The wide financing gaps in all sectors of the economy has increased the relevance of leasing to capital formation in the economy, accounting for growth in the sector. A recent report released by the Equipment Leasing Association of Nigeria, ELAN shows a 14.5% increase in leasing volume to N1.44trillion in 2017, up from N1.26trillion in 2016.

According to the report, the reasons for the continued upward trend witnessed in the industry during the period under review include: increasing lease demand, new entrants into the leasing industry and increased value of assets, due to the depreciation of the Naira.

Analysis of the volume by sector revealed that the Oil and Gas sector is leading with N449billion, representing 28 percent of the total portfolio, while transportation followed closely with N355billion, and representing 20 percent. Manufacturing moved to N217billion from N180billion in 2016, while Agriculture, Government, Telecommunications and other sectors (education, healthcare, construction and consumer sectors) recorded considerable growth.

CLICK THE LINK TO SEE FULL STORY: https://bizwatchnigeria.ng/huge-growth-in-the-leasing-industry-presents-opportunities/