The business of leasing companies failed to see a rebound in
the second quarter of the year, with the value of funding granted
falling by 73%, as in the first quarter, and the market
significantly affected by the collapse of car and equipment sales.
According to data from the Association of Financial Companies
(ALB), the value of funding granted in the first half of the year
amounted to around 777 million euros. The leasing market, which
used to be one of the most dynamic segments in the financial
sector, with 40-60% annual growth rates, is now experiencing a
steep decline, to levels hard to imagine a year ago. “Considering
the signals that emerged in the last quarter of 2008, it was clear
that this downward trend would continue and even deepen. I think
the end of the year will see an around 75% decline,” said Claudiu
Stanescu, general manager of BCR Leasing, the second-largest
company on this market. If the first-half trend is preserved, the
leasing market will shrink to 1.2 billion euros by the end of the
year, from 4.8 billion euros in 2008.

Subiecte #decline#leasing market