source : traveldailymedia
Boeing Capital Corporation ‘BCC’ stressed on the need for airline to invest strategically into new aircraft and the long-anticipated growth of Islamic financing’s role in commercial airplane deliveries is also coming to fruition. Airplanes have been regarded as ideal for lending under Shariah law given their mobile nature and asset attractiveness.
These discussions were highlighted as financial institutions and airlines in the Middle East have significantly increased their capital investments in new Boeing commercial airplanes over the past two years, thus realizing substantial rewards for their investors as demand for new airplanes continues to expand.
“The region historically has seen about 20% of its deliveries funded by its own capital sources. That turned up to more than 30% in 2011, and, for 2012, it’s heading to nearly 60%,” said Rich Hammond, a BCC senior director in the region.