Bank loans to shipping companies have remained at the same level but this means that non-bank finance sources are becoming more popular, a survey from Petrofin Research suggests.
A total of $397.84bn has been handed over by banks to shipping firms in 2015, compared to $397.9bn in 2014.
But Petrofin explains that since the total number of vessels in the world fleet rose by 1.76% between 2014 and 2015, this means that there was more reliance on non-bank finance sources and enhanced equity by owners.
“Consequently, it is fair to conclude that the bank ship finance in relation to the world fleet has been contracting as a source of shipping funding in the last eight years,” Petrofin wrote in a report.
Norwegian shipping lender DNB, which saw its loan impairments rise fourfold in the second quarter, had the largest shipping portfolio of $24.7bn in 2015.
Bank of China, ICBS, China Exim and KfW followed with total loans of around $20bn.
Petrofin said that as the world fleet continues to grow, equity investments will rise while banking-related ship finance will become less important.
Following the departure of major banks, such as RBS, Commerzbank and HSH Nordbank, from the shipping arena, Petrofin said a rise in western ship finance is likely if newcomers step up to replace those traditional names.
