Debt funds push into emerging markets

Emerging markets-focused debt funds have grown significantly in the past decade.

Private debt fundraising for emerging markets has increased strongly since the financial crisis, according to the Emerging Markets Private Equity Association.

An EMPEA report found private credit is having a significant impact on emerging market economies, even though it remains a relatively small part of global private credit fundraising volume.

The sector is expected to continue to grow in the coming years as investors look for returns that are uncorrelated with western credit markets, which many now believe have reached a peak.