Nov 21 (Reuters) – U.S. companies borrowed 6% more in October to finance equipment investments compared with a year earlier, industry body Equipment Leasing and Finance Association (ELFA) said on Monday.

The companies signed up for $11.3 billion in new loans, leases and lines of credit last month, compared with $10.7 billion a year earlier, according to ELFA. Borrowings were up nearly 6% from January.

“We see the economic tightening as an opportunity for carriers to get back on track with normal equipment replacement cycles that have been postponed and explore new verticals.” Finloc USA Inc’s Chief Revenue Officer James Currier said in a statement.

“Business reorganizations will require lenders to adapt to changing practices and operations,” Currier added.

ELFA, which reports economic activity for the nearly $1-trillion equipment finance sector, said credit approvals totaled 77%, marginally down from 77.3% in September.

The Washington-based body’s leasing and finance index measures the volume of commercial equipment financed in the United States.

The index is based on a survey of 25 members, including Bank of America Corp (BAC.N), and financing affiliates or units of Caterpillar Inc (CAT.N), Dell Technologies Inc (DELL.N), Siemens AG (SIEGn.DE), Canon Inc and Volvo AB (VOLVb.ST).

The Equipment Leasing & Finance Foundation, ELFA’s non-profit affiliate, said its confidence index in November stood at 43.7%, down from 45% in October. A reading above 50 indicates a positive business outlook.

Reporting by Nathan Gomes in Bengaluru; Editing by Krishna Chandra Eluri

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