Ongoing shifts in global trade dynamics triggered by US President Donald Trump’s tariff policies are creating structural opportunities for private credit investors, according to a report by Bloomberg citing Moody’s Ratings.
Marc Pinto, Global Head of Private Credit at Moody’s, said the move toward onshoring and reduced reliance on international supply chains is opening the door for non-bank lenders to step in, particularly as governments face budgetary constraints.
With governments under pressure and facing capacity limitations, private credit markets are well-positioned to bridge the financing gap, Pinto said in an interview with Bloomberg Television on Friday.
One key area seeing increased deal flow is infrastructure, Pinto noted, highlighting data centres as a major growth vertical. He expects as much as $2.5tn to be deployed in the space over the next five years, with private credit providers expected to play a significant funding role.
However, Pinto also cautioned that complexity and transparency remain challenges. Direct lending deals, particularly in infrastructure and real assets, often require more granular structuring to meet the standards of institutional investors such as banks and insurers – a factor that also introduces credit risk.
Pinto pushed back on the perception that private credit is predominantly focused on high-yield borrowers, noting a growing presence in the investment-grade segment.
