The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.
CAPITAL MARKETS

Leasing: The public sector catches on

The public sector is waking up to the advantages of leasing as budget-constrained public bodies from Sweden to Hungary and from town councils to hospitals seek out ways to take advantage of off-balance-sheet funding techniques.

Leasing gives loans a run for their money

An equal footing in CEE

This June, Bank Austria led a public private partnership project in Hungary for the construction and operation of a new 800-inmate prison for €34 million.

The deal, a full operational lease, is one of several PPP projects in Hungary that have been structured as leases. Bank Austria and Immorent have both been active in a number of PPP operational leases involving student halls and universities in Hungary.

Siemens Financial Services estimates that in the US and Europe more than €130 billion annually is tied up in capital budgets that could be freed up by the use of asset-financing techniques.

As a result hospitals and public health services are increasingly turning to leasing and renting when it comes to investing in new equipment. In some cases pay-per-use arrangements are also being explored, particularly for medical imaging equipment.

Leasing can give the additional advantage of allowing the user easily to upgrade periodically while lessors can easily place older equipment.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree