Robust growth seen for Asia-Pacific private debt

MANAGERS of private credit funds in Asia-Pacific remain bullish on the asset class’ growth prospects, despite the shakeout unfolding in the US.

Sanket Sinha, Lighthouse Canton managing director and chief executive of global asset management, expects Asia’s private-credit market to grow by 15 to 20 per cent a year, a pace that could nearly double assets under management (AUM) in five years.

Andrew Tan, Muzinich & Co Apac chief executive and head of Apac private credit, is likewise optimistic about Apac’s growth prospects. “The fundamentals – rising demand for alternative financing, a maturing investor base, and a less saturated lending environment – continue to support a significant expansion of the market over the near to medium term.”