Ireland has a long history as a leader in aircraft leasing and a strong supporting infrastructure that has made the country a global centre for the sector.
In 1970 the first aircraft leasing company in the country was founded and, since then, the industry has continued to grow. By 2000, approximately 20% of the world’s commercial aircraft fleet was financed through operating leases. Currently, the figure is 40% and most of these aircraft are owned by lessors based in Ireland.
According to Colum Carr, leader of the PwC Aviation Financial Advisory Services team, «Leasing is a cost-effective form of financing for most airlines. Equally important, leases also provide airlines with considerable flexibility in how they manage their fleets. Major lessors, by diversifying their portfolios into different types of aircraft, lessee receivables and lease maturities have developed very strong access to capital markets. Airlines cannot achieve such levels of diversification, so lessors can use this cost advantage to offer attractive leases to airlines around the world».
Estimates suggest that the number of aircraft leased by airlines will not continue to grow beyond 50% of the world fleet. Instead, the aviation industry itself continues to grow and, consequently, leases will continue to grow.
The level of talent in the Irish aviation industry is so high that there is little competition. Singapore, Hong Kong, Tokyo, China, New York and London are the most direct competitors, but the greatest concentration of talent and experience in the leasing sector is here in Ireland.
According to Colum Carr, «Ireland’s aircraft leasing infrastructure encompasses consultancy firms, government, airlines, the Aviation Authority, law firms, technical advisors and professional services companies that come together to make Ireland a fantastic jurisdiction for conducting an aviation finance business.
Therefore, if your company is directly or indirectly related to this sector, you need to move to Ireland. As you can see, the Irish aviation financial sector is not based solely on aircraft leasing.
At ISEA we can help you to move your headquarters to Ireland and accompany you throughout the process of expansion. We have been promoting the expansion of trade and investment between Ireland and Spain for over 30 years, contact us!