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In the Marketplace

By ALM Staff | Law Journal Newsletters |
April 28, 2006

Leaseurope of Brussels has released the annual survey of its 30 member leasing associations, which shows that the European leasing business broke several records in 2005. Leaseurope, the European Federation of Leasing Company Associations, estimates that new leasing contracts worth just above 270 billion euros were concluded during 2005, making the European leasing market the largest in the world. This figure exceeds forecasts made by the Federation and represents an increase of almost 14% compared with 2004, revealing that the leasing sector has outperformed the rest of the European economy on average. In comparison, investment levels in the EU25 increased by only 5.1% compared with 2004.

Several factors are supporting Europe's double-digit leasing growth. First, the statistics include real estate leasing, and the European market has seen substantial increases in the real estate leasing sector over the past year, with Italy being the largest market in this fast-developing business. On the equipment leasing side, growth is expected to average above 16%. The financing of road transport vehicles in particular is set to contribute to its success, with growth forecasted at 18%.

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