Private Credit Boom Threatens Stability, Says Global Watchdog

For banks, FinTechs and payments firms increasingly relying on private funding channels, that growth could trigger new transparency, reporting or capital-reserve demands from regulators.The Financial Stability Board says the recent surge in nonbank finance especially private credit and stablecoins merits “close monitoring.”Private credit has exploded in size over the past few years and global regulators are now warning that boom could carry serious costs for financial stability.Private credit, representing ...