Subscribe Free
in Business Aviation

Demand for business aircraft finance set to increase

Posted 12 October 2017 · Add Comment

Over 77% of business aviation professionals predict an upswing in demand for business aviation finance over the next five years, with more than one in six of those expecting the increase to be “dramatic”.

Only 6% anticipate a fall in demand between now and 2022. The findings were revealed in research among business aviation professionals commissioned by Global Jet Capital, a global leader in financial solutions for corporate aircraft.

The main reason identified for the growing demand for finance is that there is a growing trend for potential buyers to use less of their own capital, a fact cited by 62% of the professionals interviewed.  Two in five (40%) respondents said the overall level of sales of business aircraft will grow resulting in increased demand for finance.

21% also pointed to the fact that operating leases are currently very attractively priced.

Key findings include:

57% of the business aviation professionals think the overall amount of finance made available to this market will increase in the coming year.  25% said this was because more specialist lenders have recently come into the market, while 34% expect to see more specialist lenders entering the sector in the future.  33% think traditional lenders will want to increase their exposure to the business aviation market.

32% of those interviewed believe that the growing size of the business aviation market over the next twelve months will naturally lead to an increase in the amount of finance available.

51% of the study’s respondents think that finance rates will increase between now and 2020.  Only 21% believe they will stay the same as today, while 18% think they will decrease.

* required field

Post a comment

Other Stories
Advertisement
Latest News

Fourth Middle East Safety Summit to go ahead in October in Riyadh

The General Authority of Civil Aviation (GACA), in collaboration with the International Civil Aviation Organization (ICAO), will organise the Fourth Middle East Safety Summit from 2-3 of October 2018 in the capital city of Riyadh.

Predicting what's next in the tailor-made revolution

The fusion of big data, artificial intelligence (AI) and in-flight connectivity is changing the way airlines do business. Steve Nichols looks at how cutting-edge technology is changing what you eat, read, and watch on flights, without

Engines power MTU's generation gain

MTU Maintenance sees good growth opportunities for MRO in the Middle East. Sami Ben-Kraiem, the company’s vice-president marketing and sales, Middle East and Southeast Asia, talks to Chuck Grieve.

VistaJet to move HQ to Dubai with new technology division

Dubai is to be the headquarters of a new business aircraft leasing and flight-booking technology company headed by the founder of VistaJet, Thomas Flohr.

On Air Dining recruits top executive chef

On Air Dining, the luxury executive in-flight concierge, has announced the appointment of Mark Brega as it’s executive chef.

Solvochem becomes a supplier of aviation gasoline in the Middle East

Solvochem, a supplier of chemicals, petrochemicals, solvents and plastics worldwide, has invested in state-of-the-art facilities for drumming aviation gas (AvGas) at its Jebel Ali location.

MNGJetSK2908121018
See us at
MEBAA BT1004121218BIAS BT271017161118GATM BT1004061118MarrakechAirshow BT2507241018Istanbul Airshow BT22018Cargo BT1004091018ASDubai BT1004091018MAPS18_BT1207131118Aviation Africa BT0607280219AIME19BTA3005120219