Belarusian leasing market

Belarusian leasing market will show a 15-20% increase in comparison with the previous year in 2010. Belarusian market showed slower rate of recession during the crisis period in comparison with the Russian market in this sphere, and 30% growth of Belarusian market is now expected. In 2010 under the terms of export leasing Russia received Belarusian cars and agricultural equipment with the total price of $3.5 mln. New contracts with Russia with the price amounting to $214 mln are currently being prepared. We have a number of projects with Russia where we have already entered the stage of signing the documents for hundreds of “MAZ” and “BelAZ” trucks, the volumes are considerable. During this year we have also realized Belarusian equipment for the total price of $8.5 in the Ukrainian market. We are also working with the markets of South Africa, Chili, Czech Republic.  

Belarusian leasing earnings in comparison with other regions: in 2009 European leasing market experienced a 26% decline, the indices of decline in the countries of Central and Easter Europe amounted to 44%. The rate of disruption in the Russian market amounted to 57%. In Belarus previous year showed the allowed volume decline amounting to 34% by 2008.

The majority of leasing objects in Belarus is equipment, that had market share of 55% in 2009 and 61% — in 2008.
In 2009 26% of leasing operations were the transactions with vehicles, however, this volume was reduced due to the decline of international trade and transportation in the time of recession.

Belarusian market also shows the tendency of increasing the volumes of real estate leasing. Unlike other countries, Belarusian real estate leasing market in 2009 occupied 17.9% share of all leasing operations, while a usual share in Russia amounts to 1% or less due to certain taxation and legislative issues. In our country real estate leasing is developing and spreading. We also have companies specializing in this type of leasing, namely leasing of property complexes that enables to sell whole enterprises with equipment.  If we try to evaluate the position of leasing in the total amount of capital investment and GDP, in 2008 it amounted to 2.8% of GDP. Please note that European markets show practically the same figures — 2.5%, however the sphere there has been developing since 1950-60s.