European Private Credit Market Expected to Catch Up with US, Moody's Says

The European private credit market is expected to catch up with the US, driven by untapped potential and deglobalization. Moody's report highlights the growth of direct lenders and the expansion of loan offerings, including payment-in-kind and net asset value loans. The market faces scrutiny over opacity and concentration risk, but private credit lenders are well-suited for infrastructure investments, particularly in defense and infrastructure, where significant budget gaps exist.