Equipment leasing in Belgium grew by 10
percent last year, to reach €4.3 billion at the end of 2008,
according to the latest statistics from the Belgian leasing
association, BLV-ABL.
Of leases signed by Belgian lessors, finance
leases accounted for 58.6 percent and operating leases for 41.1
percent. Overall lease penetration rate remained stable, at 9.8
percent.
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Excluding big ticket assets, the sector that
increased the most was plant and machinery, growing by 18.1 percent
year-on-year to reach €1.5 billion. IT and office equipment also
showed robust growth, increasing 10.8 percent year-on-year to reach
€865.6 million. Commercial vehicles, however, only grew 1.7 percent
in 2008, reaching €695.2 million at year end.
“The first half of 2008 saw the clearest
growth,” commented Jacques Cornette, president of BLV-ABL and
general manager of Fortis Lease.
“But, despite the robust growth, we cannot
ignore that, since the second half of 2008, the market has
radically changed for most leasing companies. A shockwave has
propagated throughout the financial system and has spread into the
world of leasing too. Lessors have needed to face up to the
market’s liquidity problems and the upheaval around cost of
funds.”
Cornette added that lower residual values,
also linked to the downturn, have further added to lessors’
woes.
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By GlobalDataThe agriculture sector was particularly hit
and demand for leasing fell by 22.8 percent last year. In the
services sector, however, which had seen a fall of 2.6 percent in
2007, demand rebounded, growing by 59.7 percent to reach €2.1
billion in 2008. But it was the public sector that experienced the
largest growth – this segment grew by an impressive 88.1 percent
year-on-year.
Despite a troubled year, Cornette said that he
remained positive for the remainder of 2009.
“Although 2009 has already announced itself as
a difficult year, our sector has, time-and time again, demonstrated
that it was sufficiently dynamic and innovative to adapt to
disrupted markets,” he said.
