Investment in equipment and software in the USA is expected to grow 5% in 2015 compared to the previous year according to a report from US Equipment Leasing & Finance Foundation.
In the first quarter of the year equipment and software investment increased by 3.8%, but the Foundation expects that it will increase further in the second half of the year because of the improving US economy.
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The report said that the anticipated growth of the economy over the second half of the year, will trigger greater business confidence and investment. However the Foundation highlighted that the ‘struggling’ manufacturing and energy sectors are obstacles to growth.
William G. Sutton, president of the foundation and chief executive officer of the Equipment Leasing and Finance Association, said: "Despite a weak start to the year and remaining obstacles to growth, the Foundation’s Outlook reports that a strengthening US economy bodes well for the second half of the year for equipment and software investment.
"Data from the Foundation’s monthly confidence index and ELFA’s monthly leasing and finance index also reflect positive trends in equipment investment. In addition, expectations of a Fed rate increase later this year could encourage households and businesses to ‘pull forward’ investments in the coming months. The Outlook report also predicts that a steady increase in new business volume and a rising propensity to finance will drive positive growth for the equipment finance industry in 2015."
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