasing and non-banking financial services Association (ALB), stated yesterday according to Rompres.

The ALB official also announced that the leasing market could reach EUR 5.59 bln in 2008, a 30 per cent growth compared to the value estimated for it this year. ‘I think that next year the leasing financing for equipments and real estate would be much more appealing, as will the commercial vehicles segment such as lorries and public transport buses,’ Sekizyarali stated.

He pointed out that the share of financings for the acquisition of vehicles should have a level of 55 per cent of the leasing market’s total, while equipments should have a level of 30 to 35 per cent. The real estate segment should have a level of 10 per cent.

‘These percentages could be registered as early as next year’ Sekizyarali stated

Contributes 5 pc of GDP

The leasing activity would contribute approximately 5 per cent of GDP in 2007, Adriana Ahciarliu, ALB General Secretary, estimates.

‘We estimate that the leasing sector would contribute at least 5 per cent of GDP in 2007. If in 2003 that contribution registered only 1.5 per cent of GDP, currently this business makes up 4 per cent,’ Ahciarliu explained. She estimates that the leasing market will make up 6 to 7 per cent of GDP in the next two years.

According to the statements of the ALB official, Romania ranks below neighbouring countries such as Bulgaria or Ukraine and equals Hungary’s market level. However, unlike countries with a long history in the domain, Romania registers a low market level. Currently the Romanian leasing market represents only 1 per cent of the European market’s total, a market that tops almost EUR 300 M.