The value of contracts based on financial leasing totalled EGP 17bn during the period spanning between January and November, a 183% increase compared to the EGP 6bn registered during the same period in 2014, according to an announcement by Head of Egyptian Financial Supervisory Authority (EFSA) Sherif Sami on Monday.
The number of contracts surged by 17% during the same period to a total of 2459 contracts, Sami said. Leasing activities have registered EGP 9.9bn during the first of 2015.
Land and property lease accords dominated the total value of signed contracts at 41%, accounting for an estimated EGP 7bn. The leasing of heavy machinery accounted for EGP 5.9bn, the second highest value, while the leasing all other forms of equipment accounted for EGP 1.4bn.
In previous statements made by Sami in August, he projected that growth in the leasing sector would be facilitated by the non-banking financial sector. Such an activity encourages financial inclusion and will help fund small and medium enterprises (SMEs), which are struggling to access funds.