In January, company borrowing for equipment in the United States increased by 2%, according to ELFA

In January, company borrowing for equipment in the United States increased by 2%, according to ELFA ...

According to the Equipment Leasing and Finance Association (ELFA) on Wednesday, organizations increased production to meet demand.

Last month, companies signed up for $8.3 billion in new loans, leases, and lines of credit, comparative to $8.1 billion a year earlier. Borrowings increased by 2 percent from December.

"Despite persistent supply chain issues in several collateral categories, and rising inflation, the equipment finance industry picks up in January, where it left off last year," said Ralph Petta, the chief executive officer of ELFA.

ELFA, which reports economic activity for the $1 billion equipment finance business, said credit approvals attracted 78.4%, down from 78.6% in December.

The lease and finance index for a Washington-based company measures the volume of commercial equipment purchased in the United States.

The index is based on a survey of 25 members, including Bank of America Corp, CIT Group Inc, and financing affiliates or units of Caterpillar Inc, Dell Technologies Inc, Siemens AG, Canon Inc, and Volvo AB.

The Equipment Leasing & Finance Foundation, the non-profit organization, said its confidence index for February was at 61.8 percent, down from 61.9 percent in January. A reading above 50 indicates a positive business outlook.

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