Middle East lags behind in global asset leasing
The Middle East is lagging behind in the global asset leasing industry, which has expanded rapidly from $40 billion to $500 billion in the last 20 years, according to Abu Dhabi-based Oasis International Leasing (OIL). "Despite strong worldwide growth of six percent annually, asset leasing remains an under-utilized strategic financing option in the Middle East, accounting for less than 10 percent of the worldwide market," said OIL's Chief Executive Officer Gordon Dixon.
Dixon says efficient leasing structures would help the Middle East secure inward investment and assist in managing constrained capital budgets. "The UAE, in particular, is increasingly encouraging private sector support for the development of new business and the privatization of existing businesses. Leasing has an important role to play in that process," he added.
OIL, which has a representative office in Seattle, aims to build its asset and risk profile from its current $472 million value to $1.5 billion over the next three years, through increased diversification of its asset portfolio, with targeted moves into shipping, infrastructure and power plant financing.
OIL's current asset portfolio includes 12 aircraft on long-term lease to major regional and international flag carriers and a 50 percent stake in a cape size bulk carrier ship, acquired last year. — (menareport.com)
© 2002 Mena Report (www.menareport.com)