Construction Equipment Finance Market Trends

Construction Equipment Finance Market Trends

The construction equipment finance industry is increasingly moving towards digitalization. This trend is seen in the growing use of online applications, digital documents, and automated underwriting. These digital tools make the financing process smoother and improve customer experiences and help lenders make faster and better decisions. Additionally, there is a rising focus on sustainable finance in the construction equipment sector. Lenders are offering financial solutions for eco-friendly and energy-efficient equipment. This approach is in line with the construction industry's growing commitment to environmental responsibility and supports the use of greener technologies and practices in construction projects.
 

Construction equipment manufacturers are forming strategic partnerships with financial institutions such as banks to provide financing solutions for construction equipment businesses. For instance, in June 2024, Action Construction Equipment Ltd. (ACE), a construction equipment manufacturer, entered a MoU with Bank of Baroda to provide financing solutions for businesses in the construction equipment sector. Under this partnership, ACE customers across the country got access to financing options offered by Bank of Baroda. This agreement supports construction equipment businesses, entrepreneurs and startups in the country.