The Estonian arm of Nordea has reported that Nordea Liising’s portfolio contracted 3 percent year-on-year in the third quarter, to EEK 6.6 billion (€422 million).
The result is strong, considering the state of the Estonian leasing market, which fell by 75 percent in July. Nordea has been noticeably bullish in the Baltic region, buying business off failing lessors.
“As a product, leasing is more influenced by the economic environment, and the need to make provisions was in line with expectations,” said Nordea Pank Eesti manager Vahur Kraft.
“At the same time, considering the economic environment, the loan and leasing portfolio of Nordea continues to be of high quality, ensuring a profit for the bank.”
In neighbouring Latvia, competitor SEB Leasing provided finance worth over LVL 20 million (€28.5 million) in the last quarter. Of these leases, 49 percent was for cars, 23 percent for commercial vehicles, and 28 percent for industrial equipment.
Meanwhile, in Lithiania, SEB Leasing saw its credit and leasing portfolio fall by 15 year-on-year last quarter, to LTL 20.9 billion (€6.1 billion).