GUWAHATI: India’s private debt market will surpass $18 billion in assets under management (AUM) by the end of 2024, according to a report by investment data firm Preqin.The market is rapidly growing as businesses seek diverse financing options, especially in sectors where traditional lending may fall short.
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The recent report reveals that India-focused private debt AUM surged from $14 billion in 2022 to nearly $18 billion by 2023, marking a significant 29% increase. Ultimately, it has solidified India's position as a regional leader in private debt, outpacing other markets in the Asia-Pacific region.
The sudden shift towards private debt has been driven by regulatory reforms, particularly the introduction of the Insolvency and Bankruptcy Code, which has bolstered investor confidence and attracted more capital into the market.
India’s robust economic growth and favourable demographics continue to generate capital investment, leading to 560 deals worth over $6 billion in the first half of 2024. This growing momentum reflects investor optimism in India's long-term economic trajectory.
