Aircraft lessors remain a key cornerstone of the overall aircraft finance ecosystem, supporting nearly half of the world’s fleet. With extensive knowledge and execution capability, the leasing channel is a proven funding platform for our customers. As the aviation sector continues to strengthen and operational cash flows recover, we expect that competition from in-house sources and other products will compete earnestly with the leasing channel.
Prior year activity in the capital markets was remarkably subdued in comparison to the heightened activity recorded in the peak COVID-19 era, which in turn may have reduced the need to print again in 2022. On a larger scale, geopolitical tensions, inflationary concerns and the rising interest rate environment put issuances on hold. These conditions persist into 2023, though there has been some pickup with recent issuances this year thus far.
Export credit agencies (ECAs) supported over 4% of Boeing deliveries in 2022. ECAs are an important financing alternative for our customers, especially in markets where commercial lending may face challenges. We expect ECA-backed financing to coincide with the resumption of deliveries to recovering regions. Boeing works with ECAs worldwide.