More NewsAsset-based Finance Industry Forecasts 9% Growth in 2012

Asset-based Finance Industry Forecasts 9% Growth in 2012

Asset-based finance is set to grow by 9% in 2012, says a survey from the Asset Based Finance Association (ABFA). Total funding provided by the industry to UK and Ireland firms is forecast to reach £17.2bn in 2012.

The survey is the first time the ABFA has asked its members to predict industry growth figures for the following year. The survey forecasts that turnover from companies using asset-based finance in 2012 will hit £259bn, up 12% from £235bn in 2011.

The popularity of the industry among UK and Ireland firms looks set to continue with the number of clients using invoice finance and asset-based lending expected to increase by 7% to peak at 44,412.

The ABFA’s members are pessimistic though about the state of the UK’s economy, predicting it will not pick up in 2012, with 92% of members expecting conditions to remain unchanged throughout the whole of this year. A further 5% are even forecasting the economy to worsen in 2012.

Kate Sharp, chief executive officer (CEO) of ABFA, said: “The results underpin the confidence which the industry sees in the popularity of asset-based finance. As other forms of finance become harder to secure, the industry is predicting a strong 9% growth rate in total funding as firms look to secure the capital they need. But this confidence clearly doesn’t extend to the wider economy, with members not predicting much more than minimal growth throughout 2012.”

Comments are closed.

Subscribe to get your daily business insights

Whitepapers & Resources

2021 Transaction Banking Services Survey
Banking

2021 Transaction Banking Services Survey

2y
CGI Transaction Banking Survey 2020

CGI Transaction Banking Survey 2020

4y
TIS Sanction Screening Survey Report
Payments

TIS Sanction Screening Survey Report

5y
Enhancing your strategic position: Digitalization in Treasury
Payments

Enhancing your strategic position: Digitalization in Treasury

5y
Netting: An Immersive Guide to Global Reconciliation

Netting: An Immersive Guide to Global Reconciliation

5y