Report: Latin American Equipment Leasing Industry Growing Faster than Economy

FORT LAUDERDALE, Fla., Aug. 23, 2017 /PRNewswire/ -- The equipment leasing and finance industry in Latin America grew an average 4.8% in 2016 in United States dollars, an outstanding performance given the region's economy, notes the latest Alta LAR 100 report by The Alta Group Latin American Region (Alta LAR).  Details and the most recent ranking of the 100 largest leasing companies in the region will be discussed at the Latin American Leasing Conference Nov. 9-10 in Miami. A free report summary is available for download at the Alta website.

"We have surveyed close to 600 active lessors in the Latin American Region," Alta LAR CEO Rafael Castillo-Triana wrote in the report. "About 95% of the whole leasing portfolio is concentrated in the 100 largest leasing companies with around US$ 55 billion. These 100 largest lessors experienced an annual growth of 11%, which is more than 2.5 times the average growth of the whole industry in the region."

The International Monetary Fund estimates that the overall economic growth rate in Latin America grew just 1.1% in 2016, due to the declines in Brazil and Venezuela. Out of Brazil and Venezuela, the region had better than 2% average growth.  All other countries have continued their average historic growth. In 2017 emerging market economies are rebounding and growth rates between 4% and 5% are expected. This means good expectations for the overall growth of the Latin American leasing industry this year, since leasing continues to be the main engine of economic growth in the region, Castillo-Triana says.

The Alta LAR 100 estimates portfolio sizes and growth rates in Mexico, Colombia, Chile, Argentina, Peru, and negative growth in Brazil, Venezuela, Ecuador and Puerto Rico. It identifies significant shifts in the main drivers of growth, key players and origin of multinationals, and reveals how regulations are impacting the industry. One finding: finance leases are fading away while operating leases are on the rise.

For more information about the Latin American Leasing Conference, visit www.thealtaconferencias.com or contact [email protected]. It will feature simultaneous English and Spanish translations, with leaders from 15 nations expected to attend. The forum preceding the conference will focus on new financial accounting standards that are shaping leasing, and related developments in technology and regulations. It will be in Spanish.

SOURCE The Alta Group Latin American Region

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