Authored by Vijay Chander

Overview

This summer, the PDI APAC Forum 2026 brought together more than 300 private markets professionals in Singapore, including limited partners (LPs), general partners (GPs), intermediaries, and law firms. The event offered a valuable opportunity to connect with investors and industry leaders while exploring the trends shaping private credit across the region. S&P Global Ratings colleagues also joined discussions on topics such as Middle Market Lending and Future-Proofing Portfolios Through Private Debt, providing perspectives on the evolving market landscape.

What We Heard

  • Investor demand remains strong, but selective: Private credit continues to attract investor interest across APAC as market participants seek opportunities to enhance portfolio yield. However, investors are approaching the asset class with caution, placing greater emphasis on collateral quality, sponsor strength, covenant protections, and downside mitigation. 

  • Growing interest in asset-backed finance in Australia: Australia emerged as a key area of focus throughout the discussions. Investors and market participants highlighted opportunities in senior secured direct lending, Australian real estate, and infrastructure-related investments. 

  • India is attracting attention for structured and mid-market credit: India’s private credit market continues to gain momentum, with panelists pointing to growth over the past decade. As traditional bank lending has become more constrained, private credit providers have stepped in to finance middle-market companies and structured lending opportunities.

  • AI, digital infrastructure, and energy transition drive financing needs: The rapid expansion of AI technologies and digital infrastructure is creating substantial financing requirements across the APAC region. Forum speakers highlighted growing demand for investment in data centers and connectivity infrastructure, as energy needs associated with these developments are also accelerating investment in renewable energy solutions.

Looking Ahead

The discussions at the PDI APAC Forum 2026 underscored the continued evolution of the private credit market across APAC. From the growth of asset-backed finance in Australia and expanding credit opportunities in India to rising demand for AI-related infrastructure and transition financing, investors are navigating a market shaped by both innovation and selectivity.

S&P’s analyses, including ratings, are statements of opinion as of the date they are expressed, and are not statements of fact or recommendations to purchase, hold, or sell any securities, and should not be relied on when making investment or other business decisions. S&P obtains information from sources it believes to be reliable, but does not audit and undertakes no duty of due diligence or independent verification of information it receives. S&P’s opinions and analyses do not address the suitability of any security. Please read our full disclaimer.

Content Type

Blog

Location

APAC