DEVELOPMENT OF THE LEASING INDUSTRY IN THE ALBANIAN MARKET. AN OVERVIEW OF THE LAST 20 YEARS FROM LEGAL FRAMEWORK TO PERFORMANCE INDICATORS
Keywords: leasing, portfolio, assets, financial leasing
AbstractFinancial leasing, known as well as the financial rent, has been available in the Albanian market since 2005 although most of the leasing operating companies have only been registered since 2009. Even though in developing countries financial leasing is widely available and growing considerably, in the case of Albania this product has faced difficulties in getting recognition in the eyes of the public. Based on the European practices, small and middle enterprises compose 99% of the operating businesses in Albania and these types of enterprises are among the main users of leasing in Europe, about 50%. These elements are exactly what made leasing an alternative to financial borrowing even though financial leasing yet has an unused potential compared to loans and other forms of financing. This article aims to give a general description of the meaning of financial leasing, the legal and the regulatory framework in which this form of financing has been applied in Albania and further provide several conclusions that will focus on the factors that are expected to affect the future of financial leasing in Albania.
International Finance Corporation (IFC). 2009.Leasing in Development: Guidelines for Emerging Economies, Washington, DC
Annual monitoring reports 2010-2016, Bank of Albania.
Law no. 7850 “Civil Code of the Republic of Albania”, Article 849 “Financial Leasing”.
Law no. 9396, dated 12.5.2005 “On financial leasing”.
Regulation no. 2, “On supervision of non-banking financial entities activity risk”.
International Accounting Standard 17, Leases (March 2010 version).
Monitor Journal “Financial leasing, the necessity for secondary market creation”, September 2017.
Economics and Business
Copyright (c) 2018 Fatjola Lubonja
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