Romanian Leasing Mkt Seen Dn By As Much As 30% This Year Compared To 2008

A decrease of 20-30% of the leasing market this year, as estimated by the Association of Financial Companies – ALB Romania, would take the value of assets financed in 2009 to EUR3.37-3.85 billion.

 

ALB estimates automotive leasing will account for 75% of the entire market, while equipment leasing will account for 21% and real estate leasing for 4%.

 

“Although this year will be affected by the current economic situation and we’ll register a 20-30% decrease of the leasing market, I am optimistic. We have sectors that can take advantage of this situation, such as the commercial real estate sector, for which we can come up with sale and lease-back solutions," ALB president Jean-Claude Boloux said during a press conference Tuesday.

 

Boloux added the real estate sector is the first to be hit hard by the crisis, but will also be the first to recover.

 

"The first sector to resume its activity after the crisis is constructions, therefore real estate. We’ll have to be ready to seriously resume our leasing activity on this segment then,” he said.

 

The Romanian leasing market decreased 2.6% last year compared to 2007, to EUR4.817 billion in financed assets, affected by the introduction of the pollution tax for cars and the financial crisis.

 

Romania’s leasing market stood at EUR4.948 billion in 2007, 51.3% higher compared to the year before.