Last week (31.01.17) Polish Leasing Association, representing Polish leasing companies, revealed the results of 2016Y.
Total value assets financed by leasing industry in Poland – 58.1 billion PLN.
This result exceeds 2015Y results (49.8 billion PLN) with annual growth 16.6%.
Total portfolio outstanding of leasing companies EOY 2016 – 105.1 billion PLN (97.8 billion for movable and 7.3 billion for real estate) – was comparable to investment loans outstanding granted by banks (114.5 billion PLN at the end of 2016).
Who uses leasing services?
Leasing companies in Poland support mainly micro and small businesses. Polish Leasing Association estimates that 53% of the customers are companies with annual turnover up to 5 million PLN, classified as micro companies by the criteria of the Ministry of Economic Affairs (now Ministry of Development).
More than 70% of leasing services are provided to companies with turnover up to 20 million PLN. This group includes all micros and an essential part of small businesses (with annual turnover up to 10 million EURO). So more than ¾ of its services, leasing industry provides to micro and small companies. Remaining part of the customers are companies with annual turnover more than 20 million PLN. Private individuals and public sector is a minor part of leasing companies’ business.
Leasing Industry Forecast for 2017
In 2017 leasing industry expects growth at a level of 16.5% and 67.7 billion PLN of the total value. Projected market growth in a sustainable way is based on passenger cars financing, due to high domestic demand and favorable taxation rules, trucks (due to change of old vehicle fleet to the new one with Euro 6 combustion and sustained export growth) and equipment financing.
Acceleration of economic growth in 2017 and the start of EU funding in 2014-2020 years will cause equipment financing will become a significant and stable driving force of leasing industry development.
Q3 2016Y infographics are available here