Experts in the private debt market, which stands at about $1.7 trillion, do not expect the momentum to slow any time soon. In fact, Blackstone, which previously predicted the private credit market would reach $25 trillion in size, is now anticipating the market to grow to $30 trillion, according to Bloomberg, which says this is being propelled by lending for infrastructure projects and greater participation from pension funds.
Rob Horn, global head of infrastructure and asset-based credit at Blackstone Credit and Insurance (BXCI), said more cash is flowing out of public markets on the investor side, and the appetite for private debt among pension and sovereign wealth funds is rising in search of better returns.
“The opportunity set to finance the real economy, whether that’s credit cards, whether that’s equipment, whether that’s data centers, aircraft — that is roughly a $30 trillion opportunity,” he said.
