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Leasing in Germany: Broad-based business still expanding, constraints on large moveables from tax-code changes

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  • Arno Städtler

Abstract

According to the results of the recent Ifo Investment Survey of the German leasing companies, new business in the sector grew by 6.3% in 1999. For 2000 an additional plus of 4.5% is expected. This increased the leasing quota in 1999 again from 14.7% to 15.1%; in 2000 it will fall back to 14.8%. In 2000 equipment leasing will remain on the growth path (+4.7%), especially in production machinery, EDP equipment including software and information technology. Vehicle leasing is expected to show below average growth due to the decline in new vehicle registrations. In real estate leasing an expansion of ca. 3.5% is expected. The continuing growth in total fixed assets forecast for 2001 will offer opportunities for leasing companies. Owing to better automobile sales and the partial withdrawal of banks from investment loans, leasing may even gain market shares.

Suggested Citation

  • Arno Städtler, 2000. "Leasing in Germany: Broad-based business still expanding, constraints on large moveables from tax-code changes," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 53(36), pages 27-34, January.
    • Handle: RePEc:ces:ifosdt:v:53:y:2000:i:36:p:27-34
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    JEL classification:

    • D29 - Microeconomics - - Production and Organizations - - - Other

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