Cautious start in equipment investments in the first half of 2006 - Only minimal improvement in leasing's business climate

After the major clouding in the course of the third quarter 2005, the business climate in German leasing brightened only insignificantly in the final quarter of the year. The surveyed firms evaluated their current situation hardly more favourably than before but have a more optimistic future outlook after the setbacks of the previous quarter. Nevertheless, the business climate indicator is trending downward, and also in a year-on-year comparison confidence in the leasing sector clearly weakened in the second half of 2005. Only 16% of the surveyed firms evaluated their business situation as good, and 83% as satisfactory. At the same time the hope for improvement grew: on balance, 21% of the survey participants expect better businesses in the first half of 2006.