The Equipment Leasing Association of Nigeria (ELAN) reported a 37.28% year-over-year increase in new leases in the first quarter of 2026, as businesses faced high equipment prices and limited long-term financing. The figures offer a snapshot of leasing as a way to finance equipment without paying its full cost upfront.
ELAN’s 2026 review put new leases at ₦157.90 billion, compared with ₦115.02 billion in the first quarter of 2025. The outstanding portfolio stood at ₦6.698 trillion at the end of March, 2.45% above its level at the end of 2025.
The review says its estimates draw on industry survey and market analysis. ELAN says historical comparisons are nominal, meaning they are not adjusted for inflation or exchange-rate changes. The portfolio rose from ₦2.011 trillion in 2020 to ₦6.698 trillion at the end of March 2026, more than tripling in nominal terms.
ELAN says leasing gives businesses access to equipment without requiring the full purchase price upfront, which can help preserve liquidity. The association cited high equipment prices, elevated operating expenses, limited long-term funding and pressure on customers’ cash flows as challenges in the first quarter.
The market is concentrated: ELAN says its 20 largest participants hold more than 90% of the outstanding portfolio. Banks and other well-capitalized institutions account for large-ticket deals, while smaller independent lessors generally serve micro, small and medium-sized enterprises. In its 2025 release, ELAN linked industry growth partly to higher asset costs, which it associated largely with foreign-exchange fluctuations, as well as investment by existing and new participants and product development.
At ELAN’s 24th National Lease Conference in Lagos on Nov. 12, Tunde Netufo urged leasing firms to adopt technology, BusinessDay reported. The outlet quoted Netufo saying, “Technology is the way to go.”
ELAN’s review recommends digital systems for handling lease applications and documents, collecting payments, monitoring assets, managing data and serving customers. The association lists a lease-administration program for Dec. 10-11, 2026.
