Key facts
- Institutional investors are increasing their investments in Asian private credit.
- Granite Asia's Libra Hybrid strategy raised over $500 million.
- Partners Group received a $1 billion mandate for private credit investments in Asia.
- Asia represents about 4% of the global private credit market.
- APAC private credit fund assets are forecast to reach $142 billion by 2030.
Institutional investors are increasing their allocations to private credit in Asia, a region that currently represents a small fraction of the global market. Granite Asia announced its Libra Hybrid strategy has raised over $500 million, exceeding its target with commitments from new investors including DBS Private Bank and an insurer, alongside anchor backers like Temasek and Khazanah Nasional. This follows a $1 billion private credit mandate secured by Partners Group from a major Asian institutional investor for direct-lending opportunities across the Asia-Pacific region.
Asia accounts for approximately 4% of the global private credit market, despite representing about one-third of global economic output. In the first quarter of 2026, APAC-focused private credit funds raised $2.7 billion, significantly less than North America and Europe. Data provider Preqin forecasts assets under management in APAC-focused private credit funds to reach about $142 billion by 2030. Market participants note that Asian private credit transactions differ from Western models, with a greater emphasis on asset-backed financing such as real estate and infrastructure. S&P Global Ratings indicated that investor demand remains strong but selective, with a focus on collateral quality, sponsor strength, and covenant protections, while opportunities are emerging in areas like AI, data centers, and the energy transition.